Discovery Silver Corp T.DSV

Established Producers VS New Projects

[Frozengoldwaiti]

What is the grade of this project all included?  Accountants and financiers make the call on these projects.

Well established open pit miners can make money with low grade rock. Their initial capital was absorbed many years past. The build risk is past.

A new project going forward needs around $50/t  rock ( 80g/t ageq )  to produce abundant FCF, other wise it will cover costs and continue along but will not be a cash cow. A couple of speed bumps on the way can devistate the value. 

This is close to being a project but it really needs silver price to rise. Or a honey hole to pay the first couple of years.  
It will require a very efficient operation, in terms of energy and mine planning, embracing electrification and technoloogal advancements to lower the aisc. Talking about a conventional truck and shovel will not pay.

Just an opinion  from a quick look at the presentation.

[cbew]

I would suggest people check out their latest video on the review of their PFS that came out in Jan.  Cordero is projected to be not only the largest undeveloped Ag deposit in the world but it will be sitting near the bottom of the cost curve as far as AISC.   A very capital efficient project with production costs of around $12/oz to produce Silver.  So at today's Ag price

[Dutchdoctor]

Nice research, Cbew! What would be your guess for the sp of DSV at the first day of mine production based on your own figures? And maybe also your idea of an estimated date for that?  

[cbew]

Hey Dutchdoctor, it all depends on the price of Ag at the time of production imho.  First day of production will probably be out 2 to 3 years from now 2025 or 2026 is my best guest.  But no doubt the sp will begin to rise as we get closer to the FS toward the end of the year.  If Ag prices take off from here ( as many experts are predicting ) the sp could hit 5+ toward the end of

[Dutchdoctor]

Tnx a lot for this prediction, Cbew! I am doing research for the best gold and silver mining stocks for several years now and came to the conclusion DSV is the best choice worldwide without doubt. At this moment even it seems better to invest in juniors with proven large deposits then in majors. Have a look at First Majestic... Yes, you're right we have to wait for some more years DSV will