- McEwen Mining released its Q4 and FY2021 results last week, reporting annual production of ~154,400 gold-equivalent ounces at all-in sustaining costs of $1,635/oz.
- This represented a meaningful increase in production and decline in costs on a year-over-year basis, though this was mostly due to being up against very easy year-over-year comps.
- Looking ahead to FY2022, production is expected to increase slightly, but I would be surprised if MUX generated any meaningful free cash flow, with costs well above the industry average.
- Having said that, with McEwen Mining being a hidden copper play at a reasonable valuation, I see the stock as a Speculative Buy at US$0.74, assuming one is comfy with very high-risk investments.
For further details see:
McEwen Mining: Limited Downside At Current Metals Prices