Steppe Continues to Focus on Expansion and Production....???Looks like Steppe trying to increase CAPEX, continues crazy stacking......but is that cost-effective? Well, that must be "Mongolian way" .....
https://www.eastasiaforum.org/2020/08/13/mongolias-success-and-challenges-against-covid-19/ "...While countries tend to avoid unnecessary spending, Mongolia has more than doubled its expenditure on domestic investment. This is despite the fact the government is heavily indebted, with public debt around 65 per cent of GDP..."
Inventories almost doubled since beginning of this year, $9.9M to $14.7M, gold in circuit $3.5M -> $8.1M....."...total of approximately 34,000 oz of gold in inventory on the leach pad, ROM pad and in circuit...." .... Means, gold stuck there, in the middle of circuit...Hah....why? Q2'21 Gross profit margin % comparatively low, down to 41% comparing to Q2'20's 50%.......Inflation or Loss on Decline in Net Realizable Value?
I have no idea how Steppe controlling material/metallurgical balance. 21k oz silver lost from Q4'20. Interesting article by SRK ...
https://www.srk.com/en/publications/gold-in-circuit-inventory-measurement "...At the end of the accounting period, the plant operations team will make a concerted effort to minimise the inventory by converting as much of the GIC into dor in the gold room so that it can be reported as final product..."
There is no comments or notes about which accounting treatment STGO using In connection with material balance calculation. It must be periodic system for inventory valuation & COGS.
Why so hurry? Crazy stacking Cell#3 & new crusher purchase......2M tons of ore sitting in Cell#1 & #2, then turned into waste? Nothing left for dissolve? I can't understand the logics of how they operating & presenting it....i have no idea...