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Good News For The Sandstorm Siblings [View article]
There are reasons to be bullish regarding Sandstorm M&E's near term deal flow. They have been looking to acquire a Zinc stream ( as some of the largest mines in the world shutdown including the Century Mine, Lisheen, Brunswick, Persavearance, Skorpion which which will take 1.35m tons off-line in addition to numerous smaller ops going offline. This plus all the contractions of zinc production at mines such as Red dog, San Cristobal, La Ronde and plenty more. In 2014 oat of the surplus will be gone, going into a deficit in 2015 and by 2017 the deficit will grow to 900,000 tons, continuing to grow until at least 2020. Reason being is that there have been no large zinc mines discovered.) I think it would be smart to acquire a stream on one of Trevalis assets but who knows.
Sandstorm will fund this through the sale of a $10m debenture originally from NovaDx, and likely get 2-4m for it plus the 3.26m in cash received from Anterra, sale of equipment from Terrex, worth 3m, so I'll assume they get 2m for it and a $4m debenture from Anterra, which I'll assume they get 2m for it and the sale of of shares it owns of Thunderbird and Donner, worth 1.25m as of today. I used conservative estimates because we never know what will happen.the total comes out to 8.25m. Following the reverse split and only 33m shares outstanding, they will likely issue 4-7m shares raising anywhere from 12-22m. Sandstorm also has roughly 5m in cash, 1-2 of which they'd be willing to spend. So I aggregate ,following the asset sales and equity offering, cash to acquire new streams would be in excess of 26m.
True All-In Costs Of Production: Complete Gold Industry List [View article]
True All-In Costs Of Production: Complete Gold Industry List [View article]
True All-In Costs Of Production: Complete Gold Industry List [View article]
Buying Opportunity For Silver Wheaton [View article]
Buying Opportunity For Silver Wheaton [View article]
http://seekingalpha.co...
Buying Opportunity For Silver Wheaton [View article]
Buy These Silver Miners At Fire Sale Prices [View article]
Sandstorm: Another One Is Coming [View article]
Buy These Silver Miners At Fire Sale Prices [View article]
Now lets go back and assuming Aurcana is still trading at 70c but it only 200m shares outstanding FD. Lets assume this also undergoes a 1:5 reverse split. This would cause Aurcana again to be at $3.50 with just 40m share outstanding. Now what happens to stock price if it were to also appreciate to $630m market cap? The shares would have to appreciate to $15.75 to achieve the same market capitalization. Make Sense?
Sandstorm: Another One Is Coming [View article]
As for Sand, I don't expect a great outta the stock, barring a bug rally in gold due to its attributable growth slowing down year over year. It will, however, kick back into high gear in 2014 as Deflector comes onstream, Serra Pelada contributes a material amount of precious metals, Bachelor Lake is ramped up, Bracemac-Mcleod is ramped up and Aurizona increases production from approx 100k in 2013 to 125k in 2014. Additionally, the St. Elena expansion will be complete, which should increase attributable production from 6k in 2013 to 10-12k in 2014.
Why Sandstorm's Exceptional Value Makes It My Top 2013 Gold Stock [View article]
http://seekingalpha.co...
The above article also includes a in depth valuation. or check out when I first wrote about Sandstorm when it was just trading at $3.30/share back in Jun 2010:
http://seekingalpha.co...
It is hard to believe Sandstorm will have another great year in 2013 as the royalty companies in particular tend to move up significantly and consolidate for 12-18 months. Furthermore, Sandstorm will see growth slow significantly in 2013, only to ramp up again in 2014 beyond. While Bachelor Lake and Serra Pelada will come-onstream, these streams have to make up for the 4% stream reduction from Black Fox and Serra Pelada will only add maringal production in 2013 and it won't be until 2014 when gold and platinum production have a chance to ramp up. Furthermore, in 2014, Bachelor Lake will be completely ramped up and the Deflector Project will add growth on top of Bachelor Lake and Serra Pelada. If that;s not enough Silvercrest;s expansion project on St. Elena will complete in Q1, which will nearly double gold production for the yr. In Short, expect 2014 to be a much more eventful year for Sandstorm;s stock price than 2013.
The New Face Of Silver Wheaton [View article]
The extreme levels the mining stocks in general are trading at is unfortunate but we are lucky we launched our fund almost at the exact bottom. Email me if you would like to peruse our research report on Huldra Silver, Alexco or Colossus.
-Chris@Silver-Investor...
The New Face Of Silver Wheaton [View article]
Additionally, the illustration above assumes some unlikely scenarios, that is Silver Wheaton will make no more acquisitions in the future, silver will not average over $32/oz and the share price would remain stagnant. The reason I posted that was to show that equities (never but only in special circumstances) boast yields upwards or above 10% because the market pushes up the price thereby lowering the dividend yield.
The New Face Of Silver Wheaton [View article]
20% 2.23% 2.94% 3.66% 4.37%
40% 4.46% 5.89% 7.32% 8.74%
60% 6.69% 8.83% 10.97% 13.12%
80% 8.92% 11.78% 14.63% 17.49%
Assmuming a constant SLW price of $32 into perpetuity and no further growth were to be added these would be the dividend yields in 2016 with varying payout ratios and silver prices.