Topic: How To Invest

Power Growth Investor Hotline – Friday, November 24, 2023

Article Excerpt

AMERIGO RESOURCES LTD., $1.31, is a buy for aggressive investors. The company, symbol ARG on Toronto, processes copper and molybdenum from the waste rock of the El Teniente mine in Chile. That site is the world’s largest copper operation. Amerigo also has other deals to process material at the nearby Colihues and Cauquenes tailings ponds. It currently gets 94% of its revenue from processing copper. The remaining 6% comes from its output of molybdenum, which is used in steelmaking. This week, Amerigo reported lower copper production in the latest quarter. The company’s copper production fell 30.6%. Specifically, output for the three months ended September 30, 2023, dropped to 11.1 million pounds (at a production cost of $2.44 per pound) from 16.0 million pounds (at a cost of $1.93) a year earlier. Copper production in the latest quarter was sharply lower due to severe rain in central Chile, which temporarily affected operations in two separate events. Amerigo fully resolved these disruptions and resumed…