The JV partners being referred to here are the guys we bought the lease to the ground off (as outlined in Hat's post here) , not the Gold-Stream Cartesian Royalty.
There is no way know that a experienced Barrister who we are lucky enough to have as our interim non-executive managing director, is going to allow the release of price sensitive information selectively against ASX listing rules.
I infer from this that the HM3 commissioning has been progressing very well, but this commissioning has exposed shortcomings, delays or bottlenecks in the mining and processing operation that has needed to be addressed to enable a ramp up of operations.
Rather than expose the market to results that may be very positive in terms of grade, but reduced in terms of quantity as a result of sorting out the logistics of a new mining operation, they have gone to the market to secure funds needed to provide the capital investment needed to provide a high-octane injection of business performance and growth.
Aiming for 5,000 Oz per month is 60,000 Oz per year or about 100 Mil in gross revenue ...and high grade will equal low AISC as discussed previously. Lets say we are looking at $60mil in earning at a multiple of 7 = a market cap of around $400mil or about 40c (less Cartesian Royalty).
This is only on Cascavel / Mestre / Cuca before further exploration and drilling that could be very exciting to say the least.
We already have JORC circa $80Mil on Sertao with more drilling planned (and high grades already reported).
Elesio, Antane-Xupe and OMG Tintero (and the rest of Cascavel) -and now we have the cash to do some meaningful exploration.
I can't see why we won't jump to 16c on Monday (and we know what that means )
Looking fantastic!
Great Weekend all:
SJB
OGX Price at posting:
12.5¢ Sentiment: Buy Disclosure: Held
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