News

MAG Silver to Hit Major Catalyst by Year-End With Juanicipio Commissioning

November 9, 2021 (Investorideas.com Newswire) All that needs to be done beforehand is connecting to the Mexico power grid then no-load and water testing, noted a Cormark report.

image

MAG Silver Corp. (MAG:TSX; MAG:NYSE American) remains on track to commission the newly constructed plant at Juanicipio, its joint venture project with Fresnillo, by the end of 2021, Cormark analyst Richard Gray reported in an Oct. 28 research note.

He added that “the transition to the Juanicipio plant commissioning in Q4/21 is the next major milestone that could drive the multiple higher.”

Where the project stands now, Gray noted, is in the precommissioning stage, with testing being done of processing systems. Mechanical completion is nearly done. After that, Juanicipio will be connected to the Mexican power grid. Then no-load testing, water testing and full-load commissioning will take place.

By year-end 2021, the Juanicipio plant should reach 40-50% of its 4,000 tons per day nameplate capacity, according to the joint venture partners. They expect to reach 90-95% capacity in 2022.

“We expect this to be achievable as Fresnillo/MAG have been batch processing ore over the past 14 months, which should materially derisk the metallurgy and allow for a rapid ramp-up,” Gray wrote.

The analyst also reported MAG’s Q3/21 operational numbers, all from Juanicipio. The quantity of ore batch processed (at the nearby Fresnillo plant) exceeded Cormark’s forecast, 57,127 tons versus 44,000 tons, respectively. It also exceeded guidance of 48,000 tons and the Q2/21 and Q1/21 amounts.

Q3/21 production at Juanicipio, on a 100% basis, was 667,532 ounces (667,532 oz) of silver and 1,107 oz of gold, higher than Cormark’s 498,000 oz of silver and 800 oz of gold estimates.

Cormark has a Market Perform rating and a CA$24.75 per share target price on MAG Silver. The mining company’s current share price is about CA$24.70, “reasonably priced” in Cormark’s view, Gray wrote.

Disclosures:

1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.

2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: MAG Silver Corp. Click here for important disclosures about sponsor fees.

3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.

4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.

5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of MAG Silver Corp., a company mentioned in this article.

Disclosures for Cormark, MAG Silver Corp., Oct. 28, 2021

The firm does not receive compensation for any non-securities or non-investment banking related services. Neither the analyst nor the associate (if any), or any member of his/her household, serve as an officer, director or employee or serve in any advisory capacity of the subject company(ies) under their coverage.

CSI actively solicit investment banking business, including underwriting and advisory services, from its research coverage list. As a result, although uncertain, revenue from these activities may be received at any time.

All relevant disclosures required by regulatory rules (including IIROC) and Cormark’s recommendation statistics and research dissemination policies can be obtained at www.cormark.com.

Cormark will provide, upon request, a statement of its financial condition and a list of the names of its Directors and senior officers.

A full list of our disclosure statements as well as our research dissemination policies and procedures can be found on our web-site at: www.cormark.com

More Info:

Investorideas.com Newswire

This news is published on the Investorideas.com Newswire – a global digital news source for investors and business leaders

Disclaimer/Disclosure: Investorideas.com is a digital publisher of third party sourced news, articles and equity research as well as creates original content, including video, interviews and articles. Original content created by investorideas is protected by copyright laws other than syndication rights. Our site does not make recommendations for purchases or sale of stocks, services or products. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. All investing involves risk and possible losses. This site is currently compensated for news publication and distribution, social media and marketing, content creation and more. Disclosure is posted for each compensated news release, content published /created if required but otherwise the news was not compensated for and was published for the sole interest of our readers and followers. Contact management and IR of each company directly regarding specific questions.

More disclaimer info: https://www.investorideas.com/About/Disclaimer.asp Learn more about publishing your news release and our other news services on the Investorideas.com newswire https://www.investorideas.com/News-Upload/ and tickertagstocknews.com

Global investors must adhere to regulations of each country. Please read Investorideas.com privacy policy: https://www.investorideas.com/About/Private_Policy.asp

Gold Mining Stocks - Gold Mining Stocks Directory, Gold Stocks News, Research and Resources

Gold-MiningStocks.com – investing ideas in gold and mining stocks

Like Gold Stocks? View our Gold / Mining Stocks Directory

What's your reaction?

Excited
0
Happy
0
In Love
0
Not Sure
0
Silly
0

You may also like

Leave a reply

Your email address will not be published. Required fields are marked *

More in:News