Banter and General Comments, page-12088

First 12088 Last

Share
Profile

Follow
GARETH78

8,217 Posts.

2915

19/12/19

17:40

Post #: 42056350
Share

Originally posted by GCar: ↑

Absolutely. How many AGMs would they survive with that sort of fat with that proportion of $$ being spent on it? It wouldn’t last long (that level of Corp costs).

Let’s take a crappy scenario of only 50ktpa of SC produced from our ore stockpile only.
Say we only sell that much for a year.
Say it sells for $520/t.

That’s somewhere around $200/t margin.
$10m margin. Effectively pays for creek diversion and ore sorter and sundries. In that case Mt Cat would not (or barely) eat into our cash hoard.

We could keep that up for years, with Corp and SDV and JB all on go-slow eating into our cash.
How long would $150m last in that case do you reckon? Go-slow at $30m spend per year on these isn’t “ridiculous” surely?

Again, this is just a scenario, but it shows that the likelihood of us being extinct in 2 years is a rather silly notion.

And, these are all ballpark figures, no point trying to pretend we can get down to the month or $m resolution with these thumb-sucks.

We will adapt and react and modify our plans based on how the market unfolds. As we are doing with our 2020 plan. Really, what more do people want? As you said, others co’s will be dead and buried long before us if the current state of play persists for years ahead. It’s not sustainable.

Expand

One more point.

Simon Hay is no fool. All the talk about cutting back mining etc but not actually saying C&M is clever. The mine side should be at or close to C&M if the contractors can work with them.

This guy has worked for Iluka and BHP in senior roles, he knows whats required. We will be running as close to C&M as possible without actually being in it by Jan.

IMHO DYOR

GXY Price at posting: 93.0¢ Sentiment: Hold Disclosure: Held
7 Upvote

0 Great analysis

Reply

Top Stories

The Rising Tide: How institutional adoption is shaping the future of crypto

STK

Strickland Metals jumps on mammoth gold-copper-silver hit over 300m width at Serbian Rogozna Project

FL1

First Lithium hits high-grade mineralisation in all holes of diamond program in Mali

CC9

Chariot locks in high-potential drill target at Black Mountain, one of the USA's largest lithium landholdings

CU6

US FDA awards Clarity Pharma's novel prostate cancer PET scan imaging compound fast track status

There are more pages in this discussion • 8,944 more messages in this thread...

First 12088 Last

Add GXY (ASX) to my watchlist

Banter and General Comments, page-12088

Top Stories

The Rising Tide: How institutional adoption is shaping the future of crypto

Strickland Metals jumps on mammoth gold-copper-silver hit over 300m width at Serbian Rogozna Project

First Lithium hits high-grade mineralisation in all holes of diamond program in Mali

Chariot locks in high-potential drill target at Black Mountain, one of the USA's largest lithium landholdings

US FDA awards Clarity Pharma's novel prostate cancer PET scan imaging compound fast track status

Featured News