Ann: Results for Half Year Ended 30 June 2018, page-7

Plough

The drop in the USD POC is not good, same goes for the higher fuel costs. The problem is that the AUD has not dropped enough to compensate for the fall in the POC.

I bought a few shares a while back as a spec when the POC was much higher, and I am no expert on the economics of the project so its just a lottery ticket for me.

You stated - "In your "cash generation" you need to also include the cost of processing that inventory --no" In a table on page 12 of the report they indicate all their costs under various items. Mining costs were $41.9m while processing costs were $15.1m. It seems to me that once mining has ceased the $41.9m (or whatever the figure might be then) will become a cashflow positive item that will clear all remaining debt plus provide for a dividend. One might be able to derive some rough estimates of cash position at the end of processing in 2020 based on current costs, balance sheet assets/liabilities and expected level of metal content (coper/gold).

I have no idea if they will get lucky with the drill.

loki