I'd just like to highlight some perspective on the quality distribution at auction, which from my analysis is not unexpected. I've just run some numbers combing the two inventory portions and the indication is we should be seeing:
- 32.2% of inventory as high quality material ( spread across multiple sub-grades)
- 67.8% of inventory as commercial quality material ( spread across multiple sub-grades )
These numbers are based on the inventory segment distributions I did for my last USD $/ct estimate in this thread. See also tables below for which I have combined the distributions from the two inventory segments.
What we have been seeing for the last day is an overly negative reaction to a single article referring quality of material offered at auction.
We were expecting large amounts of commercial grade material at the auction!
My analysis shows it and also the company kept reminding us of it, apparently because the buyers are demanding it.
This was factored into my recent USD $/ct estimates so it is definitely not new to me. My most recent number being USD $124.33 / ct with this inventory mix (see tables below). It's hard to say what the final result will be, but that is the number my conservative assumptions was showing.
Finally, some pics of inventory we have seen before - so not unexpected!
So yes - we have some pinkish stones - so what! ( image from 16 august announcement ), a few in this mix.
But we also have High Quality stones ( also from the same announcement ):
and this seemingly high quality material pictured at the mine site (from this announcement):
See you all in the morning.
