Welcome to our dedicated page for Americas Gold And Silver news (Ticker: USAS), a resource for investors and traders seeking the latest updates and insights on Americas Gold And Silver stock.
Overview of Americas Gold and Silver Corporation (USAS)
Americas Gold and Silver Corporation is a Canadian-based mining company specializing in the acquisition, exploration, development, and production of precious metal mineral properties. With a primary focus on silver and gold, the company operates a diversified portfolio of assets strategically located in North America, including the United States and Mexico. Americas Gold and Silver trades on the Toronto Stock Exchange (TSX: USA) and the NYSE American Exchange (NYSE American: USAS), reflecting its dual-market presence.
Core Operations and Asset Portfolio
The company’s operational footprint spans multiple high-potential mining regions:
- Cosalá Operations (Sinaloa, Mexico): A cornerstone asset, this operation focuses on silver and base metal production, leveraging its rich mineral deposits and established infrastructure.
- Galena Complex (Idaho, USA): A high-grade silver mining operation, recently consolidated under full ownership by Americas Gold and Silver. This asset is notable for its robust reserve base and significant growth potential.
- Relief Canyon (Nevada, USA): A gold-focused operation currently undergoing re-evaluation to optimize its production capabilities.
- San Felipe Development Project (Sonora, Mexico): A key development-stage asset with promising silver and base metal reserves, positioned to contribute to the company’s future growth.
Business Model and Revenue Streams
Americas Gold and Silver derives its revenue primarily from the extraction, processing, and sale of silver, gold, and base metals. The company’s strategic focus on low-cost production enables it to remain competitive in a volatile commodity market. By consolidating ownership of high-potential assets, such as the Galena Complex, and optimizing operational efficiencies, the company aims to enhance its production output and cost structure.
Industry Context and Competitive Position
Operating within the precious metals mining industry, Americas Gold and Silver navigates a landscape characterized by fluctuating commodity prices, stringent regulatory environments, and high capital requirements. The company competes with other junior and mid-tier mining companies, differentiating itself through its geographically diverse asset base, focus on low-cost silver production, and commitment to operational excellence. Its strategic positioning in resource-rich regions of North America further strengthens its competitive edge.
Operational Challenges and Strategic Initiatives
Key challenges for the company include market volatility, operational risks, and the need for continuous capital investment in exploration and development. To address these challenges, Americas Gold and Silver employs a strategy of asset optimization, cost management, and strategic acquisitions. The recent consolidation of the Galena Complex exemplifies its focus on unlocking value through operational control and resource optimization.
Conclusion
Americas Gold and Silver Corporation stands out as a dynamic player in the precious metals mining sector, with a well-diversified asset portfolio and a strategic focus on low-cost silver production. Its operations in North America position it advantageously within the industry, while its commitment to operational efficiency and strategic growth initiatives underscores its potential to deliver long-term value.
Americas Gold and Silver (NYSE: USAS) has provided an update on its Galena Complex following the December 19, 2024 consolidation transaction. The company has initiated several key operational improvements including:
- Upgrades to the #3 shaft hoist system to increase hoisting capacity beyond 700tpd, expected completion in Q4 2025
- Order of five new pieces of underground equipment with delivery in Q1 2025 and commissioning in Q2 2025
- Metallurgical optimization program to enhance by-product recovery of copper, antimony, and gold
- Discovery of new high-grade silver-copper veins, including the 049 vein with notable results up to 1,731 opt Ag and 16.3% Cu
The company has identified hoisting capacity as the primary production bottleneck and is implementing a multi-step upgrade plan including motor size increases, brake improvements, and communication system modernization. Additionally, metallurgical testing is underway at SGS Laboratories to maximize metal recoveries and optimize concentrate sales.
Americas Gold and Silver has completed the acquisition of the remaining 40% interest in the Galena Complex in Idaho from Eric Sprott's affiliate. The transaction terms include:
- 169,999,998 common shares issued to Sprott's affiliates
- US$10 million cash payment
- Monthly silver deliveries of 18,500 ounces for 36 months starting January 2026
- Total of 294,999,998 company shares issued, including 125,000,000 subscription receipts at C$50 million
The company has also reconstituted its board of directors with 50% new members, including Paul Huet as Chairman & CEO. Eric Sprott now owns approximately 20.3% of the company's outstanding shares following the transaction.
Americas Gold and Silver (TSX:USA; NYSE American: USAS) announced the results of its special meeting held on December 17, 2024. Shareholders approved several significant share issuances, including 117,270,000 common shares to Sprott Mining and 52,730,000 common shares to Sprott Preferred Sellers. Additionally, they authorized the issuance of 125,000,000 common shares through subscription receipts at C$0.40 per receipt, and 682,850 shares to Edgehill Advisory The total authorized issuance of 305,682,850 common shares represents a dilution exceeding 25% of current outstanding shares. The meeting saw participation from 86,059,017 shares, representing 31.07% of total outstanding shares.
Americas Gold and Silver (TSX: USA) (NYSE American: USAS) has announced the filing and mailing of Meeting Materials for a special shareholders meeting on December 17, 2024, regarding the proposed acquisition of the remaining 40% interest in the Galena Complex. Due to a Canada Post labour strike, shareholders may face delays in receiving materials before the December 13, 2024 voting deadline. Shareholders can access materials through SEDAR+ or contact Carson Proxy Advisors. The company encourages early voting and provides multiple channels for material access and voting assistance.
Americas Gold and Silver reports Q3-2024 results with revenue increasing 31% to $21.0 million compared to Q3-2023, driven by higher realized silver prices of $29.71/oz. The company reported a net loss of $16.1 million, wider than Q3-2023's $10.5 million loss. Production reached 0.4 million ounces of silver and 0.9 million ounces of silver equivalent. The company announced an agreement to acquire the remaining 40% of Galena Complex and completed a C$50 million private placement. Paul Andre Huet will be appointed CEO effective November 11, 2024, focusing on unlocking Galena Complex's value.
Americas Gold and Silver has completed its upsized 'bought deal' private placement of subscription receipts, raising C$50 million by issuing 125,000,000 subscription receipts at C$0.40 each. The proceeds will fund the acquisition of the remaining 40% interest in the Galena Complex in Idaho, growth initiatives, debt repayment, and working capital. Each subscription receipt converts to one common share upon meeting escrow release conditions, including acquisition closing approvals. The transaction, expected to close by year-end, is subject to shareholder and exchange approvals.
Americas Gold and Silver (TSX: USA) (NYSE American: USAS) has upsized its previously announced private placement of subscription receipts to C$45 million. The company will now issue 112,500,000 Subscription Receipts at C$0.40 per receipt. An additional option to purchase up to 12,500,000 Subscription Receipts could increase the total gross proceeds to C$50 million.
The proceeds will be used for growth initiatives at the Galena Complex, payment of cash consideration to Sprott, repayment of existing debt, and working capital. The offering is expected to close around October 30, 2024, subject to regulatory approvals. Each Subscription Receipt will entitle the holder to one common share of Americas upon satisfaction of certain conditions related to the acquisition of the remaining 40% interest in the Galena Complex.
Americas Gold and Silver has announced a binding agreement to acquire the remaining 40% interest in the Galena Complex in Idaho, USA, consolidating the current joint venture. Key highlights include:
1. Paul Andre Huet will be appointed Chairman and CEO upon closing.
2. A bought deal private placement financing of subscription receipts to raise C$40 million at C$0.40 per receipt.
3. Advanced discussions for debt refinancing to restructure the company's balance sheet.
4. Consolidation of Galena, a major silver mine in North America.
5. Eric Sprott to become the largest shareholder.
6. Enhanced leverage to silver, with 80% of revenue expected from silver by H2 2025.
The transaction is subject to shareholder and regulatory approvals, with closing expected by the end of the year.
Americas Gold and Silver (TSX: USA) (NYSE American: USAS) reports consolidated financial and operational results for Q2-2024. Highlights include:
- Consolidated revenue increased 62% to $31.6 million
- Positive EBITDA of $11.1 million and net income of $4.4 million from combined Cosalá and Galena operations
- Consolidated attributable silver production of 0.51 million ounces
- Significant reduction in cash costs to $12.42/oz silver and AISC to $19.58/oz silver
- Record quarterly production at Galena Complex since 2013
- $15 million secured Credit and Offtake Agreement signed for EC120 Project at Cosalá Operations
The company aims to generate over 80% of its revenue from silver production by the end of 2025.
Americas Gold and Silver (TSX: USA) (NYSE American: USAS) has signed a Credit and Off-Take Agreement with Trafigura PTE for the development of the EC120 Project at its Cosalá Operations in Mexico. The agreement provides a secured credit facility of up to $15 million, with an initial draw of $10 million expected. The project aims to begin producing high-grade silver-copper concentrate in Q3-2025.
Key highlights include:
- Projected annual production of 2.5 million ounces of silver and 4.5 million pounds of copper
- Estimated cash cost of $9.61/oz and all-in sustaining cost of $10.81/oz
- Expected to increase the Company's silver-derived revenue to over 80% by end of 2025
- Commercial production estimated to start in Q3-2025
- Credit facility terms: 36-month term, SOFR plus 6-6.5% interest rate, 12-month grace period
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