Member Info for BushyTailed

Next wave should take this to 36p

Poker, It wasn't even close to a stab at being macro. But a layman's example of how to formulate your own outlook of revenues. You can of course be as little or much macro as you wish.

Re labour costs... A higher cost of borrowing inflates currency, so when you pay out costs in a local currency but sell your products in a foreign currency then the cost of labour falls and rises with the FX conversion.

You can see this effect in the accounts over the last 3 years, FX losses have been a massive impact

Poker, It wasn't even close to a stab at being macro. But a layman's example of how to formulate your own outlook of revenues. You can of course be as little or much macro as you wish.

Re labour costs... A higher cost of borrowing inflates currency, so when you pay on a local currency but sell your products in a foreign currency then the cost of

***Edit****

"Lowers operating costs and *increases* NET profitability"

It should do theoretically but market valuations are just a reflection of greed or fear and participation. Metal prices are also only half of the sum though, AISC margin is where it's all at and thankfully FRES is an easy sum to work out.

For example if they produce 100 million ounces at a cost of 20 dollars and the metal price is 30 then that would equate to a rough EBITDA of a billion dollars. The value of the company is circa 4.5 billion which gives it an EBITDA/MCAP value of just 4.5 times earnings before tax interest and write downs.

Falling mexican inflation would lead to lower labour costs and less writedowns, which further lowers the operating costs and NET profitability.

The dividend rate is also a massive factor here, why take market volatility risk for just 1% income when you can get over 4% on a two year gilt? Again this headwind should begin to unwind as costs falls and revenue rises. The SP should rise inline with a strengthening balance sheet as the more cash FRES accrues the more income it will yield to shareholders.

All depends on your investment Horizon, if your idea of short term is 12-18 months then I would wager you would do very well, notwithstanding a COVID-19 style black swan event.

Do you not understand what beneficial ownership means or are you still butt hurt from crystallising your massive losses after ramping it for years?

Tis why I've previously posted that the trip in the MCB rate from 11.25% down to 5-6% will be explosive here.

Also consider FRES performance over the last few years as MCB inflation was off the charts at the same time of having to contract and document their workers directly.

The latter now all done and dealt with, FRES will benefit directly from from the fall in Mexican inflationary pressures over the next couple of years.

Yup... Labour is the biggest mining cost, so a cheaper peso feeds into the AISC just a much as a higher grade of ore would.

Nioko is a small populated town in Burkina Faso.

"It's not important how much cash they're making because of the debt size"

Better of not bothering making any money then, let's just wait until the creditors have forgotten about it.

Back in the real world... 28k for Q2 with 2250 average POG and we have 63 million revenue / EBITDA 21 million.

Cash build has started.

There you go peeps, LSE's biggest contrarian indicator can't help themselves.

Big tick up coming

Edging back up slowly, seems to have found support in the 100 DMA without actually touching it, which is usually quite a bullish sign for a trend continuation. Weekly looks good too, finding support on the upturning 20wma.

You got that right, what you've been saying is massively irrelevant. Going from your posts this morning you don't even know that EBITDA is a measure of free cash flow or that capital costs make up the AISC.

POG and grade are the biggest contributers to AISC values, hence why it''s a ridiculously easy sum that for some reason you struggle to get your head around.

The only reason you aren't filtered Chris is your propensity to talk absolute bawlocks everywhere. You are quite literally one of the single biggest contrarian indicators on the internet.

You might think your cherry picked circumstances and essays might move the market but they don't.

AISC stands for ALL IN Sustaining COSTS.

The AISC encompasses all costs associated with production, such as capital build, exploration, actual mining processing ,tailings storage, social initiatives and believe it or not, end of mine life costs.

The higher your grade, the less material you need to process, hence why Yanfolila had an AISC problem a couple of years ago on missed guidance.

Unless I've missed an update here, group guidance is still 165k ounces at sub 1500 AISC. And given that new guidance hasn't been issued it's probably better to work off that than just pull random numbers out of the air imo.

Kor to date has already done 12k and commercial production as guided by the bod is earmarked for 30k a Q so that would give Kor 72k ounces for the year plus 80k from Yanfolila and the whole mess stands to cost around 15k worth of missed production.

Lol Chris... EBITDA is a measure FREE CASH FLOW.

Capital costs are included in the AISC interest is deducted from the EBITDA.

You're grasping at straws, I'm not entirely sure if you're genuinely this poorly informed or a troll, I'm leaning to the latter at the moment however.

Good luck you clown

Chris, you need to use a calculator... 100 * 75 is such an easy sum, one doesn't really need a calculator but if it helps you definitely should. 🤣🤣👍

Pressed wrong button ...Continued....

Let's assume that this mess costs Kor 65k ounces then 100k group level production at at 2259 is an EBITDA of 75 million.

Not only is that a massive difference but just 100k ialso meets out this years debt schedule.

I don't think it cancels out missed ounces/ opportunity but it is still significantly higher.

Adjusted guidance for 2024 was 165k, which so far is still to be re guided however like I point out below... Let's a

You do realise that the hedge is a floating collar Chris?

2150-2350 respectively, HUM get full pog if gold trades between the upper and lower band. 89 day average price is 2,283... 90th day tomorrow lol

Jest 100k ounces at group level is a 75 million EBITDA... If you're using a your phone to post, why not check out the calculator first? 🤣🤣🤣

180 day moving average is circa 2147