Ann: Section 10 Declaration Over McPhillamys, page-96

They’re in a funny position because as it stood McP’s was never going to be especially viable given the capex, so having it formally killed is kind of a blessing in disguise.

On the other hand, it throws into stark light the fact that the company has rapidly shrinking reserves (they just reduced by almost 60% overnight), so despite all the PowerPoint presentations, there is not “a future with growth”, but in fact “a future of depletion”.

I think investors need to be cautious of extrapolating the current cash flows too much because the likelihood is that cash pile is going to have to go straight into M&A, and with the gold price sitting at record highs, it is not a great time to be an asset buyer.