The Dividend Paying Copper Producer with a Unique Approach: Amerigo Resources (TSX: ARG; ARREF: OTC)

Amerigo Resources
Published on: March 10, 2022
Author: Editor

Amerigo Resources is a historical copper producer that produces copper at its 100% owned MVC operation in Chile by processing fresh and historic tailings from Codelco’s El Teniente mine. We invited Aurora Davidson, the CEO of Amerigo Resources, to give us an update on the company’s progress. What is the extra value Amerigo will have operating in Chile? What were the major success factors needed to operate this business sustainably? How does Amerigo compare itself with its peers with regards to paying dividends? What’s the growth plan for Amerigo? And lastly, why should investors pay attention to Amerigo?

Watch today’s CEO interview to find out the answers!

About Amerigo Resources (TSX: ARG; ARREF: OTC)

Amerigo’s business model is built on US$300 million of investment since 2003 when Amerigo bought MVC. The operational objectives are to maximize production from fresh and historic tailings and manage costs to maximize margin. MVC has low sustaining capex requirements (US$6 million per year) and predictable EBITDA and cash flow.   Amerigo is a pure copper play producer, highly levered to the copper price, poised to meet an annual production target of 61 million pounds of copper in 2021, and expected to generate EBITDA of US$61 million at a copper price of US$4 per pound.  Amerigo is in a strong financial position which has put the company in a position to return a significant amount of capital back to shareholders. Amerigo is returning capital to shareholders through quarterly dividends and share buybacks.

For more information, please visit the website.

NAI500’s new CEO Interview series is a program where we invite CEOs and senior executives of exciting public companies to uncover great investment opportunities for every day investors. If you don’t want to miss out on the great opportunities that we bring, subscribe to our YouTube channel and other social media channels below!

Disclaimer: NAI is being compensated for this content. Materials contained in this content are for information purposes only and is not intended to constitute an offering of securities in any jurisdiction. Nothing on this content should be construed as an offer, solicitation or recommendation to buy or sell products or securities.

Copper Mining