The mid point of guidance here is for Peak to produce ~41koz of gold in FY25. They did 7koz in the September quarter so ~34koz remains. 14koz hedged at A$3,564/oz and 20koz at spot of ~A$4,100/oz.
Do the math and that’s A$132m of revenue from gold sales alone. If you back out September quarter opex out of FY25 guide you have around A$132m of opex remaining for the year. So.. the gold covers all operating costs. And the ~30kt of Zn/Pb remaining should cover federation, corporate and exploration… and I daresay with some change leftover.
This stock gets treated as a base metals stock when gold is ripping and as a gold stock when gold is on the nose. Market is going to have to be shown the cash flows from Federation it seems before any rerate.
AMI Price at posting:
16.5¢ Sentiment: Hold Disclosure: Held
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