The lower recoveries sound like they've been contaminating their treatable transitional ore with oxide ore - this would be occurring as they dig.The oxide ore they can't treat, hence the deal with Straits.
This problem is easily solved by more diligent dig control and stockpile management.
As for spending all their money on exploration - one can hardly knock them for that. They've come up with some quality targets and increased the resource/reserve base!
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