Aya Gold & Silver Inc. (TSX: AYA; OTCQX: AYASF) is a notable company in the industry, and is one of the highest grade pure-play silver producer on the Toronto Stock Exchange (“TSX”). Aya Gold & Silver Inc. ranking of the top-performing stocks on the Toronto Stock Exchange (“TSX”) based on price appreciation and outperformance.
Silver's popularity as an investment option has increased in recent years due to its substantial growth. It is the second-best metal and widely used in various industries like electronics, solar panels, and medical equipment manufacturing. As the world economy moves towards renewable energy, the demand for silver is expected to rise, which could further boost its price. Additionally, silver serves as an excellent hedge against inflation, making it a favored option during times of economic instability for investors to safeguard their wealth
As of March 31st, 2023, the spot price of Silver is at $24.17 per ounce. In 2020, the silver market experienced a significant event as the price of silver rose above US$20 per ounce for the first time in four years. Despite the market's instability, the precious metal was able to maintain its position above that threshold for the majority of 2022.
One way to invest in the silver market is through silver mining companies. These companies benefit directly from rising silver prices, making them a potentially profitable investment option.Aya Gold & Silver Inc. (TSX: AYA; OTCQX: AYASF) is a notable company in the industry, and is one of the highest grade pure-play silver producer on the Toronto Stock Exchange (“TSX”). Aya Gold & Silver Inc. was ranked one of the top-performing stocks on the Toronto Stock Exchange (“TSX”) based on price appreciation and outperformance. Over the three-year period ending June 30, 2022, the price of Aya shares increased by 245%, ranking it 18th on the 2022 TSX30 list.
Aya Gold & Silver, Inc. is a Canadian-based mining company that primarily operates in Morocco. The company is the top producer in Africa and the 15th largest in the world for silver production as of 2021. Its project portfolio includes the Zgounder project and the Imiter bis project for silver, as well as the Boumadine, Azegour, Tijirit, and Amizmiz projects for gold and base metals.
Aya Gold & Silver Inc. (TSX: AYA; OTCQX: AYASF) has a market cap of $1.01B and shares are trading at $10.02 each. In Q4-2022, AYA Gold and Silver posted strong financial and operational results. Gross margin rose 39% YoY to $4.7M, due to an 11.5% increase in revenue from silver sales, which totaled $38.2M. The increase in revenue was mainly driven by a 28% increase in sales volume. As of December 31, 2022, the company had cash, cash equivalents, and restricted cash of $41.8M, and subsequently completed a bought deal offering for C$92M at the beginning of 2023. Total Ag production increased 53% YoY in Q4-2022 due to higher grade and silver recovery rate.
The Zgounder project is Aya Gold & Silver's flagship project and key to their success. The mine has been in operation since 2019 and produced 1.88 M oz of Silver (Ag) in 2022. The feasibility study from February 2022 confirmed that it is economically viable to expand the Zgounder Mine throughput from 700 to 2,700 tonnes per day. This expansion involves building a 2,000 tonnes per day flotation-CIP plant to produce silver ingots. The expansion is expected to quadruple the annual LOM production of silver to 6.8 million ounces while maintaining a low all-in sustaining cost of $9.58/oz.
An exploration budget of $14.3 million has been planned for 2023, with Zgounder, Zgounder Regional, and Boumadine being the focus. “2023 will be an important year for Aya’s trajectory, which sets the stage for a quadrupling of production over the next 18 months along with substantially lower costs,” said Benoit La Salle, President & CEO.
The Zgounder project is expected to produce between 1.7 and 1.9 million ounces ("Moz") of silver ("Ag") in 2023, which is in line with the production estimates for 2022. Zgounder reported 3 out of the top 10 and 15 out of the top 50 global silver intersections of 2020-2023.
It doesn't stop there. Aya Gold & Silver, Inc. has multiple projects in its pipeline that has proven has excellent potential from the initial drilling results.
Aya Gold & Silver, Inc. has an experienced management team in the mining industry. The company's CEO, Benoit La Salle, has over 40 years of experience and has led multiple mining companies to profitability. The management team includes experts in exploration, geology, and mining operations, ensuring the company has the necessary expertise to operate its projects. AYA is committed to responsible and accountable mining practices, with high standards for environmental, social, and governance (ESG) performance. The company has implemented an Environment and Social Management System aligned with the European Bank for Reconstruction and Development (EBRD) performance requirements.
Investing in the gold market can be a smart move for those looking to hedge against uncertainty. With rising gold and silver prices and a growing demand for precious metals, Aya Gold & Silver, Inc. is well-positioned to continue expanding its operations and increasing profitability in the years to come.
Disclaimer: Please be aware that this is not financial advice and that you should conduct due diligence before investing.
Written By: Thegoldstocks.com
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