CAH 0.00% $1.71 catalpa resources limited

why recent dump, page-8

  1. 89 Posts.
    A word of caution here
    Edna May has grades of 1.0 to 1.02 g/t ,I don't have ore to strip ratio to hand , but its not brilliant.
    This makes the operation extremely sensitive to increases in diesel cost, resource tax, gold price. On the positive side the approx $1500/oz hedge is helpful at the moment.
    Cracow is underground and thus inherently riskier than open cut. The grade at 7 g/t is not exceptional.
    It has an issue with mine life as there are only 2 years reserves although the resource potential looks reasonable.
 
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