Hello Albaman, thank you - you're welcome nice to get the feedback especially when sentiment is so low. It is not the happiest time for shareholders at the moment. I don't think the effort is being reflected for research posts in here by anybody in 'thumbs up' terms at present however I don't mind contributing, if it helps anybody, it is worth it.
That is a good question you raise and will be on minds at this time so a valuable point.
Without CRE coming into the equation we would have developed the Tindals and Greater Coolgardie + The Mount to a greater degree. I imagine the pits would be a lot further down the line given how some challenges with trucking and development evolved at The Mount. We would have a much stronger cash position.
I have a strong understanding of Coolgardie thanks to Chuck and time spent onsite and with key geo's and staff. I believe Greenfields and other pits would have been drilled out and be performing under the expertise of Mark Sampson who has excelled to date.
The other wild card in the Tindals area is the potential repetition I have already spoken about many months ago. Just north of Dreadnaught and south of Countess U/G - some excellent hits already and I believe (after discussion on site) that this is the most likely candidate for U/G on depletion of Tindals in 6 - 8 months.
Greater Coolgardie has received far too little attention and Phung will see this throw up all sorts of opportunities which might have surfaced earlier.
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Along came CRE and things have run a different course and many complications however much greater upside now emerging for the market to see. The group has changed and the team has had to evolve as well as the larger group has introduced new requirements.
This is why Jon G, left no conspiracy however we now have Paul F who is doing things a little differently and has 'cleaned up' Dec and March to fit with his methodology. On this point we would not now have the same team without the greater opportunity now at hand, a great benefit has emerged from this.
Laverton is a stunning success to date and needs to be repeated over the coming 6 months to really prove itself as a stable production facility. I have seen the mill, long sections and geology there - a hippo already unearthed that just gets richer at depth (Apollo). They want an elephant and are in the right country there, and with the right people to find it.
Albaman - it has changed the whole picture - morphed into a new company as cash was diverted for the greatest benefit of the group and shareholders. This last point may cause a boo or two just now and fair enough - however I am quite sincere. Money for the bond, diversion of cash flows, initial development of Chatterbox and other work like the roads (finished) - all to provide more upside than the original FML. The journey has been harder than envisaged however any businessman would understand this process has been honest and that delays and changes are usually part and parcel of the story.
twocents - sorry to hear that.
Stumpy a great point on CRE IMO - being put to bed one way or the other. I am looking into the extra $10M for production, I think it may be more than a style issue and could highlight future changes.
F&B raised a few points I was not so sure about. The eastern anomaly not shown to be dampened at all - just a technical heads up for you to clear this point. The weathering Dean refers to under the mud (shallow at only 12m) is a different exploration environment and that is all. he was looking for bang for our buck on aircore style and the eastern anomaly fitted this better.
We can most certainly come back to the Island trend at a later date as a gold camp follow up. The TI results show it is mineralized. The bang for buck certainty provided using Deans expertise in this exact country and lake environment was a lower risk exploration spend and given that this is greenfields work this is sensible.
F&B the road work is finished at Laverton - and on a similar point the roads in the area are constantly maintained to t high standard for the trucking contractor to run their trucks. On the cost savings - not a full merger yet the cost savings are not there. This will drop a little on delisting however admin is not a major part of the expense.
At Laverton we mined 150kt more than used for processing during the quarter - all in that wonderful cost outcome so the higher cash cost in the December quarter was partially to build up a risk mitigating stockpile on the ROM at BGSM.
You will note the production at Coolgardie (inc TMount) was a fair bit higher than that processed as well and this would have contributed to the higher cash cost there. The 200kt at 0.9g/t also contains nearly 6k oz worth circa $9M.
Regards to all, CW DYOR&DD
FML Price at posting:
4.7¢ Sentiment: LT Buy Disclosure: Held
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