RE:RE:RE:RE:RE:RE:RE:RE:VGCX - November Investor PresentationThanks for the kudos M Vargas. I would however argue that the market actually does know and does care but that 'THE MARKET' (let's call them the current share price controllers) are a much smaller group than most realize and they are doing all they can to look for negative news and drive the share price down. And again with our low daily trading volumes, controlling the share price doesn't take a very large block of shares. Look at today's trading activity, we got a jump in the early morning and right now with gold up almost $9.00 we're trading flat to lower yet look at Kinross up over 4% because it's a little harder to manipulate a company's share price with 2.2 million plus shares trading daily. The fact that Kinross just came out with some decent earnings certainly helped but you get my point.
Regarding your comment about Q2 financials showing only 100,136 recoverable ounces within mineral inventory as at June 30th and your further comment that the number of ounces in inventory in Q3 would have gone down in Q3 because more ounces were produced than placed on the HLP appear incorrect. Please have a listen to this VG interview in Octoiber for a couple of minutes from the 25:50 minute mark to about 28:00 minutes were John talks about the heap leach inventory and in particular specifically states that (at the time of the interview) there are about 125,000 ounces on the pad but that it takes about 200 days to fully process in gold bars.
Acquisition = EXPANSION: Discover VICTORIA GOLD! - YouTube . I'm pretty sure John has previously mentioned that generally there was about 115,000 ounces on the pad so it seems we have another 10,000 ounces coming at some point (probably in Q1 2024)? This should make up for lower production results in Q3/Q4 that some are concerned about. John also menions that they are using trucks vs. grasshopper conveyors to place ore on the pad and that is working well. This is huge because this means that if the conveyors break down or are undergoing maintenance that the stacking of ore on the pad continues! Perhaps a bit more expensive to use trucks but hey a back up plan is always a good idea!
And yes it is true that some portion of ounces in inventory are required to cover asset retiremenet and site reclamation but these steps are years away and if the Eagle Mine Expansion proceeds as planned it will even be more years out. Either way, the inventory is a tangible asset that investors pay little attention to and that needs to be considered when trying to value a company, especially a company whose share price is clearly undervalued.
HB77