todays agm

Went to the AGM today.

CEO advised that JIC has been succesfully ramping up production at Smokey Hills and although the Dec qtr will show negative cashflow the mine is forecast to be cashflow positive from the March 2011 Qtr and remain cahsflow positive in each of the following qtrs based on current platinum prices. About 9-10,000 ounces is considered break even.

Issues remain with rising wage costs, availability of skilled workers and rising power costs some 25% increase forecast. No different then any other mining venture in South Africa.

Taking these into account Smokey Hills remains one of the lower cost producing mines in the region. Open Pit mining will continue to keep the costs down.

I would expect to see the share price move upwards on the forecast of cash flow positive position, plenty of coin in the bank from the capital raising for Kalpats.

If the company can achieve what it has never done before, that is actually reach forecasts then all other things being equal then the only way is up.

Top up your holdings while the prices are low!!