Baloo, HGO stockpile and Beta Hunt are seemingly profitable Baloo open-pit and HGO stockpile and Beta Hunt are seemingly quite profitable at current gold price $1501 USD/OZ. Key calculations.
BETA HUNT:
Beta Hunt projected AISC other things being equal = 1329 (Q2 AISC) - 182.56 = 1146 USD
https://cdn.ceo.ca.s3-us-west-2.amazonaws.com/1eo585k-slides.pdf
Page 10 has $16/t savings compared to toll milling previously. Assuming the $16/t is in USD: BH projected (not reported) 15776 OZ. 180000 tons * $16 = 2880000. 15776*100 = 1577600. 2880000/1577600 = 1.8256. 1.8256*100 = 182.56.
BALOO:
Table 21.4: Higginsville Operating Cost Estimate from Amended & restated technical report (NI 43-101) September 17th 2019.
(https://cdn.ceo.ca.s3-us-west-2.amazonaws.com/1eo2nu0-Screen%20Shot%202019-09-17%20at%204.35.36%20PM.png+)
2243 AUD/OZ ÷ 31.103 (troy once) = 72.11 AUD per gram
Conservative 2 grams per ton
(https://ceo.ca/@newswire/mining-underway-at-baloo-open-pit-mine)
= 72.11 * 2 = 144.23 AUD
Cash cost estimate 64.17 AUD
Operating Cost Estimate = (64.17 ÷ 144.23)*2243 = 997.94 AUD or 675.10 USD
AISC - Cash operating costs average three months ended & six months ended 2019
(https://ceo.ca/@newswire/rnc-announces-second-quarter-2019-results-integration) =
(1329-1282) + (1286-1192) /2 = (47+94)/2 = 70.50 USD
AISC estimate per ounce = 675.10 USD + 70.50 USD = 745.60 USD
HGO STOCKPILE:
(https://ceo.ca/@pierreg01599501?ef6a38f98ee8):
« The value for us and our shareholders is, the revenue in it is about 6,5 M$. If you take away the milling costs of $29 per ton and the transportation costs and apply a recovery, we're left with about 3 M$ [...] We got 3 M$ of net after costs in a stockpile. »
6.5 M $ / 3 M$ net = 0.4615
1-0.4615 = 0.5385
AISC estimate per ounce = 1518 USD/OZ * 0.5385 = 817.38 USD