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neWs

“ I don’t think anyone can discount the

projects in West Africa, which are

generally high-grade, and that is what we
have to focus on as West African producers;
generate as much [cash flow] as we can and
make that point of difference between West
African producers and Australian producers.

$US720-800/oz for 2021 – proceeds and expat-Africans during a pandemic,
as smoothly as year one. The company WAF knows the capacity it now has in De Grey Mining Ltd’s Allan Kneeshaw and
is already forecast to produce an aver- the region. Phil Tornatora (both centre) accepted
age of 216,000 ozpa to at least 2030 but “I don’t think anyone can discount the the 2020 GMJ Explorer of the Year at the
with cash of $US73.1 million expected to projects in West Africa, which are gener- Paydirt Unlocked lunch in March
grow, investment is front of mind. ally high-grade, and that is what we have
Should WAF strut to the M&A dance to focus on as West African producers;
floor, Hyde would be comfortable ex- generate as much [cash flow] as we can flow and if you look at some of the as-
panding in the region where it has gone and make that point of difference be- sets in West Africa; they are producing
from greenfields explorer-cum-producer. tween West African producers and Aus- cash flow and that is probably in contrast
And, given the experience of minting a tralian producers,” Hyde said. to some Australian assets, which are get-
new gold mine largely run by Burkinabes “Investors are focused on free cash ting older and might be getting deeper.
Sandbrado is a new mine, we are gener-
ating very healthy profits in the first year
Paydirt editor Dominic Piper talked all things West African gold with Perseus’ Jeff
Quartermaine, West African Resources’ Richard Hyde and Resolute’s Stuart Gale of operations and it will get better as we
get better at the operation.”
Hyde’s comments on grade and cost
profiles generating significant cash for
some of the Australia’s West African gold
mining contingent were on point with
Quartermaine.
However, Quartermaine has one – al-
beit a good one – dilemma on his hands.
“How to deploy that cash and what to
do with it is certainly a major point of dis-
cussion for the people we are talking to
these days,” he said.
“Recognising we are firmly on track to
be producing 500,000 ozpa in fairly short
order; there is a lot of cash flow in that
and what to do with that and add value is
subject of real discussion.”
– Mark Andrews

Drive the conversation - 21 April

Paydirt Media’s newest networking series presents an expert panel to discuss all things glittering in gold. Book your table today!
Contact Mel Fogarty: melita@paydirt.com.au Phone 9321 0355 for more information

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