Hummingbird Resources Share Discussion Threads

[jedi k] 19/4/2024 20:36

https://www.linkedin.com/posts/pasofinogold_dugbe-gold-project-ni-43-101-technical-report-feasibility-studypdf-activity-7187115953011277824-1Ob0?utm_source=share&utm_medium=member_ios

[zhockey] 19/4/2024 18:19

I don’t think they will give a revised target next week.

[dickbush] 19/4/2024 18:12

FYI

Predictive Discovery, close neighbour to Kouroussa.

5.38 mil oz Resource (1.66 g/t). 12 year LOM with 269,000 oz average production. AISC $1,130.

Pre production capital cost $456 mil

Market Cap $320 mil

Maybe not as big as PDI, but there are plenty of companies with substantial resources from drilling, not so many with developed mines. "All" we need is for the company to achieve the 2024 revised production target we will see next week.

How many years have I said that.

[backmarker] 19/4/2024 16:36

I'm looking forward to the 1 kilo + grade's further down !Re. the debt. Does anyone know for sure if there is an actual repayment schedule where specific amounts are payable on given dates ? There has been no mention of this as far as I know. The $77m may just be the target overall reduction. Maybe some of the debt has a final repayment date, but some of it at least may operate more like a flexible loan where the repayment schedule is flexible to allow for the likelihood of large variations in the amount of profit being generated in any period. That would make sense to me. Weather, ore grade encountered and diverse bans skins need to be allowed for.

[borderterrier1] 19/4/2024 16:32

LLB Unfortunately, the past track record of these clowns would suggest that is a big "IF".

[laurence llewelyn binliner] 19/4/2024 15:14

#PH, we 1st heard the figure of USD77M debt pay down around October 2023, POG then was 1,950 now it is 2,400, it is entirely possible that we can still hit that number over 2024 even being a quarter late starting with the extra USD450 an ounce FOC, our margin from Q2 could double..

1,400 AISC..?
2,400 POG
1,000 an ounce margin
10,000 ounces a month
USD10M EBITDA a month

That is enough to hammer the debt out PDQ.. ;o) IF we can get stuck into the 3-4 g/t ores..

[plat hunter] 19/4/2024 14:30

I personally don't see it as a problem though, yet anyway ...

Guidance of 165k kind of suggests a 3 month contingency of getting to commercial production and of that production it is to be weighted towards the second half of the year. With that in mind it also makes sense for the payments schedule of 77m to be weighted towards the second half of the year.

Cash costs and AISC are very two different items, so there's leeway there too with regards to forward liabilities in the short term.

If we get to June and we're still not into the pay dirt or have a full fleet operating to capacity then the spectre of refinancing and diluting shareholders becomes significant.

[plat hunter] 19/4/2024 14:25

One could argue that Opex is up at Kor, as on-demand contracting will be at least double a contractors standard rate. Probably even more if the contractor themselves can only increase capacity by going to the market.

[zhockey] 19/4/2024 13:25

Would Opex be 20M if they are not paying Corica?

[laurence llewelyn binliner] 19/4/2024 12:43

#Backmarker, no I expect debt to peak here at Q1-2024, our OPEX is around USD20M a month, with less than that coming in..

[backmarker] 19/4/2024 11:26

Does anyone think that the Q1 update will indicate that the debt mountain has gone down - even if only by a little bit.

[backmarker] 19/4/2024 11:25

Point taken, we are not yet at commercial production at K.

[tigerbythetail] 19/4/2024 11:06

Hi Lowtrawler!
That's a fair enough comment.
I'd add that Corica - who (forget it not) are a respected mining contractor who successfully work for much larger miners than HUM - are also an important player in the denouement of this tragicomedy. HUM won't be able to simply bilk them and brush them away; life's not like that.
Just on Dugbe, since posters on the other thread are bigging up its theoretical value again:
There are lots of gold mining "projects" out there to choose from if you have a few hundred million bucks lying around and you believe in gold. Jurisdiction is absolutely critical to how appealing any particular mine project is.
Some risks of Liberia:
Hilly tropical jungle and bad roads, no power supply, no trained workforce, outbreaks of tropical diseases such as Ebola, utterly corrupt government, country recovering from civil war with criminality rampant.
All this for a not great IRR (return)! Wouldn't any sane investor choose to put their money somewhere else?

[desha] 19/4/2024 11:04

backmarker

Kouroussa may have been 'built on time' but it is still not commercially producing 6 months+ after first gold pour! It's not enough for Betts & Co to have met their targets, as the targets were inadequate from a shareholder return perspective.

[plat hunter] 19/4/2024 10:44

Problem is.. One of those producing mines has a 5k AISC

[lowtrawler] 19/4/2024 10:33

Sword77, Coris are the elephant in the room. Until there is an announcement of how Coris intend to act, it is impossible to know where shareholders stand. A Western bank would already have announced a debt for equity swap wiping out the shareholders. It is still possible for Coris to do the same. The current share price anticipates Coris being more supportive and simply extending finance on commercial terms while relaxing covenants.

I don't know what position Coris will take and nor do any other BB posters.

[backmarker] 19/4/2024 10:13

Don't be so pessimistic. We are getting there. All these banana skins are now par for the course. We have 2 operating mines and the prospect of a third, even better mine, within a couple of years.Whatever you think of Betts and the board nobody has disputed they did it on time on budget. And I believe it's still possible they may yet be able to hit the production and debt reduction targets for 2024.

[plat hunter] 19/4/2024 08:53

Thursdays are popular for updates but when was the last time we had a good one 😁

[laurence llewelyn binliner] 19/4/2024 08:33

Thursdays seem to be a very popular day for updates, I would not read too much into it, very much looking forward to the news here, see where we are for Q1 and ramp up going forward with our new support companies adding capacity..

Sooo close the pay dirt and 10,000 ounces a month.. :o)

[sword77] 19/4/2024 07:49

If that is correct what you are saying, we will be fine and Coris Bank will not cause trouble and most likely move repayment in the future and give enough time for a further capital raise if needed

[laurence llewelyn binliner] 19/4/2024 07:20

Thursday 25th, and at last we can see where we are on ounces poured/sold, and the road map to bringing Kouroussa back up to speed..

[backmarker] 19/4/2024 07:18

I think it's Thursday.

[plat hunter] 19/4/2024 07:13

Q1 on Monday then