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BANRO CORP. T.BAA

"Banro Corp through its subsidiaries, is engaged in the exploration and development of its gold properties, including Twangiza, Namoya, Lugushwa and Kamituga."


TSX:BAA - Post by User

Bullboard Posts
Comment by brendellyon Nov 16, 2012 5:37pm
385 Views
Post# 20612081

RE: Incredible new drill results for Banro

RE: Incredible new drill results for Banro

Interesting that they release updates on drilling program yet they have a hard time releasing operational updates on the Twangiza mine. 

There is one significant issue I have with the historical and current production targets from management. Original mine plan was 1.3 Mtpa yielding ~115,000 oz/year. Initially the planned expansion was to 1.7 Mtpa yielding ~130,000 oz/year. Phase 1 post commercial production is now at estimated 96,000 oz/year below initial forcasts. In the August 2012 release they mentioned accerlerating expansion to 2.0 Mtpa bypassing 1.7 to ultimately to reduce costs, their expectations are to produce >10,000 oz/mo or 120,000 oz/year. There seems to be a disconnect of what was expected and what they are actually producing and this has never been clarified in Q3 release or operations update. Take a look at the presenation as well they are calling for a 100,000 oz in 2013 with the incremental 20,000 oz coming online for 2014 post expansion.

I see this is as the main reason share price has had a hard time breaking out even before this last significant drop. However having Namoya coming online 2013 is a big plus leaving 2014 as a major growth cycle.

Bullboard Posts