Ann: Quarterly Activities Report, page-4

Morning all.

A good, steady quarterly report. Good to see more payment to debt (looks like we are on track to be debt free by eo CY2021 / early CY2022), and I think the production rates are growing nicely (think we should comfortably hit the mid-point of guidance).

I'm a little concerned that the AISC isn't dropping at quite the rate necessary to hit guidance.

• Guidance = 250,000 to 280,000 oz (mid-point = 265,000 oz); US$720 to US$800 (mid-point = US$760)
• Q1 = 55,283 - US$953
• Q2 = 63,610 - US$928
• H1 subtotal = 118,893 - US$941

We would need a 22% uplift in H2 (v. H1) to hit the mid-point of the production range (i.e. we need 146koz to hit 265koz).

H2 AISC would need to be at c. US$680 in order to hit the upper end of the AISC guidance range. It would need to be c. US$615 to hit the mid-point.

I see the comment re. AISC:

I think, even with lower plant maintenance in H2, it is unlikely that we will hit guidance.


Anyway, regardless of that, still a steady quarter, with some strong cashflow and better cashflow signalled in H2.