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Amerigo Resources Ltd T.ARG

Alternate Symbol(s):  ARREF

Amerigo Resources Ltd. is a Canada-based copper producer. The Company owns a 100% interest in Minera Valle Central S.A. (MVC), a producer of copper concentrates. MVC, located in Chile, has a long-term contract with the El Teniente Division (DET) of Corporacion Nacional del Cobre de Chile (Codelco) to process fresh and historic tailings from El Teniente. The Company operates in one segment, the production of copper concentrates under a tolling agreement with DET.


TSX:ARG - Post by User

Comment by TimeTooSoaron May 10, 2024 5:46pm
96 Views
Post# 36034597

RE:RE:$5 million write down

RE:RE:$5 million write downYeah it's the non cash charge. It's not explained in the financials as to what that is.  You think or know it's the depreciation of the plant? 
I know it's a non cash charge i just find it hard to believe the results were so bad. Copper price they got is $3.95/lb yet they only paid dividend, a bit of debt and had a negative cash draw in the 3 months. 
I remember the company saying the dividend is safe at $3.60/lb, at $3.80/lb share buybacks or performance dividends. Yet a solid quarter performance and they got $3.95/lb and they just paid their dividend really as the repaid debt basically came out of their cash balance. That implies they need $3.95/lb just to pay the dividend.  See where I'm going? anyone else find this a bit disturbing? 
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