downgraded earning?, page-12

Esh.

I sold 1/2 my holdings today. Simply moved it into other gold stocks that I feel have slightly more potential, especially now that it is clear that the Perseverance pit is really under-performing, plus Vivien ore is causing them to slow the plants process rate. I think I now understand why RMS provided some much info on their mine plan etc in recent weeks. They are going to have to bring forward another open pit at either Mt Magnet or get Blackmans up quickly to ensure that costs don't keep going up. I would have thought that even with some underperformance, Kathleens over reconciliation plus Vivien kicking in 800 extra ounces would have allowed them to meet cost guidance, but no.... This is going to mean the next 2-3 quarters are going to be at best, on the low side, even with Kathleen and Vivien ore increasing (although I think Kathleen is now reached peak ore movement, its more likely it will trend lower from now on, going from the info they have provided on the mine plan).

Perhaps I am being overly negative, but... I was expecting a lot better. The high cash burn was also surprise. I was very much expecting them to add a couple of million to the cash pile.

I will keep holding a core amount of shares, but.. sentiment has def changed to hold.