Using the information from HGO reports requires something like a detective doing a crossword puzzle. We now know that the last three quarters generated about $60m in cash - $50m was used to reduce creditors/borrowings and the balance rewarded shareholders and lifted cash a bit. Trying to forecast the balance of this year and thereafter is no easier. First of all a confirmation of Guidance is needed. Cu production should just meet the lower end of 13,000-15,000t. Costs should now be easier to predict so perhaps the half-yearly report will be informative.
The stockpile at June 30 of 2.846MT is similar to December, 2018 (2.893MT) when it was valued at $28.756m. Interestingly, HGO used the following words to calculate the value of inventory:
"Net realisable value is based on the estimated amount expected to be received when the inventory is completely processed and sold. The estimation of net realisable value of inventories involves judgements about the quantity of metal that can be recovered , future commodity prices, production costs and selling cost."
A simple interpretation of this suggests that processing between July 1, 2019 and completion should deliver cash of about $29m. If the mill has a good run-rate then more than half of this should emerge in the next 6 months. So cash by December would approximate $21.7m ($15m +$4m AGL + $2.7m net cash) less any further capital expenditures. That would still leave about $14m cash flow for next year plus next AGL payments.
I await the interim report with eager anticipation and the prospect of further dividends (just before Christmas would be nice).
- Forums
- ASX - By Stock
- HGO
- Ann: Activity Report for Quarter Ended 30 June 2019
Ann: Activity Report for Quarter Ended 30 June 2019, page-8
-
- There are more pages in this discussion • 27 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add HGO (ASX) to my watchlist
|
|||||
Last
5.1¢ |
Change
-0.002(3.77%) |
Mkt cap ! $106.8M |
Open | High | Low | Value | Volume |
5.2¢ | 5.2¢ | 5.0¢ | $166.9K | 3.269M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
8 | 1006410 | 5.0¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
5.1¢ | 66577 | 3 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
8 | 1006410 | 0.050 |
3 | 130825 | 0.049 |
2 | 80000 | 0.048 |
3 | 74150 | 0.047 |
2 | 31738 | 0.046 |
Price($) | Vol. | No. |
---|---|---|
0.051 | 66577 | 3 |
0.052 | 31581 | 1 |
0.053 | 924026 | 6 |
0.054 | 962730 | 1 |
0.055 | 1649059 | 2 |
Last trade - 16.10pm 04/09/2024 (20 minute delay) ? |
Featured News
HGO (ASX) Chart |