Just to tack on, WGX recently undertook a study on the potential cost of expanding the throughput at their Tuckabianna plant, which estimated a $65m capex (no timeframe was provided), which is a little ironic, considering that MGV are looking to spend $80m on a brand new plant, and WGX are arguing that by them acquiring MGV, they will save on the upfront capex, whilst.... potentially looking at spending just north of the same capex, once they have snapped up MGV!
From WGX regarding the T/O.
From WGX in the June Q 2022.
Clearly they pivoted away from any expansion and view optimisation of ore as the better option, which does make sense in terms of being able to reduce costs of production and also increase the amount of ounces.
I keep umming and arrr.... as to whether this is WGX wanting to be both strategic in stopping a future merger of GCY with MGV, or RMS for that matter, as their Penny west project won't last forever, or.... all about profitability. 50/50 is where I am at right now.
Though I do hope whatever happens, we don't get the same level of drama as the GMD/SLR/SBM love triangle.
(20min delay)