Hi Loki, my guess previous management glossed over how bad things were, new management have seen what needs to be done and realised its not possible for 3 years and by then the it would have been toast.
This was out of necessity as next two quarters may have broke them. Now the lower grades will benefit from a higher gold price while the ship gets turned. I think they will slowly uptrend on produced ounces over the next year and will drip feed the duck and just go for a consistent and achievable grade. It will take 12-18 months but with a rising sp. As de risking takes place it will start to hum. I look at the long game. The speed at which the turnaround happens will also be dictated by the gold price to an extent. A high gold price will give them the option of treating the lower grades so they can systematically re optimise pits in a coordinated manner.
What has to be remembered is every 0.1gpt increase is huge going forward.
BDR Price at posting:
24.0¢ Sentiment: Buy Disclosure: Held
