HAO is being paid as it goes with the $12/t milled ore plus it is receiving about $1M in stock up front. Any reconciliation which might be needed will happen after mining has concluded (within 12 months of that date).
I agree the above is the estimation of the profit share for HAO... so any reconciliation is likely to be minor.
In CAI's last 1/4ly it was forecasting Blue Bar will provide 10,000 ozs to production fy24. On that basis I would guess Blue Bar will be about 20% of the mill feed over the remaining FY24. To invert HAO's return... the profit for CAI should = $18/t of milled ore + $1.5M (equivalent value of shares issued to HAO).
10,000 ozs is roughly 220k tonnes of ore so the boost to CAI's bottom line is roughly $5.5M (profit after costs).
Blue Bar is only a small deposit.... 6 months might knock it over. Bulletin will then be next which is twice the grade and 5x larger.
CAI Price at posting:
17.0¢ Sentiment: Buy Disclosure: Held
(20min delay)