RE: Be careful10 Sep 2021 12:56
Hmmm whilst I understand your point, I would be careful to accept it at face value, a lot of factors have changed since 2018.
I take this quote directly from the Goldplat 2018 Final Results RNS ...
"Having achieved operational profitability in the last two months of the previous financial year, FY 2018 was beset with issues which led to higher than expected costs, lower than expected grades, and operational losses throughout the year. The main issues impacting on production and profitability were unseasonal high rainfall; disruption caused by a protracted presidential election process; difficulties procuring good quality artisanal tailings; and consistent delays in releasing spares and equipment through customs."
Perspective is key.
On top of this the company has already reduced overheads by $100/oz with the connection with grid power($510,000.00 based on 2018 figures).
Further the company are looking to make this into a 25,000 oz per annum mine which will have a huge impact on the value per oz/fixed costs.
On top of all this, the gold price back in 2018 was sat around $1,300.00 per oz, the gold price currently sits around $1,800 per oz. I'm not advocating that this means the business will achieve this gold price nor am I saying that the gold price will remain at this level. What I am saying is that the current gold prices not only make this mine viable, but I feel it also makes it profitable in the near term.
I haven't even spoken about acquisitions here either ... and I quote:
"Advanced negotiations on the potential acquisition of several previously identified, complementary and strategically located gold mine and development projects in East Africa"
Expecting good updates to follow here. GLA
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