No surprise at increase in costs, unless you have been living on Mars. This is offset by higher production and increase in returns. Royalty cost still shown as 6%, however this has recently been reduced to 4% (not factored in dfs) which saves US$35/oz, equating to nearly $100m cost saving over LOM (mentioned in Presentation). I entered the webinar and Matthew was very upbeat about potential funding opportunities with strong interest from local and international banks and investment companies already. I think this will be a mixture of debt and equity. The other part I liked was the mention and confidence in increasing resource at Nyanzaga. I was thinking and waiting for this with Matthew mentioning they are expecting an update from recent drill program there soon. The big players are back in Tanzania and as you mentioned good chance that they would be looking at us. The management here is top class and have the track record on delivering. I expect the share price to bounce back once the professionals review the report, hopefully sooner. DYOR.
ORR Price at posting:
45.0¢ Sentiment: Hold Disclosure: Held
