Whatever the case, given the recent affirmations about the UG mine, ie
"Westralia now performing in line with Feasibilty Study levels" I am not concerned.
These guys aren't liars and the trading halt will just be to adjust FY guidance and keep the market properly informed and I'm pretty sure the ship is still steady and going forward.
I'd say the announcement will say something like, we have reduced full year guidance but our production (March production) continues to move towards feasibilty levels. They only declared commercial production in January and said at the time that they were not fully optimised. Even people here said it would be very good going to meet full year guidance.
The rising gold price should help cushion any early misses this company has but I stick to my claim that this is no BLK or GCY. I doubt very much that they will be chewing through cash.
The halt just shows the proffesional way this company is run and doesn't sound like it involves any disaster or incident which could be a cause for concern. If there was a leak the halt is exactly what the trading rules dictate companies should do to keep an orderly market. This is routine house keeping with nothing baked in that will really change the picture going forward IMO. Esh
DCN Price at posting:
$2.45 Sentiment: Buy Disclosure: Held