W.F.,
I still like Clifton and continue to believe it has execllent potential assuming we will really get a bull market in silver.
My only deception with it so far is that they have not been able to increase proven reserves by much since I started following them. The reason is simple, their current focus is on reaching commercial production based on known reserves of 5M ounces silver, not to increase reserves.
If silver prices pick up again (and I believe they will eventually, baring a global deflationary collapse), CFB will do better than it is doing now.
<< Is all the information in the Clifton Mining Header still true and are you still gung ho on Clifton? >>
The objective of proving up 50-100M ounces by year end was way too optimistic. I would be pleased if they prove up 20M ounces. But, right now, it seems unlikely they will be there by year end.
Cost per ounce will likely be higher than $2...CFB will be mining some open pit material at first, and there the cost will be $2 or less, but most of the material is inderground where the cost of mining a ton is closer to $40, so the average cost of mining an ounce could be near $3...hard to say at this point in time.
As for the claim that lead revenus will pay for the costs of silver production, I think it is not far from the truth. On average, each ton has $28 of lead content and the average cost of mining a ton will be in the $40-$50 range.
Still, at a market cap of some C$12M, CFB remains an excellent speculation to participate in a silver bonanza. But if silver makes new lows like some think it will, CFB will do same like all other silver stocks. |
