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Alexco Resource Corp.

Alexco Resource Corp. owns 100% of the historic Keno Hill Silver District, located in Canada's Yukon Territory. The Bellekeno silver mine, one of the world's highest grade silver mines with a production grade of up to 1,000 g/t, commenced commercial production at the beginning of calendar year 2011 and was Canada's only operating primary silver mine from 20112013. Alexco plans to return to production by developing its newly discovered deposit, Flame & Moth, one of the largest deposits ever discovered in the District. The prolific and prospective nature of Keno Hill is allowing the company to rapidly explore additional promising, high-grade silver prospects on its other District properties.

Expert Comments:

Christos Doulis, PI Financial (3/27/15)
"Alexco Resource Group's cash and cash equivalents at Dec. 31, 2014 were $18.9M. . .fortunately, the company's AEG division can continue to keep Alexco viable while it awaits higher silver prices. With a backlog of ~$100M of business, AEG has many years of business head of it."

Heiko Ihle, H.C. Wainwright & Co. (3/27/15)
"Alexco Resource Group ended the year with a healthy $8.6M in cash. . .the drilling results from Flame and Moth as well as Birmingham have not been included in the revised Keno Hill mine plan. Given this, we believe the positive drilling results from 2014 could improve the overall economics of the potential deposits and expect an updated mine plan to be released sometime in later 2015 as the company continues to work toward permitting the deposit."

Jason Hamlin, Gold Stock Bull (3/10/15)
"Alexco Resources Corp. has been successful at reducing costs, as its all-in sustaining cash cost (AISC) dropped from $27/oz to $19/oz during 20132014. They are targeting an AISC of just $15/oz in 2015. . .the company has a strong balance sheet, with $18M in net working capital and no debt. . .once silver starts moving higher, I expect Alexco to offer very powerful leverage to the advance in the silver price."

"Alexco Resource Corp. [exemplifies an aggressive but realistic approach]. Despite critics of the company's silver stream agreement, as evidenced by the recent restructuring to more realistic terms, I am convinced that had Alexco gone the conventional development route with bankers' requirements such as a feasibility study and fees and hedging, the mill at Keno Hill would not have been built, and if it were built, it would not have been without significant dilution. But while the mill operation has been suspended, Alexco's environmental business continues to grow and cover overhead while the company unlocks the exploration upside at Keno Hill to recommence production as an expanded and more profitable operation. . .the updated PEA was completed to provide investors with a more comprehensive description of resources at Keno Hill in the Yukon. The study included the Onek resource as well as other updates. Most important, the study provided additional information on progress at the Flame & Moth deposit and exploration at the Bermingham target. The significance of this is that management is making progress breaking the code on exploration and appears to be closing in on another Hector-Calumet type deposit, which produced 90 Moz of silver over 20 years. To give you some idea of the potential at Keno Hill, the company recently reported a 6.2m intercept at Flame & Moth of 47.7 ounces per tonne silver. These exploration results, along with the amendment to the silver stream agreement and a weaker Canadian dollar, not to mention the environmental business, make Alexco more interesting to investors than one may realize." read more >

"I follow Alexco Resource Corp., which has a silver mine in the Yukon. It's a slightly more challenging asset given its streaming agreement with Silver Wheaton, which limited profitability when silver was near $15/oz. Alexco's agreement with Silver Wheaton was recently renegotiated and over the next couple of months, assuming that commodity prices cooperate, I believe that the company may restart production. That means silver being in the $17$20/oz range. At the current silver price, the company can make money with production instead of just trading tonnage for dollars and not really coming out ahead. [The recent preliminary economic assessment there outlined a small, 400 ton per day operation with a six-year mine life. Is that enough to get investors excited?] It's certainly exciting but I would focus on the bigger picture that you're going to have with the Flame and Moth deposits at site, coupled with the fact that there is a functioning mill that is fully permitted. . .my recent conversations with management suggest that it is not eager to finance in the near term. Instead, Alexco management has talked about selling a minority stake in Alexco's environmental remediation business as a means to raise money. We have $35M in our model for the environmental remediation business and other non-core assets. My price target on Alexco is $1.40 per share." read more >

Christos Doulis, PI Financial (1/20/15)
"On Jan. 20, Alexco Resource Corp. announced final results from the 2014 surface drilling program in the vicinity of the Flame and Moth deposit. . .infill drilling at the Christal zone returned impressive results such as K-14-0553 that returned 6.18m grading 1,483 g/t Ag and 0.45 g/t Au. . .we are increasing our target to $0.85 from $0.60."

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Investing Highlights
 
One of the highest-grade silver properties in the world
 
Highly leveraged to the price of silver
 
Also own growing and highly profitable Alexco Environmental Group
Alexco Resource Corp. Content