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Ascot Resources Ltd T.AOT

Alternate Symbol(s):  AOTVF

Ascot Resources Ltd. is a development and exploration company. The Company operates through two segments: the development of the Project and exploration and evaluation of Mt. Margaret. It is focused on re-starting the past producing Premier gold mine located in British Columbia's Golden Triangle. The Silver Coin, Big Missouri, and Premier deposits, collectively known as the Premier Gold Project (PGP) are located near the processing facility on the Premier Mine site. The PGP covers about 8,133 hectares (ha). Its Red Mountain Project (RMP) is located 23 kilometers (km), southeast in an adjacent valley. RMP consists of about 47 contiguous mineral claims for a total of approximately 17,125 ha. Its Premier and Red Mountain Gold Projects supply gold and silver ores to the process plant. It also has two other properties, including Swamp Point, an aggregate project located in British Columbia and Mt. Margaret, a porphyry copper-molybdenum-gold-silver deposit located in United States.


TSX:AOT - Post by User

Comment by calmandquieton Jul 04, 2024 10:23pm
213 Views
Post# 36119077

RE:RE:RE:RE:RE:RE:RE:Keep going like they are and................................

RE:RE:RE:RE:RE:RE:RE:Keep going like they are and................................They have been telegraphing for 3 months in releases and interviews that development progress at Premier was slow and that ore stockpiling from Big Missouri was underwhelming. It seemed fairly clear that they wouldn't reach cash flow positivity in Q2 and possibly not Q3 either. Which is one reason why I sold in the 70s and 80s. 

They are spending $10M per month or $30M this upcoming quarter until Premier gets the company's head above water with additional production in Q4. If Premier and Big Missouri are each costing $5M/month then that implies an AISC of $1111 USD/oz if they can achieve full production at expected grades from all three mines. ($15M x 12 mo) / 120koz/yr / 1.35 CADUSD = 1111.

For the market cap to be down $240M from peak over an impending financing of less than $30M and a landslide at an unrelated mine is an overreaction. I'm back in at $0.46. Imagine summer 2025 with gold steadily pushing toward $3000/oz and Silver Coin production imminent, to bring them from 80k to 120k ounces annually, profiting $1900 USD/oz. That's the entire market cap of the company in one year's profit. "People will be surprised at the cash flow" indeed.

 


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