Here’s a very small, sidebar segment that made The IKN Weekly IKN675, out last night:
McEwen Mining (MUX) and a lack of news
Considering two separate but related issues at MUX:
- MUX always pre-announces its quarterly production numbers and up to this month, the latest date for the regular NR is the 19th of the month after quarter close. It’s normally in the period 9th to 13th and has been as early as the 6th. Today is April 24th and we still haven’t had the NR, all we got was the April 5th NR that announced the financing under duress, which mentioned only Gold Bar had performed to guidance.
- Despite MUX promising news by end March on the closure of the McEwen Copper U$80m (or $60m?) financing, as per the 4q21 conference call, all we’ve had so far is a passing mention in the April 5th NR that noted the separation of the Los Azules asset from loan securities would help this specific financing happen. So April 24th and still no news on McEwen Copper financing progress.
Put those two together and the Friday dump in MUX may have fundamental reason behind it, rather than mere sector sympathy.
That was Sunday, this is Monday and as it happens, we did get a NR out of MUX this morning. However, its contents were an Exploration Update for Fox Complex & Gold Bar, but not a dickie bird about either 1q22 production or the McEwen Copper financing. If we take the old mining market truism that good news travels quickly, bad news slowly as our guide, there may be more of the latest downleg in MUX’s extended fall from grace before the selling is done.
Maybe a 3-for-1 reverse split, Rob? At some point, not even a twofer will be enough to keep the NYSE regulators off your back. Mind you, it’s not all bad news from the company these days as this ray of light from the Sault Star points to good morale at its Canadian segment: