Mods deleting my comment... LMAO prob lifexprt reporting me! It’s obvious why that the Florida Canyon stock is already tanking. I wouldn’t be surprised to see ‘shitco’ fall to zero, as the price of gold is less than the operation’s AISC, which doesn’t account for all of CapEx.
Let me remind you that the company allocated approximately $70 million for CapEx at FC in 2024 and is running on approximately $10 million they got from Alamos Gold.
They’ve already dumped off the Mexican assets for practically nothing, as they’re clearly desperate for capital.
It seems plausible that the company might have to file for Chapter 11 bankruptcy in the near future. If the stock continues to plummet and fails to recover, they will be unable to raise the necessary funds to offset their significant cash burn.
The operation is not profitable with an AISC exceeding $2400 per ounce, and considering the massive dilution caused by the previous management to Argonaut Gold, it would be unwise to invest in “shitco”.