Alio Gold Inc. T.ALO

IKN and the management reply

[uzumaki]

First time posting here, long Alo

i follow IKN and respect his opinion so when he posted about ALO i was shocked. I emailed to Lynette in regards to ikn blog post and we had some healthy email exchange. First, like Ikn suggested sf satellite deposit which is la chichara pit is not being mined. Its true but not cos there is no gold but because it will be undergoing waste stripping and only be mined in 2019. The 2018 guidance will be rached from San Franciso main pit only since significant amount of waste was removed in 2017. There will be some waste stripping in SF pit too but most of it was done in 2017. GDI stracon was the second contractor that they mentioned in Q3 that was added ro remove waste from SF pit. Check their website. 

Ana Paula is active and live. Lynette said there are about 100 people working and the planned work is going on scheduled. I also checked the GDI stracon (contractor) website and it lists Ana Paula project as ongoing. So in this regard i don't know how ikn got his facts. No disrespect to him, but the fact that ALO went up 6% on monday means something is off about his post inregards to ALO. 

I also asked if management will get the facts and talk to ikn and lynette mentioned that they will do an internal review and decide. 

Like most of you, I been long for few years, seen the ups and down (near bankruptcy). this present state is the best ALO has been for years. yes AP project is in dangerous state but that has not stopped others from mining. yes there are strikes but Helca mining has strike in their US property. Its party of being in mining business.
They should have about $50 million when they release the quarter. Debt financing is still ongoing. they should be able to increase the underground resources by the end of this year. Also just know that the new plan assumes the gold price of $1250. I am in red but have been adding some every few months. Financing was done at way higher price than now and that dilution has helped us. Management is saying they are in blackout period so they cant buy the shares right now but they might once the period is off.  

As much as i respect IKN and follow him, I beleive he got some facts wrong. hopefully ikn and management can have fruitful discussion and put out a clerification. 

long ALO

[intowin]

Thanks uzumaki. Here’s my reply from Lynette. Hi,  I’m not sure where he gets his information, but there is no change to the reserves at La Chicharra Phase 2 (plan to mine there in the 2019) and we are still going full steam ahead on the exploration at Ana Paula: Drill turning, testing the extension of the breccia and will be drilling there all of Q1 Underground decline under

[intowin]

I don’t know much about IKN but this blunder of a post would make me think twice about believing much of what he says. Just saying.

[stockfy]

I think there are two things that concern the potential newcomers. First it's Ana Paula's state, Guerrero, which is the riskiest one among all the states in Mexico although there are other firms in the region. And second, investors want to know how ALO will fund Ana Paula, debt or dilution? I think these two reasons keep them on the sidelines. On a side note, I would like ALO's AISC