Interesting AGM
Some good and some bad.
First off they seem to be a little unorganized about running it. Trying to vote on things then just accepting it without tallying any proxy votes or anything just seem obviously messed up. But whatever I won't go to deep in to that.
Lots of concern about Stock option plan - The vote like 50.3% to 49.7% for it on 142 Million votes. SO that could of swung anyway if a few more people voted.
They keep insisting that they are focused on cutting down burn rate. Basically of the 30 M left in the bank they are down to 3-4 million burn a month right now and think they will be down to 1-2 M burn very shortly and hoping to get to 0 ASAP (sounds like goal is year end). I consider the burn rate the same thing as Cash Flow positive that i keep eluding to. I've always stated this is key.
They also been saying there cut off grade is going to be up from 3.0 to 3.5 gpt. They said their target head grade is 5 gpt. I still don't know how achievable that will be.
In the end there All-IN cash cost per oz is around 1300-1400 and with gold dropping they need to do major cut backs or improve head grade and possibly both.
So the long story short, this company still has upside but one hell of a battle to get there.
