Matthew Gordon,
Ptolemy Capital
Callow joined the group in September last year and has changed the approach. He thinks the market may not understand, and is possibly discounting the company, because of the Mali factor. We talk about the companies ability to do business with Covid-19, the military coup earlier in the year, low-grade mining, operating costs and finances to advance the project in Mali. The have completed their DFS to allow them to get in to production and start to generate cash to finance the bulk of the development and additional exploration. The basic numbers are good. They aren't showing the scale or the opportunity yet, but this plans allows for them to do that further down the track. The company itself has been going since 2005 and a lot of money has been spent with over 150,000m of drilling, 11,500m of that in 2019. They have $2.5M in cash so will need to raise some capital but it is question of how they structure that. Callow says they are conscious that they do not want dilute shareholders so have slowed the financing process down and are doing a little more drilling to expanding the size of the deposit. The 2nd asset in Burkina Faso is on the backburner for now.