Stratex Share Discussion Threads

[goldenshare888] 12/8/2016 14:15

Sentiment is SO negative on here I feel a buying opportunity and move north is more like it.

Calls of 1.15p seem deluded looking at the screen/price/facts/Gold price etc.

[charles clore] 12/8/2016 14:01

Asking the company for an explanation might save a great deal of speculation.

[blobby] 12/8/2016 14:00

danieldruff, I agree there should be 5 oz silver for each oz of gold so that should be aprox $100 of silver credits for each oz of gold. i.e if we are now selling 1 oz of gold production for $1,200 then the actual cash received will be $1,300 including the silver credits.

[danieldruff2] 12/8/2016 13:54

I think the silver: gold ratio is 5:1 at Altintepe so 19000x5 = 95000oz

95000oz * $17 (average-ish silver price) = $1.6 million ???

[romeike] 12/8/2016 13:48

Perhaps worth pointing out that the production ounces stated are for gold, they have also sold silver so it would be interesting to know what ounces of silver were extracted and sold. I also would like to have seen the figures broken down into Q1, Q2.

[georgesorrow] 12/8/2016 13:46

"During Q2-2016, throughput at the Mine delivered a total of 281,149 tonnes ore at an average grade of 1.35 g/t Au with end-H1 mine reconciliation (based on an average gold grade of 85%) indicating production of 19,467 oz at 1.49 g/t Au from the Camlık East and Camlık zones. The Mine remains on track to deliver at least 30,000 oz Au in 2016."

281149 x 1.35 x 0.035274 (grams to ozs conversion factor) is 13,388 ozs

This figure is obviously nowhere near 7,187ozs

[georgesorrow] 12/8/2016 13:13

Yes blobby, if the gold produced after 16 March to end of June was sold at the same average price as Q1 ($1153), you would need production of about 16k ozs (not 7K) to get that income figure. Gold prices were actually higher, so smaller output would have done it @ $1200 or so, but the figs are still totally awry.

[blobby] 12/8/2016 12:53

georgesorrow, Ah yes, that is another way of looking at it.

According to the RNS of 18 April, “During 2016, up to 16th March, 12,280 oz gold was sold, generating Project revenues of US$14.16 million.”

Then at the end of June, according to the RNS of 11 August “Project sales in H1-2016 of gold and silver generated total revenues of US$32.73 million.” And “with 19,467 oz gold produced to 30 June 2016”.

So the difference in sales is $18.57 million. If all the extra production was sold (and I’m told there is a lag between production and sales) then that extra production of 7,187oz was sold at an average price of $2,585 per oz which can't be right!

I’m confused!

[kingivor] 12/8/2016 12:51

juju - i'm in the queue at 1.15 but not much more.

[georgesorrow] 12/8/2016 12:31

blobby the 7k ozs odd produced between 16 March and end of June and the average sale price needed to account for the additional income.

[romeike] 12/8/2016 12:19

I was actually thinking the price had held up better than I expected. I don't thinking a buy at 1.75-1.9p is a bad move given the recent average price.

[juju44] 12/8/2016 11:57

I may buy more when it reaches my last buying point 1.15p . Beginning to look like toilet material now . Where is Bob when we need him

[blobby] 12/8/2016 11:41

romeike, yes I agree it looks like that. However it would be even better if the figures made more sense. Whilst I'm failing to understand them I have less confidence in what is going on.

[romeike] 12/8/2016 10:49

The figures still indicate the likely outcome is exceeding the minimum stated production level by up to 10K ounces. The production and sales data were the good news from this update and give good reason to hold or add.

[blobby] 12/8/2016 10:19

georgesorrow, where does the "7k" come in. I can't see that.

[georgesorrow] 12/8/2016 10:06

blobby, if you try to balance the sales figure using the 7k separately from income till 16 March, the figures make even less sense. Something does not add up.

[sicilian_kan] 12/8/2016 09:05

blobby, agreed.

How difficult would it have been in a quarterly update to give quarterly figures.

Obviously too difficult (or more likely inconvenient) for Stratex...

Oz produced, oz sold, oz stockpiled for sale, revenues and costs of operations. Simples.

[charles clore] 12/8/2016 08:42

Nobody knows the art of window dressing better than you SK

[blobby] 12/8/2016 08:42

SK, I’ve also been struggling to understand the production figures. A figure of 12,280 oz (sales) at 16 March and 19,467 oz (production) at June 30 does not make sense to me. If you divide H1 sales by H1 production you get $1681 per oz whereas the figure for 16 March was $1153 per oz. I've e-mailed Stratex in the hope of getting a better understanding.

[sicilian_kan] 12/8/2016 08:28

The point was to show Stratex's window dressing of the stats.

[gamesplayer] 12/8/2016 08:02

Why would gold production be steady week on week - it will depend on so many factors, not least of which is the gold content, which obviously varies through the location.

It therefore makes sense to put forward cumulative figures which are not as misleading as quarterly at this early stage of production. Obviously, the reader can work either set out for themselves if they want to.

According to the RNS STI have a cumulative production of 18,859 oz in 2016 (ie deducting the 608 from 2015).

If that average rate continues we will be over the 30,000oz per year - ie as Bob says on track to meet that target.

To twist these words and say that reality is that we won't, that the last quarter's production rate is the new expected average, that the initial production rate is not to be repeated ever and that we will have an annual production of 24,815 oz per year is at best disingenuous.

[charles clore] 12/8/2016 00:38

The clay circuit upgrade probably didnt help. Theres always an explanation if you take the trouble to look.

[shoggoth] 12/8/2016 00:31

That was my thought SK.

[sicilian_kan] 11/8/2016 23:10

Here's why they reported H1 figures rather than Q2 figures. Massaging them of course.

16 March 2016 = 12,280oz
30 June 2016 = 19,467oz

Therefore 7,187oz produced in 106 days including Q2 = just 24,815oz per year.

So Q2 production was significantly under the 30,000oz annual target.

Much better to dress this up as H1 figures of 19,467 isn't it??

The reality though is very different...

[dogwalker] 11/8/2016 21:41

There you go. Nice. Thx blobby.