Apollo Gold Corporation

Apollo Gold is primarily engaged in the acquisition, exploration and development of gold deposits; ranging from initial exploration to gold producing operations. The company owns the Black Fox Mine (Canada), the Huizopa Project (Mexico) and is a 50/50 joint venture partner and operator of the Montana Tunnels Mine (USA). The company focus is to commence mining at the Black Fox Mine and continue exploration, drilling and road construction at the Huizopa Project. In addition, Apollo will continue to evaluate potential acquisition and exploration prospects.

Listen to Jay Taylor interview Apollo Gold CEO, Dave Russell. Dave updates listeners on current projects, financial positions of the company and future goals. (11/17/09).

View Apollo Gold's presentation from the 2009 PDAC conference.

Click here to watch a BNN interview with Jay Taylor about Apollo Gold (6/5/09).

"Apollo Gold Corp. – With successful production and strong exploration results pointing towards millions of more open pit ounces, this stock could really fly. Hedging of gold and somewhat lower than anticipated average grade may put a damper on this company in the short run though."
    -   J.Taylor's Gold, Energy & Tech Stocks (12/31/09)

"We think this company's Black Fox Mine, from which management expects to produce more than 100,000 ounces this year, represents the beginning of a world-class gold mining operation in the making. We say that on the basis of upside exploration potential not only on the producing Black Fox Mine but also on the basis of drill results from the Grey Fox and historical data from the Pike River Property, which Apollo recently acquired from Newmont. The combination of these three properties stretches out over 3.5 kilometers along strike. Moreover, mineralization is open at depth. The one negative that dampens our short-term outlook just a bit is the fact that a large portion of the company's production is sold forward at below market prices for gold. That makes the average grade a very important statistic. With higher grades, more gold is produced and hence more gold can be sold at market prices. That said, with a 2.1-million-oz. gold resource and 720,000 ounces of gold reserves, and with the company in production, we think if it is able to build ounces over the 5-million-oz. level, Apollo could well be a takeover target by large companies seeking to replace rapidly depleting reserves. We don't think this company is as ripe just yet for any kind of a run as Allied Nevada, but if Bob Hoye is right and we start to see a major takeover craze beginning next year resulting from rising gold mining profits, companies with gold in the ground and with the kind of exploration potential Apollo has may suddenly be targeted very aggressively."
    -   J.Taylor's Gold, Energy & Tech Stocks (12/11/09)

"Apollo reported Q3 operating and financial results after pre-releasing production stats at Black Fox in early October.

Apollo reported production of 19,718 ounces from Black Fox in Q3/09, achieving mill throughput of 1,749 tons per day at a gold grade of 4.05 grams per ton and recovery of 94%. Total production including 2,760 of custom milled ounces was 22,478 ounces. Cash flow before non-cash working capital changes was US$3.1 million, or US$0.01 per share, slightly better than our estimate.

Forecasts, target price, rating—We have revised our mill throughput and grade assumptions for 2009 modestly and are now forecasting 53,800 ounces of commercial production in 2009 at a cash cost of US$565 per ounce, versus 55,000 ounces at US$560 per ounce previously. We have also lowered anticipated production from custom milling to 4,900 ounces from 6,750 ounces owing primarily to a lower grade assumption of 1.5 grams per ton, versus 1.9 grams per ton previously. Our assumptions for 2010 are unchanged, resulting in no effect our $0.95 target price and SECTOR OUTPERFORM rating."
    -KERRY SMITH,   HAYWOOD SECURITIES (11/18/09)

TGR: Can you share with us some of the companies that you think are particularly good?

JT: One of my favorites is Apollo Gold Corporation operating in Ontario. It has a project and is producing at the rate of around 125,000 ounces of gold a year now. The costs are below $400. What's really exciting is that Apollo has staked out a lot more ground in that same area, which suggests they can increase their resource and reserves by many, many fold over the years. That's a stock that's selling at around 50 cents or thereabouts. I think it has huge upside potential.
    -   The Gold Report Interview with Jay Taylor (11/03/09)

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