Guanajuato Silver Company Ltd

about 1 month ago 27:21

Key Highlights

Per CEO James Anderson, the company posted net income positive for two quarters in a row — the only two in its history — totaling $6.3M in H1 2026 with $9.1M of Q2 operating income, on quarterly revenue above $40M (~$160M+ annualized) and trading at roughly 2x revenue
The CEO describes paying down about two-thirds of the Ocean Partners gold loan at an effective $3,800/oz — using the early-paydown bonus after gold dropped from above $5,000 to about $4,000 — leaving only ~2,300 oz of gold owed, with no payment due until April 2028
The guest defends hedging about 25-30% of forward production through December 2026 — 300 oz of gold at $5,220 and 20,000 oz of silver at $84.50 — as short-term volatility management rather than blanket hedging, given 97% precious-metals revenue mix
Per management, Q2 production was deliberately reallocated away from Valenciana toward Cubo, Bolanitos and San Ignacio; the San Ignacio-Bolanitos underground connecting tunnel is reported as roughly 3-4 weeks from completion, and a 75,000-meter drill program (60% underground) is targeted to complete by year-end 2026
The host highlights exploration optionality at El Ocon — drilling has now started under a 5,000m program, with ~1,100 prior channel samples and described as a direct Veta Madre extension with polymetallic mineralization — plus the Cebada past-producer (not yet drilled), with updated resources and reserves per mine expected with a December 31, 2026 cut-off

Q2 2026 marked Guanajuato Silver's second straight quarter of positive net income ($557K Q2, $6.3M H1) on $42.5M revenue. The company retired two-thirds of its Ocean Partners gold loan at an effective $3,800/oz, leaving only one final payment due April 2028. Active hedges cover ~25% of gold output at $5,220/oz and ~34% of silver at $80–$93/oz through year-end 2026. Five producing mines, plus 16,000 meters of underground development and a 75,000-meter drill program, are running concurrently toward year-end resource updates. AISC rose quarter-over-quarter as a strong Mexican peso inflated silver-equivalent costs; management wants to move away from silver-equivalent reporting.

The Silver Price Was Not The Problem | Quanajuato Silver Q2 Earnings 2026

about 1 month ago 13:42

Key Highlights

True margin was negative in Q2 2026 once denominators are matched: $70.62 of revenue per silver equivalent ounce against $71.66 in all-in sustaining costs, rather than the 'give-or-take $2' figure in the release.
Even in what the host calls the best silver market in living memory, with silver realized at $73.68/oz, AISC of $43.1M ran above $42.5M of revenue; EBITDA fell 61% QoQ to $5.8M and net income dropped 90% to $555K from $5.7M in Q1.
Opportunistic hedging captured roughly a third of silver and a quarter of gold production above market — 20,000 oz/mo at $84.50, plus a 20,000 oz collar at $80-$93, and 300 oz gold/mo at $52.20 — but only through December 2026.
Retired most of the Ocean Partners gold loan at a discount (costing $9.2M of cash plus 737 oz of gold), leaving only a 2,400 oz bullet payment not due until 2028.
Screens cheap on enterprise value per ounce ($124 vs a $524 pure median, a 76% discount) but expensive on earnings (25x vs a 14x pure median); EBITDA margin of 24% trails the pure median of 47% and FCF yield is -0.3% vs +2.4%.

Guanajuato Silver's Q2 was nominally profitable, but AISC (All-In Sustaining Cost, the full cost to produce an ounce) at $71.66 topped per-equivalent-ounce revenue of $70.62. Operating five Mexican mines, the company retired most of its Ocean Partners gold debt using $9.2M of cash this quarter. Bolañitos, the mine acquired in January, is the most expensive ounce in the portfolio at $90.11 AISC, while contract-mined Topia is cheapest at $45.19. At a 24% EBITDA margin (peer median 47%), the stock looks cheap on assets but expensive on earnings at 25x P/E versus 14x. Management expects costs to fall once Bolañitos integrates; the Q3 scorecard hinges on higher tons, AISC starting with a 5, and working capital direction.

Gold/Silver Miners: Low Hanging Fruit (August 2026)

about 2 months ago

Key Highlights

He frames Guanajuato as a pure margin story: a ~4M oz/yr Mexico producer with decades of operating history whose value unlocks as silver prices rise — at $200 silver he sketches a ~$125/oz margin even on ~$75 costs.
Production could grow roughly 50% (toward 5–6M oz), but he says this is secondary to the margin-expansion thesis.
He argues most investors are not forward-pricing the margin case, which is why he considers the stock 'highly leveraged to the silver price'.
The asset is long-life with potential for mine-life extensions.

Don Durrett's 15 low-hanging-fruit names share a single thesis — execution on planned growth at $200 silver and $7,000 gold unlocks 5-20x upside across the list. Junior miners with low insider ownership become prime hostile takeover targets once their assets are de-risked, so a defensive merger often precedes the rerate. The market is still leaving the second-mine pipeline at NexGold and GoGold free, because the first project's standalone value already exceeds today's market cap. Canada's scarcity of new single-asset gold producers gives each one a permanent jurisdiction premium that U.S. peers cannot replicate. AISC (All-In Sustaining Cost — what it really costs to produce an ounce) is the single variable that decides whether each near-term producer on this list rerates or fades.

Don Durrett: $8,000 Gold & $200 Silver Are Coming

VRIC Media

about 2 months ago

Key Highlights

brief

The guest put Guanajuato Silver 'on probation' after about three rounds of share dilution in two years and was ready to sell if it diluted once more.
He says it came off probation: the company fixed its balance sheet and is now generating cash.

Treasury bond-buying and $1-trillion annual interest costs confirm the debt 'doom loop' is underway, Durrett argues, making bond-market fragility gold's driver. He maps three gold legs to roughly $6,500 next year and $8,000 within three years, planning to sell his miners between $7,000 and $8,000. Silver could reach $200-$300 this cycle; silver miners' margins (profit per ounce) could swell from $10 to over $200. He favors producers and developers over explorers: free cash flow (cash left after mining costs) makes their shares react to metal prices. His risk playbook: cull problem stocks, keep position sizes small, expect most picks to disappoint, and avoid developers with late construction dates.

Masterclass: Investing in Gold/Silver Mining Stocks (Part 4)

about 2 months ago

Key Highlights

brief

The speaker uses Guanajuato Silver as a concrete example of a low-cash producer rebuilding its balance sheet, arguing that reaching roughly $100 million in cash would strengthen the balance sheet and meaningfully reduce dilution risk.

The author's 10-step checklist turns mining stock analysis into a discipline: size the deposit first, end with a numeric rating. Prefer gold deposits above 1.5 million ounces with grades of at least 1 g/t (open pit) or 5 g/t (underground) and recovery above 80%. AISC (All-In Sustaining Cost — what it really costs to produce an ounce) should run about one-third of gold's spot price, with a 10% annual inflation assumption. Tight share structures (under ~150 million shares), conventional debt, and half-warrant financings protect per-share value; full warrants, heavy dilution, and reverse splits are red flags. Estimate a miner's future market cap using free cash flow times a 5-20x multiple, then divide by today's market cap for a clean growth-rate view.

The Underground Tunnel Breakthrough | James Anderson - Guanajuato Silver

3 months ago

Key Highlights

As of June 2026, the speaker expects active tunneling from both sides to link up within weeks, which he says will immediately reduce transportation costs from San Ignacio to the plant.
The connection puts the operation a couple of kilometers closer to the plant, making it easier for the underground fleet to move material.
Linking the sides also opens existing ventilation shafts on the Bolognese side that the San Ignacio side lacks, improving ventilation across the whole operation.

A tunnel linking the San Ignacio and Bolognese sides should connect within weeks, cutting ore haul distance by a couple of kilometers. Shorter haulage lowers transportation costs and lets the mine's underground fleet move material far more easily. The connection opens existing ventilation shafts on the Bolognese side, improving airflow across the whole operation.

The Silver Bull Market Isn't Over | James Anderson - Guanajuato Silver

Silver and gold are working through a pullback that can run longer and deeper than investors expect before prices advance again. The guest is confident the pullback is not finished, though he makes no attempt to call how deep it goes. He expects a bottom within weeks or months rather than years, followed by renewed price advancement in silver and gold.

Silver Could Sink Lower Before the Bull Run Resumes | James Anderson - Guanajuato Silver

Key Highlights

The guest reports Guanajuato Silver's strongest quarter to date, released at the end of May 2026: record revenue of $43 million, up 89% from the prior quarter, record EBITDA of $13.1 million and record mine operating income of $14 million, which he attributes only partly to operations and largely to strong silver and gold prices.
He says the Bolanitos mine, bought from Endeavor Silver for $50 million and closed on 15 January 2026, is integrating very well: San Ignacio material was already being processed at the Bolanitos plant by February, and a pilot drill hole between the two mines has located the tunnels so underground development can connect them within weeks, cutting haulage distance and opening ventilation shafts on the San Ignacio side.
He says remaining integration work is largely social and legal rather than technical, because Guanajuato bought the Endeavor subsidiary rather than the mine, so the two employee groups still work for separate companies under Mexican labour law; he expects to fold the San Ignacio assets into Minera Bolanitos over the coming months.
For 2026 the company budgets at $54 silver and $3,920 gold, and he says it deliberately sold some metal well above those levels during price swings, with that selling hedged only through December 2026 rather than hedged heavily on a long-term view.
He says per-ounce costs look elevated partly because the company puts nearly all expenditure into its all-in sustaining cost figure, and partly because exploration and underground development were accelerated in Q1 2026 with about eight drills turning and roughly 16,000 metres of development planned for the year; he expects only incremental improvement in coming quarters, with no dramatic fall in Q2 or Q3.

Anderson says silver's slide from the mid-$90s to the mid-$60s isn't over; he expects a bottom in months, not years, with the supply deficit unfixed. The guest calls the AI investment boom a bubble that resolves badly either way - mass job displacement, or trillions of capital mispriced and sold. Guanajuato Silver budgets 2026 conservatively at $54 silver and $3,920 gold, then sold some metal forward near the highs. Record Q1 revenue of $43 million included Bolanitos only from January 15; elevated AISC (all-in sustaining cost) reflects deliberate drilling and tunneling, not operating failure. Growth now hinges on consolidating the Guanajuato district; Fresnillo's adjacent dormant mines are the prize for a company built on acquisitions.

Gold/Silver Miner Buy The Dip List (June 2026)

Key Highlights

Durrett calls Guanajuato a simple story resting on three assumptions: roughly maintain production, keep all-in sustaining costs under control, and see silver reach $200.
He says those three assumptions are not a stretch and that he expects them to come to pass.
He notes silver was around $65 at the time of recording, meaning the company is not making much money right now.
He flags dilution as the main risk and says he does not want existing holders diluted.
On his $200 silver view he says the stock has substantial upside potential.

Gold and silver broke below their 200-day moving averages, and the host calls the 25% to 47% drop a buyable correction in a bull market. His trigger is the gold-to-S&P 500 ratio — gold's price divided by the index — near 0.6 today; 0.8–0.9 signals gold outperforming stocks. The watchlist spans producers, developers and explorers, with price assumptions of $7,000 gold and roughly $175 to $190 silver. Producers adding ounces rank above one-off development stories, since incremental production flows straight to free cash flow and lifts valuations quickly. He expects another, deeper dip before year-end tied to an S&P selloff, so he is assembling names to buy at lower prices.

First Profitable Quarter | Guanajuato Silver Q1 Earnings

Guanajuato Silver achieved its first net income positive quarter, driven by record revenue and record mine operating income following the Bolanitos acquisition. The video analyzes whether the company's valuation discount relative to peers is justified, noting that costs remain a key issue to monitor. Integration of the Bolanitos acquisition is the primary catalyst; the host argues successful execution could shift the company's production profile.

Guanajuato Silver - Record Q1 2026 Financials, Update On Operations, Development, and Exploration

5 months ago

Guanajuato Silver achieved record Q1 2026 financials with $43.1M revenue and $5.7M net income, driven by rising precious metals prices and improved operations. The acquisition of the Bolanitos Mine significantly boosted production metrics, contributing to a 104% quarter-over-quarter increase in gold output. The company is executing its largest-ever exploration program with 8 drill rigs, aiming to expand resources across its portfolio of Mexican mining assets.

Guanajuato Silver – Q4 2025 Financials, Early Partial Loan Repayment, 2026 Development & Exploration

5 months ago

Guanajuato Silver reported a 375% increase in mine operating income to $4.0M and a 163% increase in working capital to $14.2M in Q4 2025. The company achieved record revenue of $22.7M in Q4, driven by a 21% increase in silver production and significantly higher silver and gold grades. Management is executing the largest exploration program in company history, utilizing 7 drill rigs with plans to add 2 more to expand resources. Early partial repayment of the Ocean Partners loan signals improving financial health and operational cash flow for the growing silver producer. With $41.5M in cash and 94% of revenue from precious metals, the company offers outsized leverage to the silver price.

Don Durrett & John Feneck Interview Mayfair Gold ($MFG | $MINE) on Building a Mine in Ontario

Investor TV

6 months ago

Key Highlights

Don Durrett's core case is silver-price exposure: with the Bolanitos deal done and priced in, he expects only about 1 million added ounces over the next three years from current properties, so the stock's key driver is the silver price itself.
He notes the stock ran from about $0.23 US at the December deal announcement to about $0.85 post-announcement by February 2026, which is why he considers the acquisition already reflected in the price.
John Feneck disagrees, arguing Guanajuato is mispriced because it got Bolanitos so cheaply and it could contribute this year, though he concedes the company needs to put up better numbers.
Durrett expects deal maker James Anderson to keep growing the company through another acquisition, with several candidate projects available.

Mayfair Gold is permitting a 4,800 tonne-per-day starter pit at Fenn-Gib provincially, cutting years off the federal route to first production. Projects under 5,000 tonnes per day permit provincially in Ontario, avoiding a federal review where no new (greenfield) mine has won approval since 2019. Management guides to a sub-$1,200 AISC (All-In Sustaining Cost — the full cost to produce an ounce) and first gold in 2030. Staying small preserves optionality: regional high-grade and underground tonnes can sweeten mill feed (raise average grade) without expanding throughput or new federal permits. Don Durrett favors undervalued, leveraged silver producers while John Fenwick argues war headlines, not fundamentals, gate gold's next move.

Newsletter Favorites Upside (using New GSD Defaults)

7 months ago

Key Highlights

The host highlights Guanajuato Silver as a producer on the list that needs no growth and is just really cheap right now.
He says if silver goes to $200, Guanajuato has massive leverage, and could be a 20-bagger this year.
He caveats the leverage holds only if the company does not default.

Raising default price assumptions to $7,000 gold and $200 silver reflects conviction that current metal prices undershoot the macro setup. Screening 90 favorite miners at those prices prints 20-plus-bagger upside for many, but most need three-to-four-year mine builds first. Near-term producers like Guanajuato Silver need no new growth, so they offer immediate leverage if silver reaches $200. A gold-silver ratio squeeze toward 2.5-3% underpins the $175-200 silver target alongside $7,000 gold within 24-36 months. Timeline to getting paid is the key filter: the longer a mine build, the longer investors must wait for the printed upside.

JJ Jennex of Guanajuato Silver Company talks to Peter Krauth at the Metals Investor Forum in Toronto

Metals Investor Forum

7 months ago

Guanajuato Silver is actively expanding production and resources across its portfolio of historic silver and gold mines in Mexico's prolific mining districts. The company leverages operational improvements, exploration, and strategic acquisitions to drive growth in its producing assets in Guanajuato and Durango. Investors gain direct access to vetted junior mining management teams through the Metals Investor Forum, enabling informed investment decisions.

JJ Jennex of Guanajuato Silver presents at Metals Investor Forum in Toronto | February 2026

Metals Investor Forum

7 months ago

JJ Jennex, Director of Communications at Guanajuato Silver, presents company updates at the Metals Investor Forum in Toronto. The forum features vetted junior mining companies pre-screened by newsletter writers for strong management and promising properties. Investors gain direct access to management teams, enabling face-to-face evaluation of leadership quality and strategic vision.

Guanajuato Silver – TSX.V & OTCQX Top 50 Awards - Exploration Update On 75,000 Meter Drill Program

8 months ago

Guanajuato Silver recognized with TSX.V and OTCQX Top 50 awards, signaling strong market performance and growing investor confidence in the silver producer. Company advancing aggressive 75,000 meter drill program aimed at expanding resource base and extending mine life across their Mexican silver-gold operations. Exploration update highlights potential for new discoveries and resource growth, positioning GSVR for increased production capacity in near-term.

Newsletter Favorites Overview (Feb 2026)

8 months ago

Key Highlights

brief

Don says Guanajuato Silver is all about leverage to the silver price, but rising costs and share dilution have been issues, so he wants it to prove itself.
He calls the Balenitos deal acquired from Endeavour Silver a game changer: it should add at least 2 million ounces, taking production toward 5-6 million ounces, where he sees a $3 billion valuation versus the current $400 million.

Durrett argues there is limited time left to buy gold and silver producers while they are still cheap, expecting one more significant dip. His Newsletter Favorites list leans on quality Canadian and Australian mid-tier producers, which he expects to re-rate as the bull market warms up. Companies whose second and third projects get no market value offer free upside — you pay for the first asset and get the rest for nothing. Cheap forward free-cash-flow multiples persist in West Africa and among silver producers, where weak sentiment discounts heavy leverage to metal prices. Australian producers like Ramelius reaching major-sized valuations is, in his view, the first sign the junior gold bull market is broadening.

Guanajuato Silver – Acquisition Of The Bolanitos Gold-Silver Mine in Mexico Fuels Growth In 2026

9 months ago

Key Highlights