Argonaut attended a site visit to PNR’s Norseman operations. The acquisition was announced in May 2019 and work has rapidly progressed after taking ownership in early July, with a 40km drill program due to commence targeting near mine Resources with the aim of infill and extension of existing lodes. We see this as a simpleRead more
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ASB has provided FY19 and FY20 EBIT guidance of ~$92m and not less than $105m respectively. The anticipated margin turnaround has occurred faster than we expected, and the level of EBIT we pencilled in for FY21 now looks like being achieved in FY20. ASB is in very strong position, with a record order book, strongRead more
CVN released the results of an independent technical review of the Dorado discovery. The total 2C resources have increased from an internally estimated 283mmboe to an independently certified 344mmboe, a 21% increase, and the bulk of this change is due to an increase in gas in the discovery. The recoverable liquids (oil and condensate)Read more
We have updated our valuation for Botanix by including a value for the anti-microbial BTX1801. There are now two independent studies showing efficacy, and we expect the next steps to be human trials with a Phase 1 safety study. We have also updated our Psoriasis (BTX1308) valuation on the basis that new data has emerged,Read more
Dacian Gold (DCN) has released a Life of Mine plan update for its Mt Morgans Operation in Western Australia. DCN quotes FY20 production of 150-170koz at an All-in cost (AIC) of $1,400-1,500/oz and Life of Mine (LOM) production of 170kozpa at AIC $1,340-1,440/oz. The plan utilises 88% of the 2018 Ore Reserve (net of depletion).Read more
CVN is well funded for its forward activities with $73.8m cash on hand. During the quarter the successful Dorado-2 appraisal well was drilled testing the downdip portion of the Dorado discovery. A new 3D seismic survey over the area will improve overall basin understanding. Unfortunately, the Roc South-1 exploration well did not encounter movable hydrocarbonsRead more
Pantoro (PNR) pre-released its June Q report with production of 9.6koz (-15% vs March Q of 11.3koz vs Argonaut 15koz) and full year FY19 production of 43koz. Production was impacted by a slower than expected pre-strip of the Wagtail South open pit, a 6-day mill shutdown which was announced in April, and lower underground loaderRead more
The trade war truce was welcome, yet we believe macro risks remain elevated despite largely accommodative global monetary policy. The backdrop is an already low interest rate environment and, arguably, increased borrowing has fed less into productive investment, and more into propping up risk assets. Additional debt is driving smaller incremental gains in GDP, whileRead more
Despite some positive news for the property market in recent months, we expect it will take time to turn. Although well positioned to weather the current conditions, PPC will not escape the headwinds in our view, and the likely pressure on sales, settlements and prices means a HOLD call on a maintained $1.20 valuation remainsRead more
MCE’s operational update, which anticipates FY19 revenue of $37.5-38.5m and positive operating EBITDA in 2H19, was in line with our expectations. Confirmation of the 2H turnaround was key. Together with an order book of $24m and pipeline of ~$40m, it suggests our FY20 revenue forecast of $56m is attainable. We maintain a SPEC BUY callRead more