Hi John, I've read conflicting information on the COO leaving....

Hi John,

I've read conflicting information on the COO leaving. The quote I remember reading (from Citi I think) pointed out the Morgan Hart specialised in process plant design and that allowed Regis to build their operations more cheaply than others. This doesn't really stack up with his professional background which is a geologist (the Chairman is the process engineering specialist based on his career background). The article below discusses it too where Hart is described as the technical guru. I assume the analysts know what's what so he probably was the technical lead of the operation. The rest of the board is also highly experienced though.

http://www.theaustralian.com.au/bus...xits-rocks-regis/story-e6frg9df-1226838635033

Your points about open pit mining are definitely valid. I think Moolart Well had consistently performed above the reserve grade in the past few quarters and that had helped the production numbers. Now it has come off and the numbers have nowhere to hide.

In the medium term it seems they are at the mercy of mined grades. The stock price fall also eliminates the possibility of script offers and growth opportunities (I suggested Cowal might be a good fit now that is being sold by Barrick). They are really in a bit of a tough spot.