They did not difinitively outline project financing...as this milestone is not even due to start for 6 months as per released indicative timeline and if anything the process has already been expedited to run concurrent with DFS , as opposed to most companies that would seek project financing after completion of DFS, you know when they have something difinitive...
Also PFS is not weak... IRR of 20% is exceptional and this is based off a minuscule portion of the inferred/indicated resource and how is a license to print $160mill post tax revenue pa, with capex paid off in 3-5years a weak approach. If anything a low capex/opex conservative approach provides a safer and more definitive outcome and in speaks to its strength.
Nor was the PFS incorrect, yes it was conservative, but our crawl, walk, run approach has been reiterated by management since before PFS funding a year ago...
The bottom line is... just as it is with most companies that see a retrace after major catalyst... Expectations exceeded reality... its that simple.
This does not mean that expectations wont be achieved in due course, but merely in the short term people are reassessing their trading strategy and r2r ratios, to accommodate the reality of the situation. And the reality is we are starting with 2-3mpta not 10... I would be more worried about project financing if we had a $2billion capex and a 12mpta operation...
The point most of you are missing is that everything works to scale. Bigger op means bigger cost, which creates bigger potential cost blow-outs, which equals bigger risk of never getting to production.
Even the smallest of fundamental analysis on MGT will show the immense potential of our resources... what's wrong with chosing an approach that near guarantees a pathway to production, to then exploit the excess potential in the future as opposed to an approach that runs the risk of not seeing production at all...
Concerns about project financing and operation size are mute points, based on where we are a on our project timeline, let the figures in DFS speak to how attractive we will be in regards to financing when they are due next year.
Honestly I don't see why this is the topic of discussion, when we have...
The infill drill program to upgrade our maiden ore reserves, the water drill program as a last major infrastructure/project de-risk, the Next Ore BOST to further optimise already great figures and the Muster Dam exploration programme to add to our already immense expansion pathways and resources.
All of which is due before DFS completion and Project financing milestones, and all are great catalysts to unlock value and potentially expand or support our current endeavours.
You can call me a spruiker, shill, turd polisher etc... I honestly don't care, I just post the facts from my perspective. Take it with a grain of salt or wear your heart on your sleeve.
MGT has always been Long term value investment an should be treated as such.
Kind Regards
ALWAYS IMO DYOR GLTASH
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