mgx's quarterly

No, I haven't got the wrong thread...

MGX just released their quarterly & it bodes well for ago as production levels are similar for the quarter & 1H

They added $64M to their cash pile, after:
- corporate tax 24m
- dividend 22m
- trucks 13m
- construction 4m

So total cash generation for the qtr was 127m.

Average benchmark price was 135/T with fob price for the company at 108/T.

AGO should expect a very similar net cash flow position next week, if not a better one as:
- Ago ore is higher quality, hence lower discount to benchmark price
- Ago isn't paying tax yet as it uses its losses
- Ago didn't spend 13m on trucks

Also don't forget that MGX is now on the downward slope from a production perspective as they achieved 5.1M sales 1H & say are on track for 9.0-9.5M full year production.

Ago is still growing its production base with 10-12-15M to be produced before we hit a cap without a solution to unlock Horozon II

Ago should rally hard today, even in the headwind of IO lower overnight by $1