Fortitude Gold Corp FTCO

Buying Opportunity?

[BamBam76]

Seems like this sell off is a little over done, unless someone knows more than what has been reported by the company.  This company has $52 million in the bank and monthly dividends are only about $1 million.  Per Mr. Reid they have purchased the equipment needed for the build at Golden Mile and County Line and are ready to go the day they get the permit approval.  They can start hauling from County Line nearly immediately upon permit approval.  They can also mine more at Isabella Pearl when the BLM amends that permit.  Share price is down about $0.80.  That's 20 months of dividends.  These permits have already been in for a year ... how much longer can it take?  Current price is approaching a 10% return on dividends alone and they have drill results showing there is a lot more gold to mine across a considerable land package.

I'm looking at this as a buying opportunity and adding to my position.

[BamBam76]

In this September 2023 presentation, Jason Reid talks about the timeline for bringing County Line and Golden Mile into production ... most pertinent part starts at minute 17:00.  He was anticipating that permits would not be approved until the end of 2023 or early 2024. https://www.goldforumamericas.com/company-session/3032/ Based on this, it doesn't seem like the "sky is falling

[skys1]

BamBam, unless they get those mining permits, they will have a problem. The real problem is this Administration is very anti miming.  

[BamBam76]

No doubt, they are at the mercy of the regulators to get additional permits.  If they never get another permit they are out of business.  With that said, there was some "light" mentioned on last week's conference call.  Sounds like the permit amendment for the Isabella Pearl is imminent.  It also sounds like they are getting creative with work arounds, having

[BamBam76]

FTCO made good on they commitment to dividends again today.  Shares bought at the current price are yielding 10.9% dividend. (12 x $0.04 monthly dividend) / $4.40 per share = 10.9% Even better if you are reinvesting dividends.

[BamBam76]

Fortitude came through again this month on the dividend this month.  They paid a bonus dividend last May when gold topped $2000 for a while.  If only the regulators would get out of the way, just think what the revenue would be with todays prices.   BLM indicated the permit for County line was imminent at the end of Feb, now April and still waiting.  The good news is that we

[goldpoet]

Thank you.  Could you share your source who said that the premit was imminent?  If it's someone in management, can you ask them again now that it's one month later whether they have heard anything additonal from the BLM? Also, I can't find a bulletin board with any significant followers of FTCO.  Are  you aware of more active boards? Best!

[BamBam76]

Hi Goldpoet, information is from the year end conference call at the end of February posted on the company website.  https://www.webcaster4.com/Webcast/Page/2640/50015 Jason Reid conveyed what BLM staff had told him.  He also said they would post a press release when they had the permit in hand.   There is some good conversation at the end of an article linked on the website

[goldpoet]

Thank you BamBam.  Yes, I heard the conference call.  Any chance you could reach out to Jason or to Greg Patterson, their IR guy, to see if there's been any further word from the BLM?  I used to talk with Greg regularly, and occasionally to Jason, but Jason disliked some of my questioning and they will no longer talk to me.  I'm actually a very large shareholder, and

[BamBam76]

As of Friday, 4/12, FTCO does not have any of the new permits that were submitted in May 2023.  Per Greg Patterson, "The feedback has generally been that the agencies are short-staffed and working as quickly as they can.  I suspect that is an accurate assessment."  

[goldpoet]

Thanks so much for reaching out to Greg.  Unbelieveable that they can't get the permit to drill deeper at IP. Best!