Post by
nozzpack on Jan 08, 2023 5:11pm
Cash Flows last two quarters of Point Rousse
Sprott in their Nov 28/ 22 report estimates 12 million ounces in Q4 / 22and Q1/23 combined.
These ounces will also include the stock inventory which will be the essence of The extra 5000 ounces.
Sprott estimates cash costs of $1210 US for those two quarters.
So at POG of $1810 US, Signal will cash flow about $600 US per ounce of production .
Those 12000 ounces will therefore produce operating earnings of about $7200 US in total which amounts to about $9.8 million cad .
Another 2000 ounces ( about $5 million cad ) will be gleaned from cleaning out the Pine Mill in preparation for placing it under care and maintenance .
This $5 m should pay for care and maintenance costs of the Point Rousse mill for several yesrs.
So, about $9.5 to $10 million in cash flows will be available in Mid February when the mill is shut down.
This will pay for the 4000 m current drilling program , as well as G & A operational expenses , for an extended period if time after closure..
Comment by
DoumDiDoum on Jan 08, 2023 5:36pm
The curent drilling is paid by the latest flow through financing they have done. Kevin and Rob are using as much ado they can this type of financing for exploring and developing deposits. So the cash flow money will be used for covering other expenses.
Comment by
GoldNHill on Jan 08, 2023 6:09pm
Severance Pay for the outgoing employees will have to be factored into the equation.