Ann: OceanaGold Announces 2019 Production and Cost Guidance, page-10

No games being played here, other than taking profits by those who got in at under $4 - the share price was only around $3.30 a few months ago and this was a huge run up based on a rising gold price and a bit of hopium about their profit margins (note the declining projected operating margins from Dipidio, although still pretty good, and from Macreas). Plus as I said above yesterday, after you factor in all the capex/exploration etc there is not much left over for shareholders (which is why they pay a very skimpy dividend). It seems to me that OGC will have a lot of such costs going forward.

OGC fell 6.45% on the TSX last night to CAD4.35, which in AUD terms is around $4.61. Remember this was just the initial reaction on the TSX before the brokers had time to get their commentary out to clients after the release of the forward projections and the shareholders could digest their comments. I may have been a bit oblique in my comment yesterday, but my expectation was for a significant selldown. Like RSG its rather difficult to place a value on OGC while it continues to spend so much on capex/exploration and has so many mines in transition. RSG has been shafted by the market, so I do not see any reason why the same should not happen to OGC - but I think OGC is in a much better position than RSG at present, and that is reflected in a much higher market capitalisation.

The smarties sold out yesterday after the announcement, or a few days ago when the USD POG topped out.

What can substantially help OGC's share price is a run up in the gold price to USD1400 or whatever. However, for now the gold price looks like doing a bit of a retreat.

Longer term OGC is likely to become a very solid investment, so long as the gold price plays along and everything goes to plan operationally.

I hope my comments do not start WW3.

loki