Cerrado Gold
Primary ticker: TSXV:CERT, OTCQX: CRDOF
Stage of development: Exploration, Production
Primary minerals: Gold, Iron Ore
Project to promote: Minera Don Nicolas, Mont Sorcier
Project location: Argentina, Canada
Website: www.cerradogold.com
Corporate presentation: Click here
Cerrado Gold is a Toronto-based gold production, development, and exploration company focused on gold projects in South America. The Company is the 100% owner of both the producing Minera Don Nicolás and Las Calandrias mine in Santa Cruz province, Argentina, and the highly prospective Monte Do Carmo development project, located in Tocantins State, Brazil under option to Amarillo Mineração Do Brasil Ltda., a subsidiary of Hochschild Mining PLC. In Canada, Cerrado Gold is developing it’s 100% owned Mont Sorcier Iron Ore and Vanadium project located outside of Chibougamou, Quebec.
In Argentina, Cerrado is maximizing asset value at its Minera Don Nicolas operation through continued operational optimization and is growing production through its operations at the Las Calandrias Heap Leach project. An extensive campaign of exploration is ongoing to further unlock potential resources in our highly prospective land package in the heart of the Deseado Masiff.
In Canada, Cerrado holds a 100% interest in the Mont Sorcier Iron Ore and Vanadium project, which has the potential to produce a premium iron ore concentrate over a long mine life at low operating costs and low capital intensity. Furthermore, its high grade and high purity product facilitates the migration of steel producers from blast furnaces to electric arc furnaces, contributing to the decarbonization of the industry and the achievement of SDG goals.
Cash: CAD4M
Debt: CAD50M
Major shareholders:
Management and Insiders – 25%
Franklin Advisors – 4%
Quantex – 2%
EMA Fund – 1%
Financials
Management Profile
Hale-Sanders- President
Mr. Hale-Sanders is Cerrado Gold’s President. Prior to this Mr. Hale-Sanders’ had a career that spanned over 20 years in the capital markets industry working as a leading base metals and bulk commodities research analyst in Canada working at RBC Capital Markets, TD Securities, CIBC World Markets and Cormark Securities. During this period, Mr. Hale-Sanders visited and reviewed numerous mining operations and corporate entities around the world. Mr. Hale-Sanders holds a B.Sc. in Geology and Chemistry, an MBA from McMaster University and is a CFA Charterholder.
What is your rationale for taking part in 121 Mining Investment?
Improve undervalued nature of stock price and meet with potential investors
What recent news would you like to highlight to investors attending?
August 29, 2024 – Strong Operational and Financial Results at Minera Don Nicolas Mine in Argentina
What are your key goals in 3 months, 6 months, 12 months?
3 Months:
Paydown Debt and begin exploration program at Minera Don Nicolas Mine in Argentina. Initiate Feasibility Study at Mont Sorcier in Quebec Canada.
6 Months:
Continued Production improvements from Heap Leach at Minera Don Nicolas in Argentina and Improved Cash Flow. Completed Option Agreement for Monte Do Carmo in Brazil.
12 Months:
Complete Feasibility Study at Mont Sorcier in Quebec Canada. Continue exploration Program at Minera Don Nicolas in Argentina.
What do you see as the key risks and challenges facing your company at the moment and how are you overcoming these?
Argentina – Inflation and Currency Controls. Reducing Costs and headcounts. Currency Controls are expected to be removed in the coming year.
What do you think makes your company such a compelling investment?
Stock is trading at less that the value of assets or the cash to be received from the Option Agreement. Potential for significant Cash Build from growing lower cost production in Argentina. In Canada we have a iron ore project that will produce a 67% Iron Ore Premium Concentrate. With lower cost Project Build due to excellent and existing rail and deep water port facilities.
What are the top 3 key investor takeaways?
Steady State Gold Production which allows debt repayment and growing cash flow/ free cash flow as demonstrated in recent PEA. Large, underexplored asset at Minera Don Nicolas in Argentina with significant exploration upside and many high value targets. Large iron ore deposit which can be concentrated to premium green streel grade advancing to Feasibility and well funded.