Both the chairman and Simon are top managers with miles of experience and a string of take overs behind them. Funny how NST just pounced as well, so maybe this is number 4?
The recent appoinment filled the CFO gap. He is highly regarded and ex NST/ Jubilee executive. He will sort the debt Out. It’s the first time they have spoken about it, so it’s clearly going there.
Management are telling people not to expect a large placement as it’s going to mostly debt funded. The chairman has been at the front of many mines coming online and this sort of project is right in his sphere. They can attract decent players if required as is evidenced by the CFO.
This is extremely banakable with the exisiting plant and reserves.
100,000 Oz pa will print money with gold over A$1700 and their costs sub A$1100. That’s a gross operating profit of A$60m pa on those numbers for the first 4 years alone. The entire company is trading at approx A$140m right now. That’s not a big PE at all for the emerging sector player with mine life. It looks the decision to mine is fast approaching. Dyor.
EAR Price at posting:
28.0¢ Sentiment: Buy Disclosure: Held
