indochine future share price calcs, page-26

Nectar
Our company is just as likely to do a gold loan as much as debit or equity finance on Cap Ex.
On that not sxome seem to not understand what Cap Ex actually means in the context of corporate accounting!
It’s not a debt per se.
It describes a money making asset that must be accounted for on the books of the company as an asset of value on the books of the company.
The implication being that it is not recorded as a loss.
Likewise “LOM” in the context of the PFR is not life of the mine per se, it is an initial approved plan to extract gold from Kare.
Some calculations on cash costs on HC appear to me to be entirely erroneous and misconceived.
Cash cost are NIGV minus operational costs which are stated as 800,000,000 for LOM.
Why people decided to use Cap Ex as an operational cost is bizarre.
Actual cash costs at Kare are likely to be in the low $700’s which is the norm with Australasia/Pacific Rim gold producers.