ALK 5.10% 51.5¢ alkane resources limited

EVN also reported production impact at one of their mines due to...

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    EVN also reported production impact at one of their mines due to rains too.
    very different to be impacted by weather event which can't be controlled and falling behind schedule due to poor planning for example. ALK's announcement says Roswell ramp up was not sufficiently rapid or along those lines - which points to poor planning or some other issues such as operational challenges.

    Recently I saw they had lot of adds for operators and this could be the issue - can't get enough skilled workers which is impacting the ramp up.
    Or could be poor project execution and ALK experienced late deliveries of equipment. Not very clear what caused the slow ramp up but does not seem to be weather event.

    And missing the yearly target is not 100% due to Roswell.


    Last Q was also bad due to poor recoveries - on this one it is not clear if it was poor process/operation or something that could not be foreseen. It was not clear if ALK was or was not supposed to test for that particular carbon mix.
    I had some correspondence with Nic on this but could not get clear response - was defensive and not clear to me if this was avoidable but the argument was they never encountered this type of carbon before hence why they never checked. So more along the lines the poor recoveries were not due to a mistake being made but more like could not see it coming - at least that was my interpretation.

    From memory they don't plan to test for such carbon mix at Roswell either as they don't expect to encounter such. Not clear what the cost is to test for this type of carbon but my understanding is, this specific test could not be done on site and samples have to be sent to the Lab in Orange.

    My thoughts are it is worth performing such tests when accessing new areas but I don't have enough understanding on the subject to call it either way, so I'll take Nic's word on this.







 
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