Hi there,
Gogold Resources is a junior mining stock. That alone makes it riskier than many of its senior peers. Currently, it only has one mine in production which is the Parral Tailings silver mine. Although it operates in a solid jurisdiction (Mexico), a one-mine operation carries additional risk.
The company's second asset is the Los Ricos property it acquired back in 2019. Gogold is currently drilling and as it stands, the mine is only in exploration stage.
Its Parral asset as consistently been increasing production from 1.1M AgEq in 2017 to 2.3M AgEq in 2020 - an average annual rate of ~27%. Worth noting that growth is now backed in as it expects to produce 600K agEq quarterly through next year. In fact, with its exploration project underway and production remaining relatively flat, the expectation is for lower earnings next year.
All told, this is really a play on the Los Ricos project which is a few years away from production. On the bright side, the cash generate from the Parral asset can help offset the exploration program at Los Ricos. I'd consider this a high risk junior gold stock and not for those looking for a stable silver/gold option for their portfolio.
Mat
2.3M AgEq