{"id":231479,"date":"2010-01-26T11:00:00","date_gmt":"2010-01-26T16:00:00","guid":{"rendered":"e2249889-c78b-43e3-9643-b1d7d4aa587b:386685"},"modified":"2010-01-26T11:00:00","modified_gmt":"2010-01-26T16:00:00","slug":"yamanas-agua-rica-numbers-look-good","status":"publish","type":"post","link":"https:\/\/mereja.media\/index\/231479","title":{"rendered":"Yamana&#8217;s Agua Rica numbers look good"},"content":{"rendered":"<p><a href=\"http:\/\/www.financialpost.com\/markets\/company\/index.html?symbol=YRI&amp;id=35604\" >Yamana Gold Inc<\/a>. has finally provided an update on its <a href=\"http:\/\/www.yamana.com\/NewsEvents\/PressReleases\/PressReleaseDetail\/2010\/YamanaGoldProvidesUpdateonAguaRicaandAnnouncesConstructionDecisionforitsErnestoPau-a-PiqueProject1121493\/default.aspx\" >Agua Rica<\/a> development project in Argentina, and the economics look very strong.<\/p>\n<p>The company now envisions Agua Rica as a standalone project producing 282 million pounds of copper and 136,000 gold equivalent ounces a year. The internal rate of return (IRR) is estimated at 15% assuming gold prices of US$950 an ounce and copper prices of US$2.25. The IRR jumps to 24% using higher prices (US$1,050 gold and US$3.25 copper).<\/p>\n<p>Analysts are generally pleased with the numbers, which suggest Agua Rica will be a very robust project. <\/p>\n<p>The company is seeking a strategic partner to share the estimated US$2.1-billion construction cost, and BMO Capital Markets analyst David Haughton expects that it will get one.<\/p>\n<p>Analyst Dan Rollins of UBS Securities anticipates that capital costs will come it at US$2.4-billion, above Yamana&#39;s current target. His production forecast for Agua Rica is largely in line with the company&#39;s estimates. He did not make any changes to his valuation for Yamana given the lack of an updated feasibility study on Agua Rica. He rates the stock a &quot;buy&quot; with a price target of $16.00 a share.<\/p>\n<p><a href=\"mailto:pkoven@nationalpost.com\">Peter Koven<\/a><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/network.nationalpost.com\/np\/aggbug.aspx?PostID=386685\" width=\"1\" height=\"1\"><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Yamana Gold Inc. has finally provided an update on its Agua Rica development project in Argentina, and the economics look very strong. The company now envisions Agua Rica as a standalone project producing 282 million pounds of copper and 136,000 gold equivalent ounces a year. The internal rate of return (IRR) is estimated at 15% [&hellip;]<\/p>\n","protected":false},"author":4061,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"class_list":["post-231479","post","type-post","status-publish","format-standard","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/231479","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/users\/4061"}],"replies":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/comments?post=231479"}],"version-history":[{"count":0,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/231479\/revisions"}],"wp:attachment":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/media?parent=231479"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/categories?post=231479"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/tags?post=231479"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}