Given this was a risk event for the recent run-up, tis is...

Given this was a risk event for the recent run-up, tis is actually very good news and contained no negative surprises. my quick take is

1. Cash Flow - well managed and cash equivalents for 7 quarters remain, so looks like the only working capital requirement is for the loan rollover, which can be funded by debt if required and Canaccord seem to be lined up to provide advice.

2. Production - plant #2 cranking it out at an annualised 0.6m tons ( operating at 3.3m v 2.7m tops) above capacity and sales of Au10.6k and 119k silver. Cranking it out at 70% above nameplate capacity with a relatively new team is no mean feat.

3. Production - plant #1 all issues resolved and pending approval with staff and machines ramping up.

4. local stakeholders - happy with 91% in favour of KCN's future road use plans. Please remember the local issues and concerns caused the original closure.

5. NE no longer on sale at fire sale prices - It no longer has to be sold to survive, so any sale negotiation and price will be reflecting market prices and can only be adding value

6. Plenty of exploration still being updertaken despite the cash flow constraints. the .4% recovery grade can only improve along with the LOM.

expect to see the strong run up to $2.00 continuing.

Wazz

(posted originally on wrong thread....apologies)