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The Golden Trove: McEwen Mining’s Glittering Results, Buenaventura’s Financial Fortunes, and Royal Gold’s Dividend Declaration

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McEwen Mining Strikes Gold:


In the tumultuous landscape of mining, McEwen Mining Inc. MUX emerges as a shining star, unveiling its fourth-quarter and full-year 2023 financial results on Friday.


The fourth quarter saw a stunning net income of $137.9 million ($2.88 per share) compared to a bleak net loss of $37.4 million ($0.79 per share) in Q4 of 2022.


Driven by enhanced mining efficiency, McEwen Mining achieved exquisite daily, monthly, and quarterly production milestones, with the Fox Complex reaching a zenith of 1,300 tons per day in average mill throughput.


For the entire year, the company reported a robust net income of $54.7 million ($1.15 per share), a remarkable turnaround from the $81.1 million loss ($1.71 per share) suffered in 2022.


While gold production at the Fox Complex and Gold Bar mine outshone expectations, the San JosΓ© mine faltered slightly, with cash costs and all-in sustaining costs running 12-18% higher than anticipated.


The strategic move in October 2023 saw McEwen Mining’s stake in McEwen Copper diminish to 47.7%, leading to a shift in accounting treatment to equity investment, resulting in a breathtaking $224 million gain and a dazzling $384 million investment valuation.


Buenaventura’s Precious Pot of Gold:


Peru’s pride, CompaΓ±ia de Minas Buenaventura S.A.A. BVN, unveiled its majestic fourth-quarter and full-year 2023 financial results.


In the fourth quarter, the company showcased a glittering EBITDA of $116.4 million, a delightful jump from $76.9 million in Q4 of 2022, with an annual EBITDA of $238.3 million soaring above the $173.1 million mark in FY22.


Despite this gleam, Buenaventura stumbled with a fourth-quarter net loss of $3.0 million, a dip from the $56.7 million net income in the same period in 2022, and an annual net income of $39.5 million in 2023, a fall from the previous year’s dazzling $124.4 million.


The year’s end painted a picture of financial stability, with a treasure chest of $219.8 million in cash and a trimmed net debt of $486.8 million. Actions such as the sale of Contacto to Howden for $33.7 million, the commencement of silver production at Yumpag, and a provision of $113.2 million due to a Supreme Court ruling added intriguing facets to Buenaventura’s tale.


Furthermore, Buenaventura reaped the rewards of $49.0 million in dividends from Cerro Verde in December, totaling a staggering $146.9 million for 2023, and proposed a dividend payout of $0.0726 per share/ADS, a gesture that glistens in the eyes of investors.


Royal Gold’s Regal Proclamation:


Royal Gold, Inc. RGLD heralded the decree of its board of directors, declaring a second-quarter dividend of 40 cents per share, a royal gesture to its loyal subjects, the shareholders.


This illustrious dividend shall be bestowed upon the shareholders on Friday, April 19, 2024, a date marked in gold, to those with ownership as of the veil falling on the business day of Friday, April 5, 2024.


In a melody of market predictions, HC Wainwright & Co. analyst Heiko Ihle sang praises for U.S. Gold Corp USAU, affirming a Buy rating and maintaining a price target of $11, a forecast that glimmers with optimism.


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Photo: Shutterstock



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