RE:MND hedgeI absolutely agree. I was wondering what the unrealized loss was related too. At least it was only one quarter so I'll cut them some slack. Only positive now is that they've acknowledged their mistake and will not hedge into the future (also q2 QoQ results will look very impressive from the artificial q1 suppression, unless gold heavily corrects).
What concerns me more is the renewal of the credit facility alongside the continuing build up of cash closely being tied in with M&A talk. I've never been a fan M&A in a bull market because you'll always overpay no matter how solid the deal you'll think you can get (unless they merge with an equally sized, similarly run gold company but who?).
A merger of equals sounds good in theory but I usually see those as messy. One party always benefits way more than the other and I don't see Mandalay having the leverage to be the winning party right now (especially considering how low our trading liquidity is)
Maybe it just me but I'd rather they slowly continue to pay down their debt, finish closing up the Canadian mine, continue expanding the resources in their current producing mines and either sell or start looking into exploring their non core asset.
With all this free cash they'll potentially have this year a dividend needs to heavily prioritized at this point. If this is put on hold due to the prioritization of M&A I'll be thoroughly disappointed