In a snapshot the above explains the terrible production for the quarter. A strip ratio of 24:1 for October and November just killed us. The good news is that the strip ratio has improved significantly as well as operational improvements (drill & blasting and water management) being implemented which will now be overseen by Mark Turner.
I'm not happy with the quarter and I'm even less happy with the SP performance. At an operational level I believe we're heading in the right direction. The merger was a thorn in a side for longer than expected and the production issues we have experienced are common for most new mining operations. The merger is behind us and I believe the worst of the production teething problems are also behind us. A much better quarter (and year) is ahead.
Anyway, I need a strong drink after this week's SP action, our A40 holdings have taken a beating. Cheers!
A40 Price at posting:
16.0¢ Sentiment: None Disclosure: Held
