Friday, January 20, 2006
Readers Choice: Take A Look At Silver Wheaton
One reader recommended a look at a silver mining stock. "Silver Wheaton Corp. (SLW) engages in the purchase and sale of silver. It purchases silver produced by Luismin mines in Mexico and the Zinkgruvan Mine in Sweden. The company was incorporated in 1994. It was formerly known as Chap Mercantile, Inc. and changed its name to Silver Wheaton Corp. in 2004. Silver Wheaton is headquartered in Vancouver, Canada."
At this link one can find the financial statements. And at this link the company explains it's cost per ounce is only $3.90; that is probably Canadian. This isn't a small company either, with a market cap near one billion.
Here are the companys reserves and resources.
From the firms 12/22/05 press release. "Silver Wheaton Corp. is pleased to announce that it has closed its previously announced bought deal equity financing for gross proceeds of C$100 million. A syndicate of underwriters, led by GMP Securities L.P., and including Scotia Capital Inc., Haywood Securities Inc. and Fort House Inc., purchased 15,625,000 units at a price of C$6.40 per unit. The size of the offering was increased from C$80 million to C$100 million upon the exercise of the underwriters’ option to purchase an additional C$20 million of units. Each unit consists of one common share and one-half of one Series 'B' common share purchase warrant."
"Each whole warrant entitles the holder to purchase one common share of Silver Wheaton at a price of C$10.00 at any time on or before December 22, 2010. The warrants are listed on the Toronto Stock Exchange under the trading symbol 'SLW.WT.B.'"
"Silver Wheaton is the only public mining company with 100% of its revenue from silver production. Silver Wheaton is debt-free, unhedged and well positioned for further growth."
So my question for the reader is, what is SLW planning to do with the C$100 million?
At this link one can find the financial statements. And at this link the company explains it's cost per ounce is only $3.90; that is probably Canadian. This isn't a small company either, with a market cap near one billion.
Here are the companys reserves and resources.
From the firms 12/22/05 press release. "Silver Wheaton Corp. is pleased to announce that it has closed its previously announced bought deal equity financing for gross proceeds of C$100 million. A syndicate of underwriters, led by GMP Securities L.P., and including Scotia Capital Inc., Haywood Securities Inc. and Fort House Inc., purchased 15,625,000 units at a price of C$6.40 per unit. The size of the offering was increased from C$80 million to C$100 million upon the exercise of the underwriters’ option to purchase an additional C$20 million of units. Each unit consists of one common share and one-half of one Series 'B' common share purchase warrant."
"Each whole warrant entitles the holder to purchase one common share of Silver Wheaton at a price of C$10.00 at any time on or before December 22, 2010. The warrants are listed on the Toronto Stock Exchange under the trading symbol 'SLW.WT.B.'"
"Silver Wheaton is the only public mining company with 100% of its revenue from silver production. Silver Wheaton is debt-free, unhedged and well positioned for further growth."
So my question for the reader is, what is SLW planning to do with the C$100 million?
# posted by Ben Jones @ 11:37 AM 
Comments:
<< Home
cl,
Swiss annuities have always been a conservative play. One drawback about the Franc is the central bank sold several tons of gold and cut interest rates to stimulate the economy. That eliminated much of the gains from the last couple of years. BTW, I am an affiliate for Everbank now, so check out the icon in the sidebar.
Swiss annuities have always been a conservative play. One drawback about the Franc is the central bank sold several tons of gold and cut interest rates to stimulate the economy. That eliminated much of the gains from the last couple of years. BTW, I am an affiliate for Everbank now, so check out the icon in the sidebar.
I too am looking for information on the Safe Wealth Group. It appears they have disappeared, as their website is not functioning and emails are returned. Any suggestions, or are there other places to get similar services?
Post a Comment
<< Home
