Sure, it looks like to me the pits have a high strip ratio, as in have to move more waste which incurs a cost without cash-flow. The design relies on the ounces (grade + tonnes) at the base of the pit. The risk being higher with low-grade pits, as the economics are highly sensitive to mining factors such as ore loss/dilution or geological factors which may influence the average grade. PXG are not mining cream here, hopefully the gold price will insulate them from the aforementioned risk.
PXG Price at posting:
12.0¢ Sentiment: None Disclosure: Not Held
