Buying a rig and drilling the buggery out of its deposits is mighty fine idea, but not practical for Auric. The company only has half a dozen staff at the moment and believes it is much more expedient to bring in the local experts from Kalgoorlie, not so far away, to do the business. The company's contractors are highly experienced and when a drilling rig has something wrong it is able to activate its team to get the problem fixed and the drill team back up and drilling, which is what they do best. In the past the company has used Kennedy Drilling of Kalgoorlie and Auric's geo management team has worked very well with them and have been well satisfied with their work. I can't see John or Mark wanting to fundamentally pivot to becoming a driller then contracting out the rig when its not being used. I guess NedKelly was thinking that it could make Auric more cost efficient.
AWJ Price at posting:
22.0¢ Sentiment: Buy Disclosure: Held
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