I agree
The indicated "reserves" is about 160,000 ounces (possibly exists)
The probable reserves are about 600,000 ounces (may exist)
The inferred resources are about 14 million ("The never ending story Part II")
It is frustrating that a Gold Company that claims almost 16M Oz in Au reserves has not restarted the mine.
If there is so much gold there why not borrow the money?
The banksters will reap in the returns then shareholders
Next is the recent 3 March 2023 "Gold Mine Restart" presentation.
The average mined ore grade is budgeted at 7.7 grams per tonne ore (existing ore reserves).
▪ The total cost per ounce of gold is estimated at $690 and includes recurring development expenditures.
▪ The capital budget net operating cash flows first 3 years are estimated to be: Year 1) - $ 43.3 million, 2) + $ 51.4 million 3) + $ 39.8 million
▪ Mining will commence when the funding is in place (this is a no-brainer).
▪ GRI Net operating cash flows indicate circa $50 million in funding is required.
So Capex required is AUD$43.3-50M?
There are ~2 billion shares outstanding so do they do an SPP?
Loan the money from the banksters and hope they do not go broke in their first year and lose the project and mine to some bankster half a world away.
The salient question to ask is at A$0.006/ share with further dilution to raise the AUD$50M presumed CAPEX, how low will they go?
If they offer an institutional investor 10B shares at $0.005 = A$50M effectively diluting current shareholders 1 in 5. Then there will be 12M outstanding shares.
They loan the money at what rate, and repayment how?
The whole project begs the question, can they restart the mine on a smaller scale first with less CAPEX to prove to shareholders and potential investors they can restart the gold mine?
Add to My Watchlist
What is My Watchlist?
