Punter: The ASX is mandating cautionary statements in these cost...

Punter: The ASX is mandating cautionary statements in these cost inflationary times.

Case in point: St Barbara shares recently crashed after their Quarterly stating an all-in sustaining cost (AISC) of $2,490 an ounce, not so far off the POG.Costs were up a massive 34.8%. SBM was particularly vulnerable to cost inflation eg their Gwalia mine is the deepest underground trucking mine in Australia at 1,700m and fuel cost increases alone have undercut their bottom line.
Because of the cost inflation risks Rox produced a very conservative low Capex Scoping Study (see my previous post) based on real costs, not out of date costs a year or more ago, The Rox Scoping Study is more likely to surprise on the upside imo but the cautionary statement is now a requirement so Rox had to include it.
Cautionary statements should be considered. But the Scoping Study metrics of individual companies need to be scrutinised on a case by case basis. Happy to hear your considered opinion on the data that Rox has produced.


IMO Rox has produced a sound pathway to early production to begin to cheaply monetise the riches of Youanmi.Note that the mineral resource is due to be upgraded again and we have a Grace update coming separately.