Last year,starting in late 2009,and all spring and summer last year Silvermex 'established' a base (if that means anything ) of 'support' (if that means anything) at a zone between 35 and 20 cents. I'm placing a stink bid to buy at .27
I could just as well place it at .22...doesnt matter. I have done ok so far trading thru technical analysis,at times like this, when support levels and fibs and trendlines get hit.
Is there anything wrong with silvermex? did a mine collapse or something? did they suffer an attack from drug war overlords, embezzlement from executives? Loss of mining permits? government nationalization? Anything ?? aside from the silver paper price manipulation rigged game.....
Whats the purpose of a stink bid? If technical analysis still means anything now (another good topic for debate)
this is a time to place a stink bid to buy around 25 or 30 cents.
Just a side note that is related.....The S+P , as bad as it looks dropping ,plunging down thru the range, to make a lower close....in Elliott wave structure analysis....alll this is is the onset ,continuation of the 'Wave 5' ...w ith todays move we confirm the completion of the choppy wave 4 and now wave 5 is ongoing and has a target at the 1040-1060 area. not too much more bloodshed. From there we should get at least a bounce rally (ABC structure) back to retest the 1200 area.
and to whatever extent the miner stocks still move alongside the general market (they still do) then if we get a support zone holding at the 1040 area (its a big critical support zone) the S+P should bounce and the miners which hit their respective bottom should also do the same.
Silvermex looks to be precisely setting up to hit bottom and bounce at that big support line around 26 cents.
I'll buy some more with the stink bid at ..... anything around .25-27 cents,is good enough.
4000 shares at 25 cents .... comes to 1 thousand bucks. I'll sell half at 50 cents and the rest is free. a small wager ,its a totally technical analysis trade.,nothing more than that.
I'll watch the S+P bottom at 1050 area as my signal.
Nice bounce back on SLX, and most other miners for that matter. SLX finished back to .43 up over 16% on the day.
Nice bounce back on SLX, and most other miners for that matter. SLX finished back to .43 up over 16% on the day.
Yeah, I'm happy too. Now, if they would be so kind as to pick this silver producer (yes, they're producing right now, making sales right now, drilling right now) up off its ass and let the price run, please. We get it. You control it. Now control the damn thing back to a dollar!
Seems at least one big holder of slx DECIDED to get out and drove the price down under .40. I suspect they will be lamenting giving in to panic. SLX was a great buy down there, just based on ozs in ground.
SLX issued a drill update the last couple days...anyone had a chance to break that down? My quick skim lead me to believe there were some decent silver numbers but no tonnage estimates; and that the firm will continue exploratory work at Guiterra.
Also, is there a good current analysis available on their financial condition? They have been in a good cash position for most of the last year (recall something around $20-25 M), but not clear if current production sales exceed the burn rate. Any thoughts more than welcome.
VANCOUVER, BRITISH COLUMBIA, Nov 09, 2011 (MARKETWIRE via COMTEX) -- Silvermex Resources Inc. ("Silvermex") CA:SLX -2.00% announces that full capacity of production has been reached at its La Guitarra mine, in the Temascaltepec mining district of Mexico, located 130 km southwest of Mexico City in the State of Mexico. Production for the third quarter of 2011 was 24,820 tonnes, a 53% increase from Q2 2011.
In July, the mill operating schedule increased from four days to seven days a week and by the end of September had reached full capacity at an average of 320 tons per day ("TPD"). Full capacity is expected to be reflected in full in Q4 2011 production and financial results.
"We are very pleased with the progress and results to-date from the La Guitarra mine," stated Michael Callahan, President of Silvermex. "2011 has been a transformative year at the operation. In less than one year, we doubled the mill throughput that the mine has produced over the past several years and achieved full capacity ahead of schedule. This shows that our commitment to increasing productivity and efficiencies at the mine has paid off and that we are delivering on the objectives we have set for this year."
Second Quarter Highlights:
Production cost information will be provided in conjunction with Q3 2011 financial results expected to be released by mid-November 2011.
Regarding the Q3 2011 production results, Duane Nelson, CEO of Silvermex, stated: "Now that we have the mill operating at full capacity we are able to focus our attention on increasing production. Our primary focus is to continue the advanced exploration and in-fill drilling on the identified potential production centers within close proximity to the mill. We are confident that the district will provide Silvermex with an attractive production growth profile due to the potential of multiple satellite production centers similar to the current La Guitarra mine."
Silvermex got slammed down 4% today.
just another day at the office......
Watch the resistance in Silvermex at the 60 cent area.
This co is tough to get a handle on, by rights the MO should be positive by now yet it ain't. Its tough to get any kind of meaningful response outta IR and that annoys this cowboy greatly. Shareholders are paying the freight 100%, so that IR function had better be on the freakin ball. Right now I have doubts that stakeholders are getting any return on that score.
Well the stock is down about 33% from when I picked up a few shares. That being said you have other minerals here that make it worth putting some spec money into it. Not only that but they have a pretty good chunk of silver. That indium and gallium are some rare stuff. Do not underestimate this.
Certainly a longer term play but that is why we buy at these levels for the future payoff. Currently 4 oz. silver per share, 6 oz. silver equivalent per share. So, that is good for me. That doesn't even include the Chile gold/silver/copper project.
People might be worried about the Bolivian mine but there is quite a chunk of ownership and Sprott is an owner too. I'm not worried and would like to get more.
From the latest presser:
In addition to the updated PEA, the Company announced an updated resource estimate for the Malku Khota project expanding Measured and Indicated resources by 60% to 230 million ounces of silver with an additional Inferred resource of 140 million ounces of silver. In addition to the increased silver content, the updated resource estimate also included a Measured and Indicated resource of 1,481 tonnes of indium and 1,082 tonnes of gallium, plus 935 tonnes of indium and 1,001 tonnes of gallium in the Inferred category.
OMG. Well I had the price right but all my other info was from South American Silver. So, if you are looking for another good silver company.......
SLX taking off today in anticipation of good numbers tomorrow or later this week...
Let's hope so.
do they report numbers this week?
it should take a good rip up from the looks of the recent news, full production ahead of schedule and all that
I'm thinking this could be on a ramp to 2.00 soon
Altho really not a profit as far as EPS , that would be comparable to RVM and other undervlaued miners, b ut it was still a good Q and the company in great shape. No dilution needed in the near future.
Silvermex Resources loses $4.9-million in Q3
2011-11-14 16:49 ET - News Release
Mr. Duane Nelson reports
SILVERMEX RESOURCES INCREASES PRODUCTION AND REVENUES IN THIRD QUARTER OF 2011
Silvermex Resources Inc. ("Silvermex") (TSX:SLX) reported today its unaudited financial results for the quarter ended September 30, 2011. The La Guitarra Mine, located in the Temascaltepec mining district of Mexico, has achieved the maximum capacity of its current mill design. Having achieved its objective for 2011 of reaching full mill capacity, the Company will now focus on conducting advanced exploration programs with the objective of expanding production.
Highlights from the quarter include:
The Company achieved a gross profit of $1.7 million for the three months ended September 30, 2011, on sales of gold and silver of $5.1 million compared with a gross loss of $0.3 million, for the comparative 2010 period, on sales of gold and silver of $0.3 million.
Revenue increased for the three months ended September 30, 2011 compared with the three months ended June 30, 2011 due to at 58.9% increase in production and a 106.6% increase in ounces sold.
The Company incurred a net loss of $4.9 million for the three month period ended September 30, 2011 compared with a net loss of $0.5 million for the same period in 2010.
The increase in net loss in the third quarter of 2011 is mainly attributable to the $7.2 million write down of the San Marcial property. After completing an internal evaluation of San Marcial, Silvermex has determined that due to a number of factors, including the terms of the option agreement with Silver Standard Resource Inc. ("Silver Standard") the property does not, at this time, warrant further development as a standalone project. Although management has written-down the property, the terms of the option agreement are in the process of being renegotiated and may retain the property if the renegotiated terms are acceptable. Adjusted net income, which excludes stock based compensation and the write down of the mineral property interest, for the three months ended September 30, 2011 was $2.6 million compared to adjusted losses of the same period in 2010 of $0.3 million.
For the third quarter, cash generated was $0.6 million compared with cash used of $0.2 million for the same period in 2010. At September 30, 2011, the Company had cash on hand of $14.0 million and short term investments of $7.4 million, current assets of $28.6 million and working capital of $24.6 million. The Company believes that the current cash on hand and short term investments are sufficient to meet its cash requirements for the consolidated entity for the next 12 months.
"We are very pleased with the financial performance of the operation," stated Michael Callahan, Silvermex's President. "Our objectives of improving efficiency, increasing productivity and building a solid team are providing tremendous results. Attaining full production will allow us to maximize cash flow from La Guitarra and provide the platform to grow in the district. Our underground drilling has shown very positive results, as we have announced thus far, and our surface drill program is well underway. We are excited about the potential we have to grow the Temascaltepec district into a multi-million ounce silver producer and create significant value for our company."
Began buying back into SLX at .48 and .47 this week, and anywhere under .50 is a buy imo, as i believe we are at the start of a rally in the miners shares.
SLX current share price of .47 gives them a market value of about 115 million $, well below the levels they were trading at right after the merger with Genco. There has been a concentrated short position in SLX, at times a good % of it naked shorted.
I suspect these minions will start to cover in, on any big move in the silver miners and SLX likley one of the better values out there based on resource and reserves proven with over 200 million ozs of silver equiv ( about a million ozs gold as by product).
Management for the most part is a seasoned bunch from Silver Standard and Hecla, altho the CEO Duane Nelson not really a mining background. However , as we know, promotion appears to be half the game at least in the markets.
With the latest drill results from Coloso , i think SLX will start to move ahead with expansion of the underground mining. Coloso actually had the highest grades in reserves from the feasability done by Genco way back when ( substantially higher , nearly twice as rich). Recent drilling will confirm that and more will be moved into reserves and we will likely see a satellite mine, maybe an additional 300 per tonne day come from Coloso. ( just speculation on my part)
La Guitarra and Temascaltepec Silver Gold Mining District Underground Reserves by Area
Mina de Agua
Total Reserves Underground
The market should begin to anticipate an announcement of planned production increase with good economics.
Going long here and holding.
Nice work ,Mouser, thanks.
I am thinking the first half could be kind to SLX...they should have a great first half, and with a swing up in silver price, they will get some attention.
New presentation 2012
2012 focus on production expansion
This... report looks so professional and I'm sure it must have some value.... (wait ,I see it is old , from 2 months ago....and ... I see its from Casey, the very newsletter I love...... which was WHY I went and bought some silvermex back then , and cant wait to sell it if I can break even.... here we are today with the market, the entire gold and silver and miner sector went soaring today.....and there were maybe only a small few miners that went down or stayed flat...... not a good sign on a day like today, as Eric O said, and I agree....
and one of the dogs that stayed down today ..... was this very Silvermex.
Can you give us a follow up report as to why Silvermex stayed a dog today . ?
maybe it will blast up tomorrow ? like a delayed fuse or something.....
I like casey research and Louis James work.... but they have one or two dogs and Silvermex has been barkin all last year and today was still sleeping.