At least you have a plan,,,I suppose it is the 10 its cheap brigade, round number thing,,, but it was futures expiry so those days are often weird...you didn't buy into it at 10?
Other observations
FYI
RBC upgrade NCM this morning before either announcement which I thought was interesting, you'd think they would at least read the announcement's first
Morning star have said they are really happy with NCM result, production above plan and that well done on the 450M of extra debt....lol,,,,
NCM made lots of noise in the QTR report about AISC,,,,,,but then if you take the time to read the Sept Presentation, it confirms a lot of what we have been thinking...
AISC will vary QTR to QTR and depend on payments timing etc etc,,,so Im sticking with the costs per mine analysis as per the report for the snapshot,,,,,,
,,production down, revenue down, gross margin per unit up,,,,and its up because of "timing of payments" no question imv,,,hence why they retained guidance and put the little explanation that AISC will VARY QTR TO QTR......
This will all be forgotten and we will just focus again on margins for this QTR based on POG AUD........$29 margin expansion given the "below" capex budget guidance isn't hard,,,,,,,,but it sure isn't going to make any dent in the old debt or the new debt,,,,,,,just shuffling deckchairs and praying for a GOld explosion is risky business imo with more debt less equity and falling POG AUD.....strange move.........
IMO if gold POG falls further, or is sustained at these levels of low margin......this debt load is going to get troublesome, Im not forecasting it,,but if they have any production problems with gold at these low price - RIP
NOTE all debt facilities are subject to "financial covenants" page 11, its not oh we can do anything we please as everyone thinks,,there are conditions, which NCM says are currently comfortably satisfied.......Its their call, they are calling the Gold markets bluff,,,time will tell who lives and who dies
Anyhoo,,,off to the gold trade,,,which I note has been falling all day since the house voted......
bye
NCM Price at posting:
$10.14 Sentiment: Sell Disclosure: Held
