Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Quote  |  Bullboard  |  News  |  Opinion  |  Profile  |  Peers  |  Filings  |  Financials  |  Options  |  Price History  |  Ratios  |  Ownership  |  Insiders  |  Valuation

AUREUS MINING INC T.AUE

"Aureus Mining Inc acquires, explores for and develops gold properties in the West Africa, specifically the New Liberty Gold Mine in Liberia. Its business segments are Liberia development, Liberia exploration, Cameroon exploration, and Corporate."


TSX:AUE - Post by User

Post by ts9222on Aug 12, 2016 1:42am
262 Views
Post# 25134321

Full Production is not equal to Full Potential

Full Production is not equal to Full PotentialThese are the exact words in the news release:
"management believes that the Company remains undercapitalised to deliver to its full potential and is likely to require further funding for capital investment activities to deliver improvements in operational performance."

Nowhere do they say funding is required for Full Production as Treetop is trying to spin in his worst case scenarios.
A plant can be in full production at max capacity (like 1000 tons per day) without being optimised to its "full potential" or full "operational performance". The recovery rate could be 80% when running at max capacity, but 90% is needed to deliver to its "full potential".

"steady state operations for a continuous period of 60 days" does not require the plant to be fully optimised. They already declared commercial production once before earlier this year without needing to be fully optimised.

As i said before, if they sold exactly the same number of oz that was produced in Q1, their AISC would have been much lower, well under the price of gold. Q1 was an unoptimised quarter, and they were feeding below average reserve grade. That implies they can be profitable even if not optimised.

The rise in gold price itself could make up the difference between optimised and not optimised.



<< Previous
Bullboard Posts
Next >>