RE: 24th minute "investment thesis" slide10 Dec 2024 12:37
Using AISC of US$800 is flawed as the cost structure of GGP is far wider than Havieron only, which is not even in production for another 2 to 3 years as yet. Therefore best to double it to say $1,600 to be prudent. Then take 30% tax away from the net as a best guess for after tax profit. If gold price went to $4k then I would also expect input costs to rise as well, perhaps making AISC of $2,000. It is all so arbitrary and nobody knows until after the figures are crunched.
Takeaway is to be over-cautious for upside when performance exceeds expectations, rather than the opposite for downside.