Chief Financial Officer Hashim Ahmed and Vice President of Exploration and Mine Geology Jonathan Victor Hill present on behalf of Jaguar Mining (TSX: JAG) at the October 2020 Virtual Investor Day (VID) Conference.
Jaguar Mining is a Canadian-listed junior gold producer operating in the so-called Iron Quadrangle of the Minas Gerais province of Brazil. The Iron Quadrangle (IQ) is a prolific greenstone belt that has been continuously mined for the last 300 years. The IQ is considered the 3rd most endowed greenstone belt in the world, behind the much more well known and well explored Abitibi greenstone belt in Canada. At the time of writing, the company has a strong balance sheet with nearly $40M CAD in the bank and negligible debt. Jaguar recently started paying a dividend to shareholders and has also started to buy back its shares in the open market via a normal course issuer bid, clearly indicating that management feels the company's shares are currently very undervalued. The company's goal is to have sustainable production of 100,000 ounces of gold per year, and it is currently tracking very close to this; Jaguar has accomplished quarter over quarter growth in gold production over the last 7 quarters. The company's current all-in sustaining costs (AISC) are less than $1,000 USD per ounce, aided by increases in production, efficiency improvements and favourable depreciation of the Brazilian Real against the US dollar.
Jaguar currently has two producing mines: Pillar (Caeté Gold Mine Complex) and Turmalina (Turmalina Gold Mine Complex). The company is also highly focused on exploration and development, driving towards adding to its reserves and resources. Jaguar currently has approximately 5 years of mine life in reserves at its operating mines, and approximately 10 years of life from measured and indicated resources. The company has been able to add new resources at less than $10 per ounce. Jaguar has built up a strategic land holding in excess of 30,000 hectares on its own, and as announced recently on August 26th, 2020, it has entered into a partnership with Iamgold Corp which approximately doubles the area of Jaguar's mineral claims to around 60,000 hectares. In this presentation, Jonathan Hill outlines in detail Jaguar's future exploration plans and how exploration targets will be prioritized. The company expects that it's current exploration budget will continue to grow moving forward as it gets aggressive to build out its mineral resources and reserves and tries to find new Tier 1 or Tier 2 deposits that can leverage Jaguar's excess mill capacity at its existing operations (both active operations and those in care & maintenance).
Jaguar enjoys strong institutional support in its share structure. Billionaire gold investor Eric Sprott owns just under 50% of the company, with other notable shareholders including Sprott Asset Management, Wolverine Asset Management and Coast Capital.
Jaguar currently trades on the Toronto Stock Exchange, symbol TSX: JAG.
For more information on the company, visit their website at: https://www.jaguarmining.com/
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Originally filmed on October 20th, 2020