Low grades but its 'unclear' as to whether this is because of poor geology, poor equipment or staff knowledge.
I'd say its a combination of all three but the current board have pinned it all on John Williams. This was Watpac's first crack at mining and were apparently using digging equipment that was just diluting the ore a lot due to the waste it was picking up.
Geology was also possibly an issue aligned with the fact they couldn't accurately tell staff where to actually dig.
So all of this combined to provide low grades which meant unprofitable mining. Others could tell you more in greater detail but thats my basic knowldge of it.
AAM Price at posting:
1.8¢ Sentiment: Hold Disclosure: Held
