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Just looking at the most recent financial statement published,http://www.aurcana.com/i/pdf/2012-Q3-FS.pdf , to Sept 30, 2012, La Negra was basically the bread winner with around $40.6 million of earnings over the first 3 quarters of 2012, with $6.9 million profit. That doesn’t go too far when divided-up 485 million times.
The good news for AUN holders is Shafter is going to stop costing money, and start making it. Around 3.9 million ounces of silver are planned to be mined this year, which is around $121 million of revenue at today’s $31/oz price. I don’t know projected net income, but extrapolating from La Negra (6.9M/40.6M = 17%), then 17% of Shafter’s revenue is $20.5 million, or .04 cents per share.
If you took 10 years of earnings from both mines, and discount a little, AUN should trade higher than .80/sh, maybe $1.20. That’s quite a feat considering what Lenic had to work with when he took over. It’s not a huge growth play, but as PM’s go up, and if they can mine more silver, or mine for lower cost, it can make money.
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