RE:RE:another critical milestone achieved -- EIJ,
Thanks for bringing data to the discussion.
The 17g/t far exceeds the normal expected AU grade.
This undoubtedly will help reduce the AISC cosI toward their
$1100 AISC 2025 target.... they were sub $1000 in 3rd q.
I don't see knt continuing to exceed 13g/t ( I hope I'm wrong).
Instead, increased stage 3 processing volume in 2025 will
be the prime driver of earnings to achieve their goals.
In a prior post, you highlighted the differentials between the
realized gold price minus AISC. My knt spreadsheet goes
back 5 years and contains several parameters.
The bottom line on increased eps trend:
1.) The highest profit margin (net income/total revs) occur
when the RGP- AISC differential is greatest
(ie 37% in 3rd q 2024 when differential was $1400).
* Note that the RGP could drop several hundred dollars but
a sub $1000 AISC would help insure high margins
2.) Also, in all cases where profit margin was greatest,
the AU grade exceeded 12g/t
3.) Higher stage3 ore processing starting in 2nd q 2025
will be the final key