Discoveryman, Yes. They paid off US$5.8m of their debt (balance...

Discoveryman,

Yes. They paid off US$5.8m of their debt (balance now about US$3.5m) hence cash held did not rise. By the way, the average price received was US$1,204 - not US$1,300!

They were able to pay down their small debt because of the generation of free cash flow over 2Q15.

Overall, this was a very good result given the very weak price for gold. They achieved an all-time record at Co-O for gold produced and for gold sold. And with the improved L8 shaft capacity it now looks very promising for greater ore haulage rates to the mill from now on.

Grade is continuing to improve as they draw down a greater proportion of fresh stope ore relative to the diluted development ore and the plant recovery has also improved to 93%.

So all the figures are moving in the right direction and the company should be congratulated for finally starting to reap the benefit of all this expansion effort and expense.

It really is about time for the market multiple to reflect the actual EPS that is being achieved. Perhaps the analysts will wake up once the 1H financials are released!
CPDLC