Mt C.....despite problems , low grade ore being used with approvals a bit late, falling margins as a result, cashflow from operating activities was big positive of 57.7M USD, cant wait to see the coming boost from taking unweathered ore from over floater road this half and some benefits from from optimisation project.
Despite all the problems at MT C , the EBITDA from this Australian operation was 70.5M USD, again like to see what happens to that number when they get the benefit of floater road ore and YOP...…….. pretty solid really
Canadian EBITDA is (3M USD), still money but not much to advance the project which is got a proven resource but is in approval process
Corporate costs, say 10 M USD
One off corporate gain from sale of half its Argentinian tenements off 223M USD, ok well I think that derisk probably justifies 10M USD in corporate. This boosts it cash holding considerably so I suppose its time to cancel the 40 M UNDRAWN facility with PNB and remove the risk ranking security over the assets as its not required, bit of housekeeping there
Positive was also a pretty big increase in the resource reserves of Mt C...………….would have thought it would be interesting for corporate raiders soon, sell argentina, sell Quebec, left with growing profit from Mt C mine with its upgraded resources and a truck load of cash, but again I digress......
from trading perspective, its fallen off the 50 DMA at 2.14 for whatever reason, but its noted the shorts have increased from 14.8 % to 15.13% from memory, so the short sellers are draining liquidity. I did see that ETFs and market makers were very quietly given exemptions to borrow stock, ( which I think is BS) by ASIC/asx resently. And Cantor Fitzgerald has in USA been fine a paltry 2M for naked shorting nearly 5000 times since 2013...….. but I digress...again
Can it get back to 50 DMA?, I guess but at present seems a never ending supply of shares going short and accumulated amounts are growing again, this despite clearly cashflow positive from operation in MT C, its just released EBITDA of 70 M USD plus in six month despite all the issues of ore, approvals, falling prices, optimisation spend.
where she goes no one knows, come in spinner.
EV is super low given that the cash on hand is deducted from the current market cap.
GXY Price at posting:
$2.04 Sentiment: None Disclosure: Held
