Correct Pinto TU.From the KRM headline on their Qtr report:...

Correct Pinto TU.

From the KRM headline on their Qtr report:
"Record Production and extremely low costs generate
US$16.7m cash surplus in December Quarter"

Market cap $382M

FML generated $15.6M cash surplus and reinvested it all. Market cap $229M. That stage will change and retained earnings will soon emerge. KRM retained $7M in December quarter.

FML bought CRE because it had a 1.5Mt PA mill almost complete, a tax loss of $200M, a superb ground position, developed pits, significant resources and upside upside upside into a rising gold price. If you are even reading threads on gold stocks you must have some vague inclination that is is happening, corrections withstanding.

Pinto's other point - sovereign risk. Philippines - bandits and monsoons, Ghana new tax, Africa - much higher risk to staff from violence, malaria, tax grabs and corruption - well managed by many companies and varies from country to country according to political & legal structure DYOR. So you can have that high cash margin because wages are lower and in some cases a great tax break can give some advantage in the mix.

Australia is reasonably sound on a PRisk basis but costs generally higher. FML not marginal thank you Pinto, CRE is and this is turning around so watch this space.

Cheers,
CW
DYOR&DD