Deflector AISC margin of $18m less $10m capital development...

Deflector AISC margin of $18m less $10m capital development expenditure is only $8m operating cash flow for the quarter. However, guided FY23 capital development spend at Deflector has been reached.

With a step change in production imminent at Deflector (e.g. Chart 5, Page 8), I'd expect operating cash flow to substantially increase to $35-40m per quarter moving forward, halting the overall cash bleed. They have the final gold prepayment delivery ($5m) in February and another ~$8m capital development spend at Tank South this FY.

Very disappointing that they, like the previous owners of Sugar Zone, haven't been able to consistently push through the 800tpd ore mining rate due to manning shortages and poor availability of the aging mining fleet. So no acceleration this FY23 (only relatively small incremental improvement), with upper production guidance reduced by 10Koz to 50Koz... and seemingly no significant step change until the new mining fleet arrives and is commissioned during June/September quarters.