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Sorry my last post in in the wrong thread it is referring to the post from Cowichan re "About handheld XRF analysers
https://www.olympus-ims.com/en/xrf-xrd/compact-and-portable-xrf/
Q2 AISC should be around $1250/oz if he's going to hit mid-guidance of $1350/oz for FY2022
Agree-
Q1 revenue was US$174.6m
AISC was US$144m.2m
Deferred capex from Q4 2021, exploration and royalty fees meant the company made a US$21.5m loss in Q1.
Q2 should be better
If Horgan is going to hit the middle of his full year guidance then Q2 production should be somewhere between 105-110000 ozs. AISC for the quarter should fall markedly, both as a function of more ounces produced and lower capex (circa $50million v $72m in Q1). Fingers crossed for some good news and a lift in the SP on July 20.
For newer share holders or to refresh other share holders memory ,
Please see my post from 29/06/2016-
The profit share EMRA is the joint venture partner, ie the government, sits in the 50% owned subsidiary Sukari Gold Mines.
The management board of this subsidiary has representatives of the government and an equal number from Centamin.
All of the investment into the Sukari mine is audited, with Sukari Gold Mines very much being a part of this process.
Similarly, all gold sales go through Sukari Gold Mines, where the operating surplus will be divided 50/50 between the government and Centamin, once the original capital has been repaid back to Centamin and its shareholders.
The 3% royalty has been paid to the Egyptian Treasury ever since production started (this also goes through SGM).
With the above in mind, there is no issue with regards to the money that has been ploughed into Sukari, particularly the costs of Stage 4 (c.$350m) – this needs to be recouped before any of this operating surplus can be shared.
This is not due to kick in until later this year, or possibly in Q1/Q2 next year.
It is all a function of the ramp up in production and the gold price.
There is no dispute between Centamin, the Egyptian government and/or EMRA, nor the 50/50 Sukari Gold Mines subsidiary.
What you are getting is probably a series of people mouthing off that they want profit share now. This is a political game more than anything, as the deal is the deal (in fact Centamin have advanced the country a few million dollars as a demonstration of their faith in this deal – this will also be recouped out of future operating surpluses due to the government).
What is wonderful is that very few people seem to understand what this 50/50 deal is – it is effectively a 50% tax on free cash flow. In fact the 50% will not kick in until 2016, as in 2015 this will be 45%.
To counter this there is no VAT, no corporation tax, no other taxes to pay all beyond the above and the royalty, which on a blended rate compares reasonably well with other 1st world mining jurisdictions (like the US, Australia, Northern Europe etc).
Freedom I think Emma takes half the profit, we only get the other half then pay a further 2.5% royalty on it. However this is not so much worse than the tax regimes in some other countries, but of course did hit our net profits hard as it kicked in and ratcheted up to the full 50%, hence also not helping the share price over the last few years.
So does the Egyptian government take 50% of the net profit after tax or is the net profit after tax a figure that comes after the Egyptian government payment has been deducted.
Mr Bond thankyou for taking the time to reply, interesting stuff.
The story is a long one. But 30 was not the lowest it went,it dropped to 20p for a day or so ,because a bent lawyer named El Fukari :-) charged Centamin in Court with unfair advantage.
He finally ended up in jail for blackmailing Companies for Brown enveloples for of lot of cash. Extorsion.
The profit was such Mr Tibbles used to say Sukari is like a demented ATM spitting out cash. that was in the days before paying %) 50 profit share with EMRA
There was a large orofit, and hopefully soon it will continue.
Firstly thank you deep joy and can anyone confirm these numbers for example production 400k at aisc 1550 average sale price 1585=120m profit. So we should be seeing profit just above that number, and also in the years 2012-2015 why was Centamin in the 30-50 p range? does anyone know what the profit was during theses years as I cannot find anywhere.
the quoted ISC - US$1,275-1,425/oz sold. Given the current inflationary operating environment we continue to monitor consumables pricing and review opportunities to offset price increases with cost savings initiatives.
So that is stable guidance but I suspect top end. 2022 production guidance remains as stated in the last report with increase in Q2 expected. Still making money in the volatile market so all good for me, but i share Mr Tibbs concerns but give this CEO more time to prove his worth.
Anyone know what Q1 profit was, what are our expectations for q2 profit, production and aisc, have some eps estimates for 2022 - 23-24 of 10,11,11. With costs as high as they are now are these estimates out of date and can anyone update?