Hello KKLL ..and thank you .
I had not realised that producing gold was so much like cooking
Out of all the known and stockpiled ingredients you put into the bowl the ratio needed to get tbe ‘perfect result’.
I read somewhere they had some high grade ore stockpiled......(was that from the third pit, Sly Fox ?) and I was expecting some ability to manicure the December quarter figures for a result in the long term best interests of the company .
As to those long term best interests :
On September 17, Mike Dunbar was flagging:
“Based upon the short term mining schedule, which has been updated with additional grade control drilling, the production guidance for the December quarter remains unchanged at 25,000oz. This run rate is expected to allow commercial production to be achieved during the December quarter.” https://www.gascoyneresources.com.a.../180917-Operations-and-Exploration-Update.pdf
.....I wonder if a “run rate’ of 18,000 ounces is considered “commercial production?”
At a hedge sale of $1720 per ounce (I think) that’s about a $12 million shortfall on what was being called in September ....
(And if the maths is right that is - coincidentally? - the exact amount of NRW’s capital works loan facility !!)
If it was me I would be making sure NOTHING goes wrong in the crucial 12 last days of the year and I would be making sure I came in as low as I could with production ..and maybe higher expenses too ...given the market is not expecting so much and operations are safe.
This with a view to stockpiling highest, best ore and gaining as much in reserve as possible to fly through the next quarter into an excellent set of results even if mining expectations are still not quite working out .
And if they are going as expected, so much the better .
As an aside, I like feeling more comfortable Gascoyne is about to tick over into being just another boring gold producer. ( I am presuming Gilbeys can go it alone if need be)
But still don’t understand how Mike Dunbar seems to have done the Emperor’s New Clothes thing with Golden Wings and possibly more. Authorative people have have spoken about his earnestness and integrity on HC and NRW would have done heaps of due diligence on him and on the mine *.
Did he really believe there was better gold than there appears to be?
His results were also externally confirmed by Runge Pincock Minarco - a global consultancy . https://www.rpmglobal.com/
(*at the NWH AGM it was reinforced how important DD is considered to be and how diligently it is acted upon after the Samsung debacle)
Also the Ian Murray ‘ghost appearance’ is a mystery I would like to see unravelled ..
In relation to Mike Dunbar’s credibility, it will be very interesting to see the outcome of the exploratory drills at Tanqueray (following on from the enormous ‘hit’ there recently at a crucial time ).
And also ‘early in the quarter’ is when it seems the final analysis of Golden Wings will determine if/how it is worth proceeding there.
(20min delay)
