I’m with you on this one Chuxy: the market indeed is in for a...

I’m with you on this one Chuxy: the market indeed is in for a big surprise.

that will come I reckon when we get some solid metrics about the A1 mine: metrics like tonnes mined, grade of ore, ounces produced, AISC, average sale cost per ounce, etc.

i don’t believe we’ve had these yet in any consolidated form, so potentially major buyers of the stock have nothing to go on, so they’ll stay away until we get them.

with the mine still being developed and planning not yet finished it may yet be sometime before these figures emerge. I’m confident that when these numbers come to light, it will be too late then to strap in and buckle up for the ride - the takeoff will be immediate and rocket.

the market also seems to be overlooking the impact on KAU of surging gold prices. Last I looked spot gold was trading around US$2015, up from around $1800 late January.

for a low cost producer such as EMR, which has an AISC less than $800, a rise in gold’s sale price to $2000 from $1800, would be welcome and add marginally to the company’s profitability.

but if KAU’s AISC came to $1600, a rise in the sale price to average $2000 from $1800 doubles profitability, other things being equal. Markets like that.

i look forward to a time when the market in KAU shares is fully informed - it sure ain’t now.