Ann: Quarterly Report June 2014, page-45

filbert,
What ever the MD told you, and I believe that you have reported accurately, should be taken with a grain of salt. It doesn't add up nor does it explain the current situation.
If they new there was something wrong, then they failed to disclose it to the market. You can't have it both ways. We have continuous disclosure, not just wait for the quarterly. The SP has been diving for weeks with no info from the company, so you can't trust management as they clearly failed to disclose.

The mine operated at below the capacity of the mill, so only runs 5 days a week, again material information they should have told investors about. Now they have sacked nearly 1/4 of the workforce, yet expect mining rate to rise? I'd expect it to fall by about 25%, not increase.
Did the MD tell you what figures were already improving in July? If it's tonnes per worker, great, but can still lead to an overall decline in production because of less workers.
The MD standing by 2015 guidance, despite major changesat the mine, isjust telling you the company line, until they change it. At the rate they are going they will be lucky to get to 80,000oz. They are probably alos going to need more money to get there, ie a cap raise, again.
Only 17,000oz during a time the told us 92-93% for the mill, 2000-2300TPD for the mill, and greater stope ore, is nothing but pitiful. Grade luckily was a bit higher.
Before now, they needed 4800 workers, yet failed to produce enough ore from the mine, (at a grade of 4.99gpt, still low for 10gpt reserve), all during the dry season. Now with over 1,000 less workers they expect you to believe will produce more. That is just BS and you know it.
I managed to drop nearly $7k, but I'm very happy that I bailed before the quarterly because the SP action was just too negative.

I don't understand why more people haven't bailed, because you just can't trust what management is saying and doing. As a less than 80,000oz producer and a current AISC of $1538 (adding the sustaining cap expenditure and cap development expenditure), the total market cap could be less than $200m very shortly.
If gold dives as well then lower again!! Sub $1 per share easily possible and highly probable given current numbers and direction!!