How far is proposed Hammerdown pit from Point Rousse mill ?
I for one am in favour of a merge , if we could get it done for 20% - 25% dilution (which I think is a decent premium, for me I’d value MAE at 16 ish percent) now as opposed to close to 100% later. I don’t think it’s very cost effective to be starting new pits
every couple of years to supply the point rouses mill. MAEs’ grades I believe are more than double ours .
I think they were talking 40 mil annually free cash flow with trucking 140 km to their mill at $25 tonne at 700 tpd. Not sure if the trucking cost is all inclusive of on-site and mill delivery or not .
For MAE shareholders when was the trucking cost calculated , before or after diesel costs went to the moon .
Plus they are processing the ore twice , hopefully that could be changed if our mill is closer ,doesn’t seem too cost efficient.
Does anyone know how close Signals mill is to the proposed hammerdown pit .
I would rather develop Goldboro internally but don’t think Newfoundland operations gonna cut it . With Hammerdown we should be able to avoid massive dilution down the road . I don’t want to see us try and fund Goldboro at 36 cents a share or be bought out for $1 a share. I’d rather see us take steps to our end goal of maximizing Goldboros potential.
I see it as a win win going forward , IF they could get it done . Sometimes Pigs get slaughtered.