Post by
Shermandrock1 on Sep 13, 2019 9:37am
I am more of an optomist that most here
According to the Q2 results transcript, "the commissioning of additional gravity concentrators and other plant retrofitting was COMPLETED in the second quarter of 2019 and the gravity project is now complete with the second surge bin in full operation as of July 1". Further, "we experienced reduced second quarter recoveries of 80%, which was caused by lower availability of gravity concentrators due to commissioning challenges and, as a result , greater pressure was placed on resin performance". In addition, the amount of gold lost in increased solution tails from the resin column SUBSTANTIALLY ACCOUNTS for the overall gold recovery versus the first quarter". Lastly, "the scavenger columns to treat solution tails..........will be installed during the third quarter and commissioned during the fourth quarter". Later, in the Q&A, Gil Lawson asserts the ramp of the scavenger columns "it is in that one to two week range I would estimate". All of the above, taken in the aggregate suggests that Management is acutely aware of the importance of recoveries. IMO, given that most of the repairs/installations occurred during Q2, the recoveries that will be achieved in Q3 will likely rise to at least to the level to that of Q1 of 84%. However, my optimistic outlook requires that I post my belief that the recovery rate in Q3 will be 86%.