Amerigo Res Stock Price, News & Analysis

Amerigo Resources Ltd. (TSX: ARG; ARREF: OTC) announced the completion of its substantial issuer bid, purchasing 7,116,345 Common Shares at C$1.30 each, totaling C$9,251,248.50. This represents 3.91% of its issued shares, reducing the total issued and outstanding Common Shares to 174,844,733. The offer, which launched on September 29, 2021, expired on November 12, 2021. The company is also pursuing a Normal Course Issuer Bid to return additional capital to shareholders.

Amerigo Resources Ltd. (ARREF) announces the passing of director David Thomas, who joined the board in June 2021. Thomas brought over 40 years of mining industry experience, including roles at Kennecott Copper and Freeport Indonesia. His contributions to the Toromocho Copper Project were significant. Amerigo's Executive Chairman, Dr. Klaus Zeitler, expressed deep condolences, noting Thomas's invaluable technical knowledge. Amerigo operates in a long-term partnership with Codelco, producing copper and molybdenum concentrate from tailings at the MVC operation in Chile.

Amerigo Resources Ltd. reported a strong financial performance for Q3-2021, with a net income of $8.4 million and earnings per share (EPS) of $0.05. The company generated EBITDA of $18.5 million and operating cash flow of $14.1 million. Revenue rose to $48.1 million, driven by higher copper prices, with an average price of $4.23 per pound, up 39% year-over-year. Additionally, a quarterly dividend of Cdn$0.02 per share was declared, payable on December 20, 2021, offering a 6.35% annual yield based on recent share prices.

Amerigo Resources Ltd. (ARREF) reported strong production results for Q3-2021, achieving 16 million pounds of copper, exceeding guidance by 9%. The cash cost was $1.62/lb, 8% lower than forecasted and the lowest in 2021. Successful completion of the annual MVC plant maintenance shutdown is noted, enabling full production operations. Copper prices averaged $4.23/lb for the quarter. Cash and restricted cash increased by $18 million to $71 million, while bank debt remained unchanged at $35 million. Financial results will be released on November 3, 2021.

Amerigo Resources Ltd. (ARREF) has announced the reinstatement of quarterly dividends starting in Q4 2021, demonstrating strong financial performance and operational results. The company's Board plans to utilize its financial flexibility to repurchase up to Cdn$25 million in common shares through a modified Dutch auction, enhancing shareholder returns. The share buyback aims to retire approximately 10.6% to 11.6% of its outstanding shares, depending on the purchase price. The dividend declaration will be contingent on financial results and is subject to Board discretion.

Amerigo Resources Ltd. (ARREF) reported strong Q2-2021 financial results, achieving a net income of $11.6 million and earnings per share of $0.06, compared to a net loss of $3.6 million in Q2-2020. The company generated operating cash flow of $17.1 million, up from $2.8 million year-over-year, with improved cash positions. Revenue doubled to $50.5 million, driven by higher copper production and prices. However, Amerigo no longer relies on previous production guidance due to actual grades being lower than expected. The company reduced its bank debt to $33.8 million, a notable improvement.

Amerigo Resources Ltd. (ARREF) reported Q2-2021 production results from its Minera Valle Central operation in Chile, achieving 15 million pounds of copper at a cash cost of $1.81 per pound. Molybdenum production reached 0.3 million pounds. Copper production was 96% of guidance, while molybdenum fell to 84% due to lower grades. The company maintains its annual guidance of 61 million pounds for copper and 1.5 million pounds for molybdenum. Financially, Amerigo completed a $9 million debt repayment and restructured debt facilities in June.

Amerigo Resources Ltd. (ARREF) announced that its 100% owned operation, Minera Valle Central (MVC) in Chile, has received its first annual Renewable Energy Certificate (REC) from the International REC Standard. This certificate confirms that MVC's total electricity consumption of 308,653 MWh for the year 2020 was sourced entirely from renewable energy. The long-term power supply agreement MVC entered into will ensure all electricity used until 2037 comes from renewable sources, supporting Chile's renewable energy goals.