Information direct from their Dec 2021, half year report....below
Somebody reviewing this data for the first time, would likely consider........ excellent grades,(higher than average for Aust gold mining) - good mill recoveries and a not at all too shabby, $80m revenue for the half.
Indeed the figures below would suggest a likely successful gold startup - pointing to say free cash surplus of $50m annualized.
Unfortunately the figures belie a disaster for investors (up until now). Why ?
.... 2.8 bcm of waste was mined at open pit mines Missouri and Riverina - or $63.9 m in just 6 months, for exploration, evaluation and development (mostly development - that is certain).
....32.3 K ounces from the mill is actually good. Efficient expenditure incurred during the 6 months on the mill, in trying to get it up to capacity, maybe can be questioned. Issues involved : Reliability of the processing plant high voltage circuit to be addressed through system upgrades which should reduce plant down time. • Custom liners may improve mill capacity above current nameplate – in discussions with supplier • Replacement of aged bore field water supply line which has required numerous repairs.
-----------------
Anyway the point is - the Dec half does prove they can produce a lot of gold. What has changed, is that Phase 1 (deepening of central part of historical pit) and Phase 2 (pit cut-back) have been completed at Missouri - no longer do we have to endure tens of millions expense, each quarter spend on waste removal - thus the streamed project staffing can mine ore, not rock waste in future.
The great thing is - no lesser quantity of gold ore will be produced, from this 40% less mining plant....(without the need now for waste mining at Missouri)
It does not look like the $20m raised will be required. The new manager....at least following the decision to mine only from this rich Missouri open pit mine - has been handed the project on a platter. Strange thing to stay after the last 12 months, but that is the way it looks.
It should become evident very soon, OBM can produce $50m free cash annually - (like most every other gold company their size) which even on a forward of 5, puts the SP back to 18 cents....plus $40m cash by Oct - what to do with that, I don't know.
----------------------------
ORA BANDA MINING LIMITED DIRECTORS’ REPORT FOR THE SIX MONTHS ENDED 31 DECEMBER 2021
Revenue for the period totalled $79.60 million from the sale of 32,328 ounces of gold at an average price of $2,458.40 and 3,632 ounces of silver at an average price of $32.52. There were no sales in the previous corresponding period.
Ore was mined from three mining centres during the period. Total ore mined was 742,149 tonnes at a grade of 1.85 g/t Au for 44,120 contained ounces.
Processing Ore milled for the period totalled 500,883 tonnes at a blended grade of 2.14 g/t Au for 34,521 contained ounces. Recovery during the period was 91.4% with 31,471 ounces being poured
ORA BANDA MINING LIMITED DIRECTORS’ REPORT FOR THE SIX MONTHS ENDED 31 DECEMBER 2021
- Forums
- ASX - By Stock
- OBM
- Ann: Operational Update
Ann: Operational Update, page-102
-
- There are more pages in this discussion • 7 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add OBM (ASX) to my watchlist
|
|||||
Last
42.5¢ |
Change
0.035(8.97%) |
Mkt cap ! $789.4M |
Open | High | Low | Value | Volume |
40.5¢ | 43.8¢ | 40.5¢ | $4.676M | 11.16M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
1 | 25555 | 42.0¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
42.5¢ | 109998 | 2 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
1 | 25555 | 0.420 |
1 | 2412 | 0.415 |
1 | 10075 | 0.405 |
4 | 133188 | 0.400 |
2 | 31392 | 0.395 |
Price($) | Vol. | No. |
---|---|---|
0.430 | 39683 | 4 |
0.435 | 25000 | 1 |
0.440 | 73445 | 2 |
0.445 | 3500 | 1 |
0.450 | 87000 | 4 |
Last trade - 16.10pm 12/07/2024 (20 minute delay) ? |
Featured News
OBM (ASX) Chart |