Cara Community GSM: SSR Mining 11-2020

SSR Mining (NYSE: SSRM) (TSX: BTO) updated 11-16-2020

(all figures stated in USD)

Market Cap:       $4.2 Billion          Share Price:        $19.35

Shares outstanding: 219,363,000

Cash: $733.6 M as of 30 Sept 2020 + Inventory value = $391.6 Million

Debt: $334.5 M as of 30 Sept 2020

Current operations: Yes (Multiple countries; favorable jurisdictions)

Insider holdings: Low                      Institutional: 326 hold approx. 70% of the float


CEO: Rodney Antal                          HQs: Vancouver, BC, Canada

Q3 highlights:

  • SSR Mining produced 88,972 oz of gold and 226,858 oz thru Sept. 2020
  • The company also produced 1.28 M oz of silver and 3.42 M oz thru Sept. 2020
  • Net income of $25 Million, or $0.19 per share on revenue of $225.4 Million
  • Non-GAAP earnings $0.49 per share
  • Updated full-year 2020 production of 680,000 to 760,000 gold equivalent oz
  • AISC (stated) of $965 to $1,040 per gold equivalent oz
  • Finalized merger (acquisition) with Alacer Gold in Sept
  • Will initiate a dividend of $0.05 per share in 1Q2021
  • A merger of equals with Alacer Gold completed Sept 16 on an all-stock basis

Bottom line:

  • Transitioning from silver to gold, although still produces about 7 million Ag oz per year at the Puna Mine in Argentina, largest AG mine in that country, and is keen on AG elsewhere
  • Well-managed with accretive acquisitions of Marigold (2014), Seabee (2016), and Alacer (2020), and holds 9.8% interest in SilverCrest Metals (Ag in Mexico)
  • I personally have held a +5.1% weighted position for several months, and ready to add to it

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