I posted this comparison 2 years...

I posted this comparison 2 years ago:

https://hotcopper.com.au/threads/ann-shallow-high-grades-continue-at-myhree-open-pit.6866029/page-3?post_id=62810854

For comparison, REZ just completed a toll milling campaign at Menzies (north of Kalgoorlie). 126kt ore @ 2.37 g/t for 9,532 oz. They banked $3.35m from that but that was a 50/50 profit share with the contract miner, so total profit was $6.70m or $702.90/oz. One thing to note was that they mined a cutback in an existing open pit, not starting from scratch. But it was also conducted in 4 small mining campaigns, you would think BC8 would go for a more efficient plan of work.

So if we look at similar numbers, Myhree has 585kt @ 2.4 g/t so say 45koz recovered @ $700/oz = $31.5m profit. The question then is how much of that profit BC8 keeps or whether they also have a profit share arrangement with a contract miner.

Numbers now are 52k oz and the gold price is AUD 1,000 higher than then. Allow for some cost inflation and say there's a $1,500 / oz profit? That's $78m profit. Add to that pit reserves are currently calculated on AUD 2,500/oz so there is potential to substantially exceed the 52k oz mined.

BC8 = $30m + $48m/2 + ??