Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Tibbs there weren't many lights to be dazzled by in Q1.
Q2 on the other hand, revenues ought to be off to the moon.
I do share your concern about AISC manipulation. Out of $190m earned in Q1 they spent $180m on AISC + investment/exploration leaving only $10m free cash flow.
We are going to see record revenue in Q2 but if the FCF is still rhubarb, then I'll be inclined to join you in the grousing gang.
Tibbs to put your mind at rest:
Of the 450,000 ounces produced last year 325,000 came from the open pit.
Almost 75% of total production.
So, far from being a basket case that needs to be binned, the pit is the beating heart of the business.
The underground at 125000oz last year is a very tasty bonus.
Tibbs you are correct. Borrow 100k from any bank and they don't actually have the money they send you, they create it out of nothing. Literally type numbers in a computer and send it to you. 80% of money is created in this way. This is why we are living in an inflationary environment. Readers of this post may not believe me. Fair enough it's counter-intuitive. But perhaps you'll believe the Bank of England?
https://www.bankofengland.co.uk/explainers/how-is-money-created#:~:text=So%20essentially%2C%20banks%20create%20money,transfer%20money%20back%20and%20forth.
Hi Tibbs
Half the gold the mine produces comes from the pit.
The low grades are because material classified as waste turned out actually to be low-grade ore that was nevertheless worth processing.
This was a bonus and a good thing.
Ha gnome that all rings very true - I find it much harder to sell effectively. Anyone else find that the best way to see a share sink is to buy some and a reliable way to watch them soar is to sell.