Barry FitzGerald

Avanco Resources (ASX:AVB)
By Barry FitzGerald
Fair enough too. But greater leverage to the copper thematic could well be found amongst the juniors, particularly those with established production, little or no debt and a well mapped-out plan for strong growth.
It is on those points that Brazil-focussed copper/gold group Avanco Resources has been kicking goals, with the market responding by pushing it up from 6 cents a share back in November to the 9.1 cents a share level this week.
Avanco commissioned what is planned to be its first mine in Brazil’s northern reaches, the Antas open-cut, in April last year.
That things have been going well was confirmed in the recently released December quarter report of record production for the period of 4,010 tonnes of copper and 2,839 ounces of gold. All-in sustaining costs at a competitive $US1.53 a pound after gold credits underpinned record free cashflow from operations of $US7.5 million.
Impressive stuff and something of a novelty given the poor commissioning track record of most other new developments in recent times, be they here in Australia or overseas. But as might be expected from a company now sporting a market capitalisation of $220 million (Avanco is debt-free and is holding $US23 million cash), there is both near and longer-term growth in the pipeline.

Read more at http://resourcesrisingstars.com.au/infopage/9880