Share price has certainly been hit. Yet production and cost guidance and current prices suggests EPS may be higher than last year the current PE is under 8 at the share price of 16 cps.
Production guidance for Chile at 45000-50000 gold eq for 2021 is similar to sales last year of 50000 gold eq (production was 55190 gold eq).
Average price gold eq last year was $US 1765 and AISC $US1021. March quarter 2021 selling price was $US 1780 so similar and AISC last year at $US 1021 is at the top of guidance of $US850-1050 for 2021.
Rawhide production guidance for 2021 is marginally higher than last year, so I assume breakeven after a small loss last year.
AGD earnt US 1.36 cps in 2020 or AUD 1.76 at the current exchange rate. The main difference for 2021 appears to be costs may be lower as production and prices (at least to date) are similar. If costs were $US 100 below last year this would raise revenue by $US 5 million, which less tax might add $A4-5 million to profits and give earnings of over AUD 2 cps on higher capital. The coming quarters should confirm whether or not the contractors have lowered costs in Chile in line with guidance.
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