Post by
cubswin on Aug 13, 2020 2:24pm
Just So We're Clear on What Your Buying in AXU
Price goes up 200% from here in the first 6 months of true produciton (Minimum). Then Lets not forget they left 66% of the Reserves out of the Mine plan #'s for this current operation. Don't assume that produciton drop off in year 4-5-6 ststed in their presentation is a factual number...
And let's not forget they still hold / kept the Reclamation Rights to the $100 million backlog of reclamation work needed in the yukon that they were awarded by the gov. when they took over Keno hill, cause they got $100 million backlog of work to do now. Starts next Spring... Just cause they sold of the reclamation business, doesn't mean they don't benefit for years to come with it financially. As their partner to fufill their duties with the Yukon Gov.
And let's not forget that they just recentely just got awared the rights to the Mt. Nanasen Gold Mine.
Once they reclamate it, which will take 5- 8 years they then can mine it just like they with they did with the Keno Hill project or sell it for that matter. Do the math.. look how much gold was left behind there from the 1980's when it was abandoned by the previous owner and taken over by the state. (100's of Thousands of onces) What will an ounce of gold be worth in 6 years?
And I don't give a hoot about a silver 25% deal with Wheaton. We'll make that back elsewhere. Do some DD. Stop thinking small ball..
Cubswin
Comment by
Correctionor on Aug 14, 2020 1:47am
@Cubswin, thanks for the great reply! I wanted to mention that I don't think the market will be able to ignore Alexco once it is in production and generating revenue. So let the share price remain cheap as it is. Eventually, once everything falls into place, it'll be revalued to more correctly reflect it's true worth. Like you said, it'll move 200% and likely in an instant.
Comment by
stockfy on Aug 14, 2020 3:03am
There are two key questions here. First, AXU depends on the silver price, so hopefully silver will hold its price by early 2021. Second, AXU will not experience any disruptions and first production will start in late 2020.
Comment by
stockfy on Aug 14, 2020 3:04am
One more thing. Perhaps, AXU proves to be a Sell the News situation, so AXU will stabilize at the current price levels with limited upside potential once first production begins in late 2020.
Comment by
Correctionor on Aug 14, 2020 3:11pm
Additionally, @Cubswin you mentioned the resources at 66% remaining not included in the current mine plan designation. Good point! These can expand with exploration so it Alexco is a "growth" company. Patience will pay. Again, thank you for the great reply. I gave you a big "thumbs up". A reply of real value.