If there was one issue with Anthill which I haven't addressed yet, the anomaly is quite cubic for want of better words. The best gold deposits are ones which stretch out parallel to the surface, but MKO's dips down quite sharply, with quite a small top-down surface area to deal with.
It won't be a problem necessarily for MKO because there is still plenty of gold up there near the surface, but if they wish to grab every last ounce of gold out of the deposit, it will require a fair bit of waste removal. This increases operational costs.
I'd be looking at an average $500/ounce operational profit margins on the gold, and if we get anything better than that then it will be a welcome bonus!
At the moment though, these prices are oh so cheap. It's as if the market forgot that MKO only has 80M shares fully diluted...
MKO Price at posting:
18.5¢ Sentiment: None Disclosure: Held
