Antas mine progressing on time, under budget and as promised by management.
- Pit design further optimised - lower cost for higher profit
- Grade control drilling confirms HGZ mineralisation 15m vertically from surface (as predicted).
- Reputable mining service group appointed along with management team and board strengthened.
What we are seeing is a junior company demonstrating an ability to develop mining operations in the toughest of conditions at the bottom of the cycle. Commodity price fall is forcing other companies to go into preservation mode and Avanco is expanding.
Growing its JORC resource, increasing grade and growing its geographical foothold in the Carajas. Exploration is ongoing and looks to be ramping up now we have a reliable revenue stream in sight. Clearly a company with a growth profile that can withstand these tough cyclical conditions.
The key now is to continue to demonstrate proof that they can produce stage 1 mine successfully which then is a template for the larger stage 2 project and multiple stages there after. I believe this is what the cornerstone investors see and future institution investors are waiting confirmation of.
AVB Price at posting:
6.9¢ Sentiment: Buy Disclosure: Held
