RE:RE:RE:Top 10 finish !Yes, they have been talking about selling Karma for years? it seems like.
But from a strictly numbers point of view it does seem like a 'poor' sale. If the AISC is about $1200, so a cash cost of say $1000 per oz, and production of 100,000 oz this year let's say, that is a hundred million US of cash over cash cost. Seems like that would pay for hiring a little more management to take care of the mine.
Must be other factors.
*Without Karma the AISC overall will come down a little, but since Karma was only around 7% of production the effect will be small. And a hundred mil more divi this year, would offset the little advantage a slightly lower AISC would give ($930 to $880) , I would think.
* Maybe with Karma almost finished, there will be big restoration costs soon, but a hundred mil is a lot of restoration.
* This might be a stretch, but maybe they are worried about the security situation at Karma. It is more up north which is typically less secure, and maybe they are thinking that a security incident at the mine would knock way more than a hundred mil off the share price.
* And as was suggested, maybe 'giving' the mine to a local has its benifits.