Liontown shows signs of life

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Righty O money.
That's not good.

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Sorry listeners, right O money
miners.

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Doesn't count unless I go deaf
in the first few minutes.

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That's probably why my audio
I've got to sort my audio out

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because it's just this one peak
at the start and everything else

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is.
So I turn the dial down for the

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first bit and then I adjust it
up so I can hear you normally

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afterwards.
Right.

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Maybe I'll cut them.
Interesting.

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Is this the episode?
I think it is mate.

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What are we talking about today?
Lawntown.

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Northern Star.
Yankov.

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What a mix 3.
The table of contents.

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Three big companies, three
different commodities.

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Quarterly season.
Yeah, mate.

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I've got a ramp up story, what a
massively cash generative story

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compared to a lot of the other
companies we talk about and then

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we've got a growth.
Story.

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A growth story.
Which one are we starting with?

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Let's go lime town in respect of
what got us started at money of

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mine, the lithium bull market.
Still that.

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Popular, I reckon.
Mate, there's there's yes.

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Are they paying a dividend soon?
Best, worst time of breath all.

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I loved it.
He's like, he's like my

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chairman.
My chairman is, he's eager for

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always asking about it.
Don't.

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Worry.
Oh, loved it.

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Loved it, right.
Take it away, Jade.

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Everybody up.
Oh God, they were up 10%.

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They're up as high as 15%.
I think they were finished about

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12 or something.
Yeah, it was good.

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It was good, right on the
operations.

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We'll talk about, you know ramp
up obviously cash generation

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getting a bit a bit of a better
sense of what costs are going to

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look like.
So I think that's the maybe,

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yeah, maybe maybe I mean better
than what it was last quarter.

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We're getting an idea, but
obviously it's that you know,

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transition from open pit to
underground that we're going to

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see over the year.
So it's hard to get a proper

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gauge, but let's talk about what
we kind of do know.

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What we do know is that for the
half year we're now in, that's

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the first half of this calendar
year, they guided to Aussie 775

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to 855 per tonne on a spot, 6%
basis unit operating costs.

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So not not all in sustaining
costs.

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That metric came in at $1000,
but obviously that's for the the

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quarter before.
So it's put them in decent stead

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to to kind of get there over the
half year.

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We're now in on a production
basis just under 90,000 tons.

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That came in a lot stronger than
a lot of people thought and just

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maintaining that should hit the
guidance numbers that I just

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presented because I sort of said
170 to one 85,000 tons.

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So looking at an all in
sustaining cost, getting a bit

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closer to what your real costs
are actually like we're talking

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US $763 a ton including freight
790.

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Compare that with the sales
price which they spoke about 806

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U.S. dollars and you can see
it's yeah, it's kind of close

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bearing in mind that is
provisional.

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So you have to look into the
footnotes with a fair few of the

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things they talk about here.
But what that really means is

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that 31,000 of the 80 odd 1000
tons that they sold was

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provisionally marked as of
December 31, hadn't actually

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been sold.
So the actual price they receive

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could be a bit higher, given
that spot prices have been

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trending higher.
And there's a yeah, there's a

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whole thing with how their
contracts are set up, the prices

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actually get that we don't kind
of need to get into.

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It's a bit detailed, but.
So they realized price is 806

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for SC six equivalent and
they're selling at SC 5.2.

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Correct.
That's right.

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Yeah, produced a 5.2% product,
which seems, but those costs

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were on an SC6 basis as well.
OK, Yeah, yeah, yeah.

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Gotcha Bra Aussie.
Dollar helpful there too as

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well, right?
Like if you're reporting on

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standing costs in the US.
Exactly, Aussie dollar was a

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tailwind on a few fronts as
well.

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They've obviously got a part of
cash at the moment and stuff,

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but yeah, on those ones, like
with most commodities, we talk

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about helping them out for the
time being.

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Right.
So they said they generated 17

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mil of net cash from operations.
That's right.

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Is that is, is that, is that
valid?

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Jonas Benedict.
Well.

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That is, that is what they said
and it's by the accounting book

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because they haven't yet said
that they have reached

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commercial production.
So they they gave a fair bit of

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detail here.
Credit to them for that.

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So you can talk off 5 million of
commissioning costs that were

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capitalized they said.
So they say sort of underneath

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it, 12 million is roughly the
numbers.

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But then you know, as we're
going to talk about you get into

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a whole lot more detail and it
and it really comes to that open

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pit versus underground mining
difference.

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What's being capitalized.
A lot of that underground

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development has been capitalized
as you can see clearly in the

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waterfall chart here somewhat to
the right.

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It's.
All been capitalized.

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On the underground side, yeah,
that, that's right.

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Yeah.
So expecting commercial

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production to be announced
around mid this year, first

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opening is starting in Q4 of
this financial year.

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So next quarter from where we
are today and then open pit

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mining, we'll see in about a
year's time.

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So that really ties back to why
I said we haven't got a firm

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understanding of what costs are
going to look like because

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there's going to be that
transition period over the next

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year.
Yeah.

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And I think because everyone,
everyone wants to and a lot of

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the questions on the call were
like trying to get a guard for

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the, you know, the sustaining
capital because at the moment

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it's it's an open pit they're
developing in underground.

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So it appears that that you
know, 28 million that they've

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said capital underground
development and other

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sustaining, they've sort of
bundled that together.

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I think other sustaining is
referencing level development

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and all drive development that
will be will be sustaining in

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the future.
Yeah, work.

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On on the fence these sort of.
Things operating development in

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the future, but because they're
not producing from the

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underground yet product like
they're using, they got 30 odd

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thousand ton of ore development,
they're saying that is in that

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bundle, yeah, which looked a bit
high.

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So I think in the future it's
like a good chunk of that 28

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million that'll be the operating
development will be not I'm not

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sure how much of A chunk, but
there will be a chunk of that.

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There will be flicked over to
that payments for operating

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costs and it'll be a underground
environment, not an open pit

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mine.
And they spoke to this as well,

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right?
We, we listened back to the

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question a couple times.
The indication they gave that

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that sustaining total, you know,
28 is a bit higher, that should

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moderate a bit.
Expect that to come down in

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future as a sort of standard
sustaining capital number that

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needs to be spent every quarter.
But I think and but that'll be.

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That will come down.
But I think that'll be.

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Goes into the other.
Part the query is how much is

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the the operating cost going to
go up when you go and when a lot

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of that's gone because they're
still going to have they've got

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two jumbos operating they're
always going to have a minimum

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of two jumbos or they anticipate
they said they deferred the

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third jumbo to I think it was
calendar year 26.

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So it's, it's going to be a
pretty whether the, whether they

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do, they're always going to be
probably doing a bit of decline

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or like, sorry, they're going
to, it's going to cost a pretty

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similar amount each quarter for
A2 jumbos to develop over 300

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meters each.
So that cost is not really going

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to change.
It's always going to be there

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and they're going to be trying
to get that same amount of

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output out of them.
Yeah.

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So there's yeah.
So it's going to be a big, I

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know when the open pit finishes,
you're going to replace the open

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pit equipment and the open pit
mining with underground

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equipment.
So they, it's there is a change

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out, but underground is you
would think it's more expensive

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than open pit.
This is going to be a pretty

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bulk mining version of
underground.

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So yeah, that's we weren't
really known until probably FY20

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6 anyway, right.
So the quarter one, quarter 2

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till that's all.
Cash generation here is, is the

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open pick cost, but obviously
the long term here is undergo,

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yeah.
Exactly.

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I think that's fair to say.
And on the development, it was a

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decent quarter again sort of
edged out to be a record quarter

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of I think 30 odd meters like
you said, a bit over 300 per

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jumbo per month, which is
decent.

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And you know, good signs like
ventilation, raised bores, you

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know, pace reticulation and the
pace plant, all these

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infrastructure type projects
were ahead on schedule, which

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is, you know, positives.
And there and there will be a

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lot of in that mine development
and everything there will be

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costs at the moment like your
early ventilation raises like

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even though there is 1/3
decline, I to my knowledge that

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is the ventilation drive.
But there setting up the your

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first vent rises if there is any
of the surface like a fresh air

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intakes escape ways like but
there's the pump stations, the

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substations and all that.
So that they're when they were

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talking about the early heavy
capital that is going on.

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It will.
There will be some of it, but

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not as much now as not as much
as there is now.

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Over the quarter they built up a
handy amount of stockpiles as

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well, which is they risk that
that period we're going to see

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over the next year if there is
any sort of hiccups along the

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way. 1.3 million tons now in
stockpile mostly built up from

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clean ore plus the you know the
all sorting stockpile that they

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call it, which they've actually
spoken about putting together

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through the plant all together
as opposed to what the previous

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plan was or sorting it.
You know that that is product

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that sort of sits there or that
sits there with more dilution,

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more kind of deleterious
elements if you like.

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But they're trialing different
things.

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And they said in January they're
already trialing humping that

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all together, lumping that all
together and then just putting

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it through, seeing what the
outcome is, seeing if they can

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still get the right recoveries
and those sorts of things.

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So that sort of leads us to talk
a bit about the the recoveries

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of the whole operation.
Yeah.

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What are they up to 59%?
59%.

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Recovery targeting 70.
For December, that's right.

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So as Tony O called it, this is
the the Holy Grail of of lithium

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sort of production recoveries
are super, super important.

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There'd be an area that I'm sure
heaps of analysts scrolled to

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they were, they were keen to
see.

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So talking about throughput, yet
about 620,000 tons go through

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that's you know comes out at a
bit over 2.4 million tons per

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annum, yeah.
Nearly 2 1/2.

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Yeah, on a 2.8 nameplate.
So they're getting there on that

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front, 70% by Q3 FY20, 6 is what
they said they want.

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So essentially one year to get
themselves up from what they did

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in December, 59% to 70%.
Beyond that we don't actually

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get too much information like
they they previously put out

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what the week to week
improvements were in the last

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quarter.
But now we just get a a kind of

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standard number for each month
and that went from 52 to 54 to

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00:11:03,320 --> 00:11:06,680
59 over the three months of the
quarter, so.

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00:11:06,680 --> 00:11:08,760
And that's pretty like, and
that's pretty impressive that

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it's going up and they're
lifting the throughput because

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that like when you're lifting
the throughput, you're like

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you're going all in.
That's like I'm sure there's a

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lot of live changes and
everything that goes on with the

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other how the plant works.
But yeah, if it's heading in the

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direction in the they're nearly
at 2.8 million tonne, that's

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yeah, that's good.
But like as we said, between the

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the and he may he talked to it
as well like the the massive

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balancing act they got between
the reagents, the the, the, the

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de sliming, Yeah.
And the ground size.

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The ground size, yeah, so.
Can't have it too big, can't

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have it too small.
It's a Nah.

227
00:11:45,720 --> 00:11:48,600
It's a balancing act.
And interesting to see what the

228
00:11:48,600 --> 00:11:54,000
underground feed if that is
going to you know, change change

229
00:11:54,000 --> 00:11:56,480
the recipe for how the plants
going to work compared to the

230
00:11:56,480 --> 00:11:59,040
open pit. 100%, we'll keep our
eyes peeled for that one.

231
00:11:59,040 --> 00:12:02,360
The feed grade did improve this
quarter versus last, so 1.3

232
00:12:02,360 --> 00:12:05,920
versus 1.2, better grade, better
recoveries.

233
00:12:06,080 --> 00:12:09,080
You know, we all kind of have
spoken about that quite a bit,

234
00:12:09,240 --> 00:12:12,080
but overall the trend was very
positive and I think it kind of

235
00:12:12,400 --> 00:12:14,360
exceeded expectations to be
honest.

236
00:12:14,360 --> 00:12:17,120
I think most expectations were
just straight lining where we

237
00:12:17,120 --> 00:12:20,280
were to 70% in a year and a
bit's time.

238
00:12:20,960 --> 00:12:23,840
And if you're calling it like
that, it was an improvement.

239
00:12:23,840 --> 00:12:26,240
And yeah, they're on the right
track there.

240
00:12:26,240 --> 00:12:28,600
But like I sort of said, there
was about one page covered with

241
00:12:28,720 --> 00:12:31,480
a couple charts there.
So we'll have to wait and see

242
00:12:32,600 --> 00:12:34,040
what the team can chalk up
there.

243
00:12:34,120 --> 00:12:36,280
I think they're and they'll be
going straight to the high

244
00:12:36,280 --> 00:12:38,040
grade.
I would imagine underground

245
00:12:38,680 --> 00:12:40,240
like.
I think that's a pretty good

246
00:12:40,240 --> 00:12:41,960
that.
Would be the best place to go.

247
00:12:41,960 --> 00:12:43,600
So it'd be interesting to see
even though there was only

248
00:12:43,600 --> 00:12:47,800
30,000 ton of development or if
they're getting going straight

249
00:12:47,800 --> 00:12:49,880
to the high grade, you might say
a bit of a lift from the

250
00:12:49,880 --> 00:12:53,080
development or component that is
a bit of high grade going

251
00:12:53,080 --> 00:12:56,600
through the feed next quarter to
lift it all up with the pit.

252
00:12:56,680 --> 00:12:59,600
And then yeah.
So they might, as I said, it

253
00:12:59,600 --> 00:13:03,040
might cost more underground, but
if they can, if they're targeted

254
00:13:03,040 --> 00:13:06,280
high grade straight up and
getting, you know, the 1.6%

255
00:13:06,280 --> 00:13:09,360
shit, no, the reserve grade was
what 1.44?

256
00:13:09,360 --> 00:13:12,960
So if they're getting well above
that at the start, definitely

257
00:13:12,960 --> 00:13:13,880
help things along.
I.

258
00:13:14,080 --> 00:13:15,840
Think it will go for?
That good stuff.

259
00:13:15,920 --> 00:13:18,280
On that sort of theme, let's
talk about the cash because

260
00:13:18,280 --> 00:13:20,680
that's what really matters for
this for this company in their

261
00:13:20,680 --> 00:13:24,000
sort of crunch point that we're
in, ended last quarter with

262
00:13:24,000 --> 00:13:29,480
263,000,000, ended this quarter
with about 193,000,000.

263
00:13:29,480 --> 00:13:32,040
And the numbers are always going
to be lumpy, single asset

264
00:13:32,040 --> 00:13:34,480
company, non precious.
We're talking about four

265
00:13:34,480 --> 00:13:39,160
shipments that went out over the
space of the the quarter, but

266
00:13:39,160 --> 00:13:42,000
you had another 45,000,000.
So if that's 70 million sort of

267
00:13:42,000 --> 00:13:46,760
difference there 45 was project
CapEx, so 11,000,000 more of

268
00:13:46,760 --> 00:13:49,800
that needs to go out over the
next half year and that's sort

269
00:13:49,800 --> 00:13:52,920
of done which is good because
that was an improvement on what

270
00:13:52,920 --> 00:13:56,320
was flagged just a quarter ago.
But we're getting closer and

271
00:13:56,320 --> 00:14:00,280
closer to seeing what that could
look like in in due time.

272
00:14:00,280 --> 00:14:05,560
And with about 200 ish million
in cash, you've got 700 odd

273
00:14:05,560 --> 00:14:10,080
million in debt.
So that's roughly 410 coming

274
00:14:10,080 --> 00:14:13,480
from the the notes with LG and
then about 3:30 including what's

275
00:14:13,480 --> 00:14:18,200
been capitalized with forward,
both roughly sort of five years.

276
00:14:18,200 --> 00:14:21,600
The five years started mid last
year for the LG component and

277
00:14:21,600 --> 00:14:25,360
it's going to start mid this
year for the forward component.

278
00:14:25,800 --> 00:14:28,240
Right now they're still
capitalizing all the interest

279
00:14:28,240 --> 00:14:30,160
expenses, so they don't have to
pay those ones.

280
00:14:30,160 --> 00:14:33,560
But by 6 months into this year,
they're going to be paying

281
00:14:33,560 --> 00:14:35,120
interest on the forward
component.

282
00:14:35,520 --> 00:14:37,400
And by mid next year, they're
going to be paying interest on

283
00:14:37,400 --> 00:14:40,200
the LG component.
So that's more expenses, that's

284
00:14:40,440 --> 00:14:43,720
cash going to go out the door
each quarter or each half year

285
00:14:43,720 --> 00:14:46,040
in the LG case that they need to
pay.

286
00:14:46,040 --> 00:14:48,640
So a lot of eyes are on those
two.

287
00:14:49,120 --> 00:14:52,240
I think like the, you know, the
bullet payment in what, 20-30

288
00:14:52,240 --> 00:14:55,440
that's, you know, a bit similar
to Regis, it'll just be there

289
00:14:55,440 --> 00:14:59,400
forever and hopefully just knock
her off 6 months early and

290
00:15:00,240 --> 00:15:04,160
should be all good hopefully.
700 million is a fair bit of

291
00:15:04,160 --> 00:15:08,000
cash, but I've no doubt that the
lithium environment will go

292
00:15:08,000 --> 00:15:10,120
through a few sort of ups and
downs between now and then.

293
00:15:10,120 --> 00:15:12,960
And maybe if there's a a really
rich spell and things are going

294
00:15:12,960 --> 00:15:15,960
well, you can refinance things
and, you know, capitalize on a,

295
00:15:15,960 --> 00:15:18,560
on a better environment.
It's a it's a long way away.

296
00:15:18,840 --> 00:15:20,800
Thankfully for the company, it's
not something right up in their

297
00:15:20,800 --> 00:15:21,320
face.
Yeah.

298
00:15:21,440 --> 00:15:24,280
I think, I think once production
starts and as we said, they'll

299
00:15:24,280 --> 00:15:27,120
be targeting the high grade
underground, they'll be

300
00:15:28,480 --> 00:15:33,360
hopefully, probably Q1, FY20 6
will be the sugar hit period

301
00:15:33,560 --> 00:15:37,600
because they they should
technically be free bogging a

302
00:15:37,600 --> 00:15:40,720
shit load of high grade dirt
underground.

303
00:15:41,080 --> 00:15:43,560
They won't have to be pace
filling like they'll just,

304
00:15:43,560 --> 00:15:46,560
they'll open up a few like
Stokes at once and they'll just

305
00:15:46,560 --> 00:15:50,200
start ripping out the good stuff
and that'll be gone straight to

306
00:15:50,200 --> 00:15:52,640
the plant.
Because until those initial

307
00:15:52,640 --> 00:15:55,160
stops are empty, they don't have
to be pace filling.

308
00:15:55,160 --> 00:15:58,120
They don't have to be spending
money on cement and everything.

309
00:15:58,120 --> 00:16:00,640
There's that.
That's when they're really got

310
00:16:00,640 --> 00:16:04,080
to make the most of that
underground to try and get a bit

311
00:16:04,080 --> 00:16:06,160
of cash in the door.
They'd be crossing their fingers

312
00:16:06,160 --> 00:16:08,880
and toes that that coincides
with a period of of good

313
00:16:08,880 --> 00:16:11,640
pricing, right.
And you know, on the, on that

314
00:16:11,640 --> 00:16:14,600
sort of note, we heard them
reference and it was in the news

315
00:16:14,600 --> 00:16:17,680
over the weekend that Albemarle
sold a lot.

316
00:16:17,680 --> 00:16:21,400
I mean it was a kind of one
paragraph article, so not too

317
00:16:21,400 --> 00:16:24,080
much that came out about it, but
the price they quoted and I'm

318
00:16:24,080 --> 00:16:28,600
not sure when it was actually
changing hands was US $921.00

319
00:16:28,600 --> 00:16:32,240
for SE6.
So regardless, that's better

320
00:16:32,240 --> 00:16:34,400
than where we were half a half a
year ago.

321
00:16:34,640 --> 00:16:37,680
And you know, if that sort of
trend continues along with the

322
00:16:38,080 --> 00:16:41,480
improvements in operations and
everything, then it could, you

323
00:16:41,480 --> 00:16:44,080
know, inch their way towards a
bit of a better place.

324
00:16:44,240 --> 00:16:47,280
Yeah, yeah, they could.
Just like could just mine all

325
00:16:47,280 --> 00:16:49,160
high grade and not fill them
like Nifty did.

326
00:16:50,680 --> 00:16:54,000
Let's hope it doesn't come to
that, that I dramatically chalk

327
00:16:54,000 --> 00:16:55,520
off the the life of the
operation.

328
00:16:55,520 --> 00:16:58,920
But I mean, yeah, taking a step
back the the quarter

329
00:16:58,920 --> 00:17:01,840
operationally was a lot of
positives in there.

330
00:17:01,840 --> 00:17:04,520
Doesn't really speak to the
valuation of the business or

331
00:17:04,520 --> 00:17:06,720
anything like that.
You know, like we said, dividend

332
00:17:06,720 --> 00:17:10,079
might be a while away still, but
there was a lot of positives to

333
00:17:10,079 --> 00:17:12,440
kind of take and it's kind of
understandable why the why the

334
00:17:12,440 --> 00:17:14,800
share price ticked up 10 odd
percent today.

335
00:17:15,440 --> 00:17:17,359
Yeah, I just want to go.
I want to go back to the the

336
00:17:17,400 --> 00:17:20,560
cement, Sorry to keep hopping on
about pace fill.

337
00:17:21,000 --> 00:17:23,960
I just want to know, I don't
know who's supplying that cement

338
00:17:24,079 --> 00:17:26,359
up there because that that's
that's going to be the most

339
00:17:26,359 --> 00:17:30,600
critical thing for that
operation is that pace fill

340
00:17:30,600 --> 00:17:33,960
consistency and everything in
the future because there's the

341
00:17:34,320 --> 00:17:36,760
paste backfill production
balance.

342
00:17:37,280 --> 00:17:41,040
I'll just recommend once I do
figure out who is supplying the

343
00:17:41,040 --> 00:17:45,320
cement, get them to call Derek
Hurd from the CNB Ground Sport

344
00:17:45,320 --> 00:17:50,040
Division and get some tips on
how to consistently supply a

345
00:17:50,040 --> 00:17:52,480
product to a mining operation
forever.

346
00:17:52,960 --> 00:17:56,800
Because don't you think the CNB
Ground Sport Division are the

347
00:17:56,800 --> 00:18:01,600
best in the game for delivering
shit every day forever?

348
00:18:01,720 --> 00:18:03,560
It's not just bolts, it's
everything you need, right?

349
00:18:03,560 --> 00:18:06,480
Yeah.
Cement is exactly the same as

350
00:18:06,480 --> 00:18:07,880
ground sport.
You're going to be using it

351
00:18:07,880 --> 00:18:11,400
every day.
Call Derek, get some tips from

352
00:18:11,400 --> 00:18:13,960
the best maybe if they should
start seeing Vic cement.

353
00:18:15,000 --> 00:18:17,080
Maybe they should.
That is actually that actually

354
00:18:17,080 --> 00:18:19,680
sounds good too.
Logical next step.

355
00:18:20,120 --> 00:18:22,040
Seeing Vic Cement.
What do you think of what do you

356
00:18:22,040 --> 00:18:25,120
think of mines that that don't
have DSI ground shit just.

357
00:18:26,680 --> 00:18:30,680
Shit, uninvestable.
Uninvestable, pretty much, yeah,

358
00:18:30,680 --> 00:18:33,880
the the CapEx number's huge, The
operating cost is huge.

359
00:18:34,080 --> 00:18:36,240
The waterfall chart just ends up
going backwards.

360
00:18:36,800 --> 00:18:41,920
So yes, give you give yourself a
good waterfall chart and call

361
00:18:41,920 --> 00:18:44,680
Derek Hurd go DSI.
Oh, buddy.

362
00:18:45,040 --> 00:18:46,000
Alright, Maddie, let's talk
about.

363
00:18:46,000 --> 00:18:46,960
DSI.
DSI.

364
00:18:47,760 --> 00:18:50,320
Sandvik, DSI.
Still in my heart.

365
00:18:50,760 --> 00:18:52,800
Alright, let's talk about
Northern Star.

366
00:18:52,800 --> 00:18:55,240
Oh God, bloody can Northern
Star.

367
00:18:55,240 --> 00:18:56,960
Can you just go back to having
Paulson's?

368
00:18:57,200 --> 00:19:01,560
It's so much simpler, so much
going on here, and I don't think

369
00:19:01,560 --> 00:19:04,200
I've provided.
Anything but company.

370
00:19:04,200 --> 00:19:07,240
Anyway, it's pretty flat, pretty
flat.

371
00:19:07,480 --> 00:19:09,360
Seems to be tracking the gold
price today.

372
00:19:10,240 --> 00:19:14,600
So what 410,000 oz sold all in
Stein and cost 2128.

373
00:19:14,600 --> 00:19:19,600
So they've said underlying free
cash flow of 72 million and that

374
00:19:19,600 --> 00:19:24,320
does include 60 million of
equipment, finances and leases.

375
00:19:24,320 --> 00:19:27,560
This for a $18 billion company
by the way, pretty bloody big.

376
00:19:27,800 --> 00:19:32,040
So oz and cost second-half
weighted.

377
00:19:32,040 --> 00:19:37,600
So because they've sold 804
ounces, 804,000 oz so far and so

378
00:19:37,600 --> 00:19:41,160
they need to sell another
921,000 ounces to hit the

379
00:19:41,520 --> 00:19:45,440
midpoint of their guidance,
1.725 million oz.

380
00:19:45,760 --> 00:19:51,480
So now the big sounds like it
was a bit of a pivotal quality,

381
00:19:51,480 --> 00:19:53,520
you'd say something.
They said they're working four

382
00:19:53,520 --> 00:19:58,080
years towards is at KCGM.
The East Wall remediation is

383
00:19:58,080 --> 00:19:59,200
done.
Done.

384
00:19:59,560 --> 00:20:01,040
That's that's wow, that's
awesome.

385
00:20:01,120 --> 00:20:03,880
Yeah.
So they're actually now going to

386
00:20:03,880 --> 00:20:07,880
access the Golden Pike N ounces
in the pit floor.

387
00:20:08,080 --> 00:20:11,760
So they're talking about like
grades of you know, 2G a ton in

388
00:20:11,760 --> 00:20:16,120
those pit floor benches.
So that's going to be the kicker

389
00:20:16,320 --> 00:20:20,280
for so because you can see how
much for KCGM for the open pit,

390
00:20:20,280 --> 00:20:22,200
how much lower the open pit tons
were.

391
00:20:22,200 --> 00:20:25,360
So just a bit over 1,000,000 ton
compared to like three and a

392
00:20:25,360 --> 00:20:28,400
half million ton for the quarter
one year ago.

393
00:20:28,400 --> 00:20:34,240
So and so it sounds like that is
really going to ramp up for the

394
00:20:34,240 --> 00:20:36,840
second-half and that's where a
lot of the ounce uplift is going

395
00:20:36,840 --> 00:20:39,280
to come from to meet the
guidance.

396
00:20:39,280 --> 00:20:44,040
What do you say?
I think Simon was the COI was

397
00:20:44,040 --> 00:20:46,480
saying it was like something
like 50,000 ounces in a bench or

398
00:20:46,480 --> 00:20:48,520
something like those two green
benches.

399
00:20:48,760 --> 00:20:52,240
So there's, yeah, a lot of lot
of good dirt down there.

400
00:20:52,400 --> 00:20:58,960
So I would anticipate that that
open pit grade and the tons are

401
00:20:58,960 --> 00:21:00,960
really going to lift in the KCGM
pit.

402
00:21:01,280 --> 00:21:04,560
So my 2 grand open pit, she's
bloody deep down there, bud.

403
00:21:04,560 --> 00:21:05,240
That's deep.
Yeah.

404
00:21:05,320 --> 00:21:06,640
Fucking hell.
It's like driving up from an

405
00:21:06,640 --> 00:21:09,840
underground.
But yeah, anyway, sure, they've

406
00:21:09,840 --> 00:21:12,160
been doing it for a while.
They're going to keep doing it.

407
00:21:12,200 --> 00:21:17,520
So oh say and they're freaking
humming at bloody KCGM

408
00:21:17,680 --> 00:21:20,920
underground. 7.2 kilometres of
development for the quarter, so

409
00:21:20,920 --> 00:21:23,000
2400 a month.
So I don't know, they probably

410
00:21:23,000 --> 00:21:27,160
got bloody 8 jumbo 0 something
and 7.4 kilometres of

411
00:21:27,160 --> 00:21:31,080
development at Jundee.
So nearly 2500 a month there.

412
00:21:31,080 --> 00:21:36,880
So still bloody flying delivered
120,000 ounces of the 400 odd

413
00:21:36,880 --> 00:21:39,280
into hedges.
So that's why they averaged

414
00:21:39,400 --> 00:21:42,560
realized sale prices are 3700 an
ounce.

415
00:21:42,560 --> 00:21:47,320
So interestingly did not add any
further hedging commitments.

416
00:21:49,280 --> 00:21:52,040
Consider out of the three out of
the last four quarters, they've

417
00:21:52,040 --> 00:21:58,040
always added hedges, added a big
chunk, bloody 285,000 oz or

418
00:21:58,040 --> 00:22:01,920
something 12 months ago.
So yeah, you'd think at this

419
00:22:01,920 --> 00:22:04,080
really high gold price, I
thought they probably would have

420
00:22:04,080 --> 00:22:08,240
got a good price for some adding
some hedges, but they haven't.

421
00:22:08,240 --> 00:22:11,080
So it'd be interesting to see if
they're hedging policy will

422
00:22:11,080 --> 00:22:14,560
change.
Still 1.7 million oz hedged at

423
00:22:14,560 --> 00:22:19,040
3242 delivered up until the June
half 28.

424
00:22:19,240 --> 00:22:21,760
Gotcha.
So yeah, it feels like.

425
00:22:22,440 --> 00:22:24,640
Yeah.
One of those that without

426
00:22:24,640 --> 00:22:26,560
context, it's, I mean, there's a
lot of Oz hedged there,

427
00:22:26,560 --> 00:22:28,080
obviously, but they produce a
lot, a lot of gold.

428
00:22:28,080 --> 00:22:31,560
But maybe they're copping some
Flack on the on the on some of

429
00:22:31,560 --> 00:22:34,360
the hedge book or or maybe the
typical thing that happens with

430
00:22:34,600 --> 00:22:37,520
capital allocators in the mining
just to get like a pro cyclical

431
00:22:37,520 --> 00:22:40,480
and they're like, oh, damn it,
this isn't working, I'll stop

432
00:22:40,480 --> 00:22:43,960
it.
I as, as you say, as I said, I

433
00:22:43,960 --> 00:22:46,800
think it was the quarterly, last
quarterly conference call.

434
00:22:46,800 --> 00:22:49,720
They're like, look, hedging
never works in a rising gold

435
00:22:49,720 --> 00:22:52,600
price environment.
The gold price had been rising.

436
00:22:52,600 --> 00:22:56,400
Fair decades now, but yeah, I
mean it looks like the classic

437
00:22:56,400 --> 00:22:58,440
1/3 for the next three years,
yeah.

438
00:22:58,520 --> 00:23:03,600
So 600 odd 1000, they're doing
what you say, 1.71 third yeah,

439
00:23:03,840 --> 00:23:05,080
yeah.
And it just looks like you said

440
00:23:05,080 --> 00:23:09,200
they're the June half in 28.
They haven't upped it.

441
00:23:09,320 --> 00:23:11,760
You know, classically they would
have added another 300 odd

442
00:23:11,760 --> 00:23:16,720
thousand for for that half year
period and they've sort of held

443
00:23:16,720 --> 00:23:20,160
the trigger on that one, so.
Yeah, so see what they do next

444
00:23:20,680 --> 00:23:23,800
month.
And so they also received about

445
00:23:23,800 --> 00:23:28,880
206 bucks from Goldfields after
they converted their the con

446
00:23:28,880 --> 00:23:32,080
note they had with a Cisco.
Someone told me about this they.

447
00:23:32,120 --> 00:23:34,240
Put my radar, yeah, yeah.
So it was right.

448
00:23:34,280 --> 00:23:36,840
It was just in October.
So obviously they converted the

449
00:23:37,160 --> 00:23:40,560
con note into Cisco shares.
Then obviously Goldfields took

450
00:23:40,560 --> 00:23:43,040
out of Cisco mining.
So it looks like they profited.

451
00:23:43,440 --> 00:23:45,800
I think it's 37 million
something from that.

452
00:23:46,120 --> 00:23:50,320
But it's funny on the on the
debt front, because their their

453
00:23:50,320 --> 00:23:56,040
debt is AUS $600 million bond.
So the actual Australian dollar

454
00:23:56,040 --> 00:23:58,560
value of that debt since the
last quarter's going up $100

455
00:23:58,560 --> 00:24:02,360
million because it was at $0.69
last quarter.

456
00:24:02,360 --> 00:24:04,000
Now the Aussie dollar is at what
6?

457
00:24:04,040 --> 00:24:07,360
It was marked at $0.62.
You know who else has a lot of

458
00:24:07,480 --> 00:24:12,280
US denominated debt?
Good friends of the show.

459
00:24:13,840 --> 00:24:20,120
So, yeah, so for that
772,000,000 underlying free cash

460
00:24:20,120 --> 00:24:23,520
flow, they spent another
79,000,000 on the share buyback.

461
00:24:23,520 --> 00:24:27,600
So it looks like about 50
million to go on that $300

462
00:24:27,600 --> 00:24:30,720
million planned buyback.
I think that's I think that

463
00:24:30,720 --> 00:24:33,280
added up to 250 million total
spent so far.

464
00:24:33,280 --> 00:24:35,800
So.
What about the CapEx, mate?

465
00:24:36,240 --> 00:24:41,760
800 bucks. 800 bucks spent for
the first half so far.

466
00:24:42,000 --> 00:24:47,160
So 1/2 billion is scheduled.
So sounds like that E warmer

467
00:24:47,160 --> 00:24:52,520
remediation was you know a good
added to why it was a bit more

468
00:24:52,520 --> 00:24:56,520
first half weighted.
So as we repeat going through

469
00:24:56,600 --> 00:25:02,160
high CapEx period with the KCGM
expansion, so a bit below 400

470
00:25:02,160 --> 00:25:10,360
mill 1/4 total that's so I guess
the CapEx outside the KCGM

471
00:25:10,360 --> 00:25:15,560
expansion is still 250 mill 1/4
plus another 125 mill 1/4 for

472
00:25:15,560 --> 00:25:19,280
the KCGM side.
So you think of evolutions

473
00:25:19,280 --> 00:25:24,840
CapEx, they're about 185 to 187
in the last two quarters each

474
00:25:24,840 --> 00:25:26,960
quarter.
Granted bloody Northern Stars

475
00:25:26,960 --> 00:25:30,200
market caps 18, bill evolutions
711.

476
00:25:30,560 --> 00:25:33,760
So, but yeah, show it.
It probably does show a bit that

477
00:25:34,240 --> 00:25:37,680
Evos are probably a bit more in
cash harvest mode in a way

478
00:25:37,680 --> 00:25:39,280
north.
Of Montgari, that's The only

479
00:25:39,280 --> 00:25:40,480
exception.
That way, that's where the

480
00:25:40,480 --> 00:25:41,440
money's going.
Yeah.

481
00:25:41,440 --> 00:25:44,680
And even that's getting to the
the sort of more than halfway

482
00:25:44,680 --> 00:25:46,840
through that that spend here
there as well.

483
00:25:46,840 --> 00:25:48,960
But I mean it strikes you when
you hear the free cash flow

484
00:25:49,240 --> 00:25:52,400
number that you said at the
beginning, 70 million for a $18

485
00:25:52,400 --> 00:25:53,600
billion company.
Yeah.

486
00:25:53,800 --> 00:25:55,960
And you look, you know a lot of
CapEx being spent.

487
00:25:56,240 --> 00:25:59,040
Around the grounds and because
you could say they're in growth

488
00:25:59,040 --> 00:26:04,640
mode until what FY20 7 when the
KCGM expansion is is complete

489
00:26:05,040 --> 00:26:08,920
and degree then Hemi if that
goes through they didn't buy it

490
00:26:08,920 --> 00:26:13,440
on comments regarding Hemi just
said won't really give much

491
00:26:13,440 --> 00:26:15,600
until the transaction goes
through which is scheduled for

492
00:26:15,600 --> 00:26:17,760
May.
But if you think that you know

493
00:26:17,760 --> 00:26:20,760
KCGM expansion's going to finish
then bring on another

494
00:26:20,760 --> 00:26:26,080
potentially 2 billion at least
CapEx for to build Hemi.

495
00:26:27,480 --> 00:26:28,760
Yeah.
It's going to be in another

496
00:26:28,760 --> 00:26:32,880
section of it's, it's equivalent
to the KCGM mill expansion plus

497
00:26:32,880 --> 00:26:36,280
more probably more way more
CapEx to to build that.

498
00:26:36,280 --> 00:26:39,440
So it's it's sort of.
They put out their quarterly

499
00:26:39,440 --> 00:26:41,720
today too.
And there was there was one

500
00:26:41,840 --> 00:26:46,280
bullet around approvals in a
yeah, a deferment of a, of a of

501
00:26:46,280 --> 00:26:49,000
AI think it was a federal,
federal approval for by 6

502
00:26:49,000 --> 00:26:50,880
months.
I mean, everyone was expecting

503
00:26:50,960 --> 00:26:52,240
something along those lines
anyway, yeah.

504
00:26:52,640 --> 00:26:57,480
Yeah, I think, I think once that
once that Degray transaction

505
00:26:57,480 --> 00:27:03,480
goes hopefully goes through or
maybe before, who knows, It'd be

506
00:27:03,560 --> 00:27:05,480
interesting to see if they're
going to be divesting some

507
00:27:05,480 --> 00:27:09,200
assets or not like Karasuddin
possibly at the top of the list

508
00:27:09,200 --> 00:27:12,000
hearing that mine life
extensions there would need a

509
00:27:12,000 --> 00:27:14,560
bit more proving up to extend
it.

510
00:27:14,640 --> 00:27:20,000
Like look at Thunderbox and
Thunderbox and Bronze Wing, like

511
00:27:20,000 --> 00:27:24,120
that's their highest cost sort
of operations, you know,

512
00:27:24,120 --> 00:27:27,480
definitely probably take John D
in Pogo, keep all the Kalgoorlie

513
00:27:27,480 --> 00:27:29,320
stuff to feed the shit out of
the mill there.

514
00:27:30,400 --> 00:27:32,360
Yeah.
Now that now that Hemi's

515
00:27:32,360 --> 00:27:35,640
probably possibly coming into
the portfolio bit of cash in the

516
00:27:35,640 --> 00:27:38,680
door that should be heading
straight to Paul Natali's pocket

517
00:27:38,680 --> 00:27:40,800
for the great, the Hemi camp for
Grounded.

518
00:27:41,600 --> 00:27:43,880
Definitely, that's thought make
that easy.

519
00:27:44,040 --> 00:27:46,440
Easy for Paul, but easy for
Northern Star as well.

520
00:27:46,880 --> 00:27:49,040
It's it's hot out in the
pilgrimage.

521
00:27:49,240 --> 00:27:51,920
But you know what makes working
in hot weather better?

522
00:27:52,960 --> 00:27:57,240
Paul Natali and and grounded it
will happen in front of you

523
00:27:57,240 --> 00:27:58,600
mentioned where it's like out of
travel.

524
00:27:58,600 --> 00:28:01,400
Have a look at where it is right
up in the bloody.

525
00:28:02,680 --> 00:28:04,920
It's not the it's the shoulder
of Australia.

526
00:28:04,960 --> 00:28:08,280
But there is no exception.
Tony O said it'd been 40° every

527
00:28:08,280 --> 00:28:12,160
day out at Kathleen Valley.
There's nowhere in WA where you

528
00:28:12,160 --> 00:28:15,000
don't need a grounded camp.
Oh right, well, and especially

529
00:28:15,000 --> 00:28:17,520
in this one because have a look
at what it coincides with.

530
00:28:17,800 --> 00:28:21,200
Raging day.
Severe tropical cyclones, that

531
00:28:21,200 --> 00:28:24,600
is like Emmy is there and all
also in that frickin purple

532
00:28:24,600 --> 00:28:29,960
patch, which means the hottest
place in hottest band in

533
00:28:29,960 --> 00:28:33,760
Australia.
So I'll tell you what, if I'm

534
00:28:33,760 --> 00:28:37,000
going up there, I will want that
bloody Hemi camp to be freaking

535
00:28:37,000 --> 00:28:41,680
cyclone proof and supercharged.
Air Con and my grounded have the

536
00:28:41,680 --> 00:28:44,440
ones they have those camps ready
to go.

537
00:28:44,480 --> 00:28:45,720
They're the people for you,
camp.

538
00:28:45,720 --> 00:28:47,360
'S the wrong word.
I think we've got to call them.

539
00:28:47,680 --> 00:28:48,720
Resort.
Resorts.

540
00:28:48,760 --> 00:28:50,880
Yeah, Resort.
Village Village feels like a

541
00:28:50,880 --> 00:28:52,240
retirement thing, but they're
better than that.

542
00:28:52,400 --> 00:28:54,320
Yeah, you know who else calls
them Resort Trav?

543
00:28:55,440 --> 00:28:58,520
The same the same company that
has a lot of US denominated Ted.

544
00:28:59,760 --> 00:29:01,960
Oh mate, I'll tell you what, if
I'm going up to the up to the

545
00:29:01,960 --> 00:29:06,160
friggin see how the poor there,
London might just make a good

546
00:29:06,200 --> 00:29:10,480
recruitment decision and put put
another J spot on the WA map.

547
00:29:10,520 --> 00:29:11,280
Go grounded.
Go.

548
00:29:11,320 --> 00:29:11,960
Grounded.
Let's.

549
00:29:13,080 --> 00:29:14,720
Talk about Yanko.
Yanko.

550
00:29:15,640 --> 00:29:17,160
Yanko, Trey, have you tuned into
this one?

551
00:29:17,160 --> 00:29:19,440
Doom doom, doom.
Yes, for all the filthy cold

552
00:29:19,440 --> 00:29:22,360
stock lovers out there, which I
am one of.

553
00:29:22,360 --> 00:29:24,880
Ding Ding Ding.
You're right, Maddie, I own yow

554
00:29:25,320 --> 00:29:27,160
is that there's a few things
happening with the ankle at the

555
00:29:27,160 --> 00:29:29,400
moment, which which kind of puts
them in the spotlight, makes

556
00:29:29,400 --> 00:29:31,480
them kind of interesting.
You know, you can come up with,

557
00:29:32,240 --> 00:29:34,960
yeah, get your thesis for why
the stock price might move

558
00:29:34,960 --> 00:29:37,360
either way based on, you know,
where they're at and what their

559
00:29:37,360 --> 00:29:40,640
capital allocation is and the
quarterly results that they

560
00:29:40,640 --> 00:29:42,880
dropped like yesterday, they
always drop them off to market

561
00:29:43,480 --> 00:29:47,160
pretty strong.
Cash up 480 million bucks in the

562
00:29:47,160 --> 00:29:49,680
quarter.
So the stock price shot up 6%,

563
00:29:50,080 --> 00:29:53,240
which is pretty hefty hefty move
for an $8.4 billion market cap

564
00:29:53,240 --> 00:29:57,280
company notably that the cash
balance is is 30% of that market

565
00:29:57,280 --> 00:30:02,120
cap standing at 2.5 billion
Aussie dollars as at the 31st of

566
00:30:02,120 --> 00:30:04,640
December.
That the cash balance is key

567
00:30:04,640 --> 00:30:08,800
focus for for shareholders who
are trying to read into like

568
00:30:08,800 --> 00:30:11,800
every word as if it's like, you
know, the Fed reserve minutes to

569
00:30:11,800 --> 00:30:14,080
figure out if they if they're
going to get a juicy dividend in

570
00:30:14,480 --> 00:30:15,920
three months time or not
because.

571
00:30:16,120 --> 00:30:19,000
The dot plot.
Yes, what are you going to get?

572
00:30:20,240 --> 00:30:22,960
And it like we kind of, you
know, talked about a fair bit

573
00:30:23,240 --> 00:30:27,880
last year when, when, when
Yankel determined to to pay no

574
00:30:27,880 --> 00:30:32,000
interim dividend, you know, I
think it was like 3:00-ish

575
00:30:32,000 --> 00:30:34,560
months ago, it caused kind of a
bit of mayhem.

576
00:30:34,560 --> 00:30:38,400
The share price, you know, just
just fell off pretty

577
00:30:38,400 --> 00:30:40,880
dramatically as a lot of the,
you know, the yield hungry

578
00:30:40,880 --> 00:30:43,200
shareholders.
They, they had their base case

579
00:30:43,200 --> 00:30:44,720
squashed.
They were, they were hoping for

580
00:30:44,920 --> 00:30:48,080
a payout back then.
But of course, the Yankel's

581
00:30:48,400 --> 00:30:52,600
rationale at the time is was
because they were they were in

582
00:30:52,600 --> 00:30:55,080
the the bidding process Bangla
American's portfolio, they were

583
00:30:55,080 --> 00:30:59,280
retaining cash for for to put in
a competitive offer.

584
00:31:00,040 --> 00:31:01,800
But in the NP body got the
chocolates.

585
00:31:02,320 --> 00:31:05,040
But the bulk of that portfolio
when Yankel stayed on the on the

586
00:31:05,080 --> 00:31:08,040
on the sidelines now, but
they're now, you know, rumored

587
00:31:08,040 --> 00:31:11,480
to be pretty interested in
buying Kestrel instead, which is

588
00:31:11,520 --> 00:31:15,360
undergoing its own sale process.
All of that to say, most of

589
00:31:15,480 --> 00:31:19,400
Yanko's shareholders would be
absolutely thrilled to see the

590
00:31:19,400 --> 00:31:23,400
company's sideline, it's M&A
agenda and focus on on divvies

591
00:31:23,400 --> 00:31:25,920
instead.
But the trouble is most of the

592
00:31:25,920 --> 00:31:28,320
shareholders account for very
little of the actual

593
00:31:28,320 --> 00:31:31,840
shareholding because it's it's
too, too top 2.

594
00:31:31,840 --> 00:31:35,280
Chinese shareholders own 70% of
the the shares in the company

595
00:31:35,280 --> 00:31:38,640
and the rest of us are frankly
passengers to to their agenda, I

596
00:31:38,640 --> 00:31:40,440
think.
So what's your view?

597
00:31:40,720 --> 00:31:43,160
Dividend or not?
That that's the, that's the

598
00:31:43,160 --> 00:31:49,480
question on, on everyone's mind
when, when Divvy and they were,

599
00:31:49,520 --> 00:31:52,000
they were taking webcast
questions on the call.

600
00:31:52,480 --> 00:31:55,920
You can kind of tell they were
getting peppered with Divvy

601
00:31:55,920 --> 00:31:57,760
questions.
I'll I'll play a few snips for

602
00:31:57,760 --> 00:32:00,480
you guys.
There are several questions

603
00:32:00,480 --> 00:32:05,520
coming through on the topic of
dividend, dividend outlook,

604
00:32:05,520 --> 00:32:09,040
dividend policy, capacity for
dividends into the future

605
00:32:09,040 --> 00:32:12,520
periods.
Kevin, during the scripted

606
00:32:12,520 --> 00:32:15,520
comments, we had a an
introduction saying that we have

607
00:32:15,520 --> 00:32:19,360
some capacity for dividends.
Are you able to expand on the

608
00:32:19,600 --> 00:32:23,640
the company's policy and what we
can say at this time ahead of

609
00:32:23,640 --> 00:32:25,720
the the board meeting?
Sure.

610
00:32:26,000 --> 00:32:29,960
Thanks, Brendan.
A time as what a Brandon just

611
00:32:29,960 --> 00:32:34,880
mentioned about the company
strategy doesn't change same

612
00:32:34,880 --> 00:32:39,160
thing for dividend policy, it
doesn't change.

613
00:32:40,160 --> 00:32:42,960
I can reiterate the policy
again.

614
00:32:43,000 --> 00:32:49,640
Why have this 50% NPAP or 50%
free cash flow, whichever is

615
00:32:49,640 --> 00:32:55,440
higher case is the guideline for
you know the the management to

616
00:32:55,920 --> 00:33:01,200
plan our dividend distribution.
I didn't know that dividend is

617
00:33:01,200 --> 00:33:05,200
about the decision.
So both will meet in February to

618
00:33:05,200 --> 00:33:11,440
decide you know in this case in
2024 a full year dividend also

619
00:33:11,440 --> 00:33:16,520
on dividend, this is something
way just back to what Brendan

620
00:33:16,520 --> 00:33:20,080
just mentioned about a corporate
strategy is a part of our

621
00:33:20,080 --> 00:33:25,040
Capital Management philosophy.
Basically, balancing a growth

622
00:33:25,040 --> 00:33:31,120
story outweighs a good return to
our shareholders as Yankee

623
00:33:31,120 --> 00:33:34,200
doesn't have any debt, so we
don't really need to worry about

624
00:33:34,560 --> 00:33:37,360
the cash outflow to manage our
facilities.

625
00:33:37,760 --> 00:33:41,920
As a result, it's very much to
see how the efficient cash flow

626
00:33:41,920 --> 00:33:47,000
to manage well the growth
opportunity and also our return

627
00:33:47,200 --> 00:33:52,480
to our shareholders, which with
these $2.5 billion cash in the

628
00:33:52,480 --> 00:33:54,800
bank, we definitely are able to
manage.

629
00:33:55,040 --> 00:33:59,040
Thank you.
That's a fucking sick bloody

630
00:33:59,800 --> 00:34:01,360
video.
I think I've sexed that up for

631
00:34:01,400 --> 00:34:01,880
you.
Yeah.

632
00:34:02,400 --> 00:34:04,240
Oh oh, that's not how it was
released.

633
00:34:04,240 --> 00:34:06,560
No, no, it was actually really
bad audio quality.

634
00:34:06,560 --> 00:34:08,880
But I've I'm proof of audio
quality and added some pictures

635
00:34:08,880 --> 00:34:10,320
for you too.
Man, oh, how good's that.

636
00:34:10,880 --> 00:34:11,840
I thought you ain't told you've
done.

637
00:34:12,120 --> 00:34:14,719
That no, no, no.
And then?

638
00:34:14,719 --> 00:34:19,840
I'd do that for the Bella Vista
Cordley. 10 minutes later in the

639
00:34:19,840 --> 00:34:24,520
call we got this as well.
We better you.

640
00:34:25,639 --> 00:34:29,040
Follow up questions on that
topic of dividend, Kevin, do we

641
00:34:29,040 --> 00:34:33,960
have an expectation for
distributions in terms of finals

642
00:34:33,960 --> 00:34:38,560
and dividend, finals and income
dividend over the coming year,

643
00:34:38,679 --> 00:34:40,880
even if you've already touched
on, it's very much at the

644
00:34:40,880 --> 00:34:44,280
Board's discretion?
Thanks Brandon.

645
00:34:44,880 --> 00:34:47,880
I noticed some comments on on on
the web link.

646
00:34:47,920 --> 00:34:54,920
I can see question relates to
the company's skip 2024 interim

647
00:34:54,920 --> 00:35:00,760
dividends and which is actually
the good, good example for us to

648
00:35:00,760 --> 00:35:04,600
say we've been balancing and
managing the dividend on for

649
00:35:04,600 --> 00:35:09,560
year basis and then subject to
the corporate initiative and the

650
00:35:09,600 --> 00:35:14,760
strategy in a priority.
So we still you seek and stick

651
00:35:14,760 --> 00:35:19,400
on to the existing corporate
dividend policy and the way

652
00:35:19,400 --> 00:35:24,440
we'll assess the dividend return
to our shareholders basically

653
00:35:24,440 --> 00:35:26,000
assessing the full year
performance.

654
00:35:27,400 --> 00:35:29,200
So you can see a lot, a lot of
dividend questions are really

655
00:35:29,200 --> 00:35:30,640
just coming through on that
webcast.

656
00:35:31,040 --> 00:35:32,760
Another one of.
The dividend, he's coming up

657
00:35:32,760 --> 00:35:36,040
again, Kevin.
You got the picture.

658
00:35:36,280 --> 00:35:39,120
Oh, is there like.
So here's a question from a

659
00:35:39,640 --> 00:35:41,320
member of the Steve Ray Fund.
Yeah.

660
00:35:43,120 --> 00:35:46,360
After what happened when they
announced they weren't doing a

661
00:35:46,360 --> 00:35:50,200
dividend and the share, share
price going from mid sevens down

662
00:35:50,200 --> 00:35:54,040
to below 6 and everything like
as I asked you before, like if

663
00:35:54,040 --> 00:35:56,680
they did release a dividend,
normally stocks go ex dividend

664
00:35:56,680 --> 00:35:59,640
and go down the same proportion.
But if they did release a

665
00:35:59,640 --> 00:36:05,200
dividend, which would indicate
they're not pursuing M&A, would

666
00:36:05,240 --> 00:36:08,120
it like the stock rate right
back up to where it possibly

667
00:36:08,120 --> 00:36:08,840
was?
Yeah.

668
00:36:09,080 --> 00:36:11,360
What's the thoughts?
What's the public thoughts

669
00:36:11,360 --> 00:36:12,520
there?
You're all trying to figure out

670
00:36:12,520 --> 00:36:15,040
what's priced in and are you
going to get a better outcome

671
00:36:15,040 --> 00:36:17,200
than what the stock price is
currently pricing in?

672
00:36:18,200 --> 00:36:20,240
My thinking on this has changed
a little bit, but I actually

673
00:36:20,240 --> 00:36:24,960
think the the stock is pricing
in, you know, a, a, a just a

674
00:36:25,480 --> 00:36:28,920
relatively normal kind of
dividend to be based on the

675
00:36:29,160 --> 00:36:31,280
dividend policy, not super
dividend.

676
00:36:31,280 --> 00:36:33,720
Yeah.
Now if if the the announcement

677
00:36:33,720 --> 00:36:37,080
of that dividend is is above
expectations, I'd expected the

678
00:36:37,240 --> 00:36:40,560
the share price to to shoot up
and then X dividend, it'll it'll

679
00:36:40,560 --> 00:36:43,920
fall off, you know, but but it's
all about when that dividend,

680
00:36:43,920 --> 00:36:46,240
the quantum of it is announced.
Is it above or below

681
00:36:46,240 --> 00:36:49,120
expectations?
Shareholders, shareholders, you

682
00:36:49,120 --> 00:36:51,320
can tell by how, how frequently
people ask about dividends.

683
00:36:51,520 --> 00:36:53,400
Shareholders care way more about
dividends than they care about

684
00:36:53,400 --> 00:36:56,160
M&A.
But like I said, you know them

685
00:36:56,400 --> 00:37:00,200
us small 30% of the shareholders
don't really have too much of A

686
00:37:00,200 --> 00:37:04,280
say when you've got the other
70% would have the biggest say

687
00:37:04,280 --> 00:37:06,280
in this vehicle.
But that you know, that's what

688
00:37:06,280 --> 00:37:08,080
you get with your ankle.
It's cheap for a reason, of

689
00:37:08,080 --> 00:37:10,760
course.
To add to that Maddie, to to

690
00:37:10,760 --> 00:37:12,560
your question specifically, I
think if they were to

691
00:37:13,400 --> 00:37:16,080
accommodate that with wording
saying hey, we're now on a

692
00:37:16,080 --> 00:37:19,560
strict dividend policy, we are
no longer looking at M&A.

693
00:37:20,000 --> 00:37:23,160
You know, those sorts of words
and stuff might encourage

694
00:37:23,160 --> 00:37:26,400
shareholders and might be a bit
more of a catalyst.

695
00:37:26,960 --> 00:37:28,560
Yeah, conjunction with their,
you know, I.

696
00:37:28,800 --> 00:37:31,800
I brought up their dividend
policy in the Constitution and

697
00:37:32,360 --> 00:37:35,920
like on the like the, the way I
read it because I was just

698
00:37:35,920 --> 00:37:38,880
trying to figure out everything.
The way I read it is like they

699
00:37:38,880 --> 00:37:43,760
are they, they, they, they are
committed to paying 50% of free

700
00:37:43,760 --> 00:37:46,680
cash flow or impact, whichever
is higher in each financial

701
00:37:46,680 --> 00:37:48,640
year.
So the fact they didn't pay the

702
00:37:48,760 --> 00:37:52,040
interim one just means that it's
going to be a, you know, a

703
00:37:52,080 --> 00:37:53,680
higher one in the end of
financial year.

704
00:37:53,680 --> 00:37:56,440
However, there are provisions in
this dividend policy to pay to

705
00:37:56,720 --> 00:38:00,200
pay a lower one if prudent.
And there's also provision to

706
00:38:00,200 --> 00:38:03,720
pay to pay no one if they if, if
it's, you know, particularly

707
00:38:03,720 --> 00:38:07,240
financially prudent to do so.
I don't know if like my base

708
00:38:07,240 --> 00:38:09,560
case isn't that they're going
to, I just think they'll pay,

709
00:38:09,560 --> 00:38:12,080
you know, 50%.
That's my base case.

710
00:38:12,080 --> 00:38:16,160
And we've got first half
earnings already and Yankel,

711
00:38:16,160 --> 00:38:18,560
they actually report their
financial year in a calendar

712
00:38:18,560 --> 00:38:20,440
year basis.
So we've got the two quarters

713
00:38:20,440 --> 00:38:22,760
already for the for the
second-half of that financial

714
00:38:22,760 --> 00:38:25,680
year you can estimate.
And Pat, yeah, pretty close to

715
00:38:25,680 --> 00:38:28,760
1.5 billion for that full
financial calendar year, which

716
00:38:28,760 --> 00:38:31,800
kind of gets you close.
If you if you take 50% of that,

717
00:38:31,800 --> 00:38:35,520
you kind of get about $0.57 per
share as a, as a base case

718
00:38:35,680 --> 00:38:38,200
dividend on is how I think about
it.

719
00:38:38,800 --> 00:38:43,200
And that would still leave
Yankel if they paid out $0.50,

720
00:38:43,560 --> 00:38:46,960
you know, it's a $0.50 divvy on
a $6.32 stock today.

721
00:38:47,840 --> 00:38:51,600
It's only like a, it's like a 9%
divvy that would, that would

722
00:38:51,600 --> 00:38:54,480
still leave your ankle with a
shit load of cash on balance

723
00:38:54,480 --> 00:38:56,280
sheet too.
Like, you know, they'd have over

724
00:38:56,280 --> 00:38:58,440
1 1/2 billion dollars of cash
left on their balance sheet,

725
00:38:58,760 --> 00:39:02,760
which in an ideal world that
would mostly distribute to

726
00:39:03,000 --> 00:39:05,120
shareholders as well.
That'd be great.

727
00:39:05,120 --> 00:39:08,520
But much more likely they're
just going to hoard it for M&A

728
00:39:08,520 --> 00:39:10,720
optionality, going to have to
wait until February for.

729
00:39:11,240 --> 00:39:15,400
That day, is there a chance that
no the XDV date will be later

730
00:39:15,400 --> 00:39:17,600
than?
Because I'd like to see you get

731
00:39:17,600 --> 00:39:21,360
your dividend so you could spend
it in Darba when you're over.

732
00:39:21,360 --> 00:39:23,240
There also in February.
Next week.

733
00:39:23,280 --> 00:39:24,680
So now it'd be too late,
wouldn't it?

734
00:39:24,960 --> 00:39:28,160
Yeah, I can't come early Feb.
We might still be in Africa.

735
00:39:28,440 --> 00:39:30,280
Yeah, yeah.
Just Yankel, can you please take

736
00:39:30,280 --> 00:39:34,320
the boys travel into account?
Travel.

737
00:39:34,520 --> 00:39:36,520
Yeah.
Divvy would go a long way in the

738
00:39:36,520 --> 00:39:37,400
DRC as well.
What?

739
00:39:37,680 --> 00:39:41,240
Are.
You going to get up like get you

740
00:39:41,240 --> 00:39:43,400
might end up with a mining asset
or something.

741
00:39:43,400 --> 00:39:45,720
JD bit of a little back end a
deal.

742
00:39:45,720 --> 00:39:47,840
And that be a cop of mine.
Yeah maybe, maybe you can bloody

743
00:39:47,840 --> 00:39:50,640
I have to pay like a few 100
bucks for some immunizations

744
00:39:50,640 --> 00:39:53,280
just to go to the DRC.
So maybe maybe the divvy can

745
00:39:53,280 --> 00:39:57,440
help subsidise my medical costs?
I can't wait till he's come back

746
00:39:57,440 --> 00:39:59,880
from in Darbar and say, look, we
own and we own.

747
00:40:00,760 --> 00:40:03,480
Picked up a couple twitches.
Picked up a couple of million oz

748
00:40:03,480 --> 00:40:07,080
while we're over there.
If you go to Daba, hit us up.

749
00:40:07,440 --> 00:40:09,080
Yeah, Be good to catch up with
you while you're over there.

750
00:40:09,080 --> 00:40:10,200
Money minus.
We are pumped.

751
00:40:10,320 --> 00:40:15,080
I'll start finding a shell.
Alrighty, let's talk a bit about

752
00:40:15,080 --> 00:40:19,200
the the state of coal markets,
specifically thermal coal.

753
00:40:19,200 --> 00:40:22,520
In this case is that is Yang
coal space product.

754
00:40:22,760 --> 00:40:26,520
Yeah, like I mean elevated coal
markets 2022, they've rolled off

755
00:40:26,520 --> 00:40:29,320
and you can see both, both
thermal and met seaborne indices

756
00:40:29,320 --> 00:40:31,640
constantly.
It's like grinding lower and

757
00:40:31,640 --> 00:40:35,960
lower for the last two years and
but even as prices have have

758
00:40:36,080 --> 00:40:39,000
moderated, Yanko still captures
like a really healthy cash

759
00:40:39,000 --> 00:40:41,760
margin because it's mines are
generally very low cost.

760
00:40:42,120 --> 00:40:45,360
A lot of costs as well, inch and
higher and higher.

761
00:40:45,360 --> 00:40:47,560
Yep.
So it's impressive to still make

762
00:40:47,560 --> 00:40:48,840
a decent chunk of.
Money totally.

763
00:40:48,840 --> 00:40:52,000
I mean, they they bought these
mines off like the luxury Tinto.

764
00:40:52,120 --> 00:40:55,520
So it's no surprise that like
they are really, you know, locos

765
00:40:55,520 --> 00:40:57,600
mines.
All my, a lot of my mates I went

766
00:40:57,600 --> 00:41:00,400
to uni with did a lot back work
at Mount Thorley, yeah, back in

767
00:41:00,400 --> 00:41:02,400
the day, which was, you know,
one of their.

768
00:41:02,400 --> 00:41:03,200
Ones.
Yep, Yep.

769
00:41:03,560 --> 00:41:06,760
Again, it was the Rio days.
Yeah, I could actually find it

770
00:41:07,080 --> 00:41:10,960
cost curve of of seaborne
thermal thermal coal like you

771
00:41:10,960 --> 00:41:13,880
know the cost curve.
But here's the the two

772
00:41:13,880 --> 00:41:16,960
components of that chart anyway,
total cash costs and and

773
00:41:16,960 --> 00:41:20,120
production.
You can see the the three mines

774
00:41:20,120 --> 00:41:23,040
of yen coal that account for the
vast, vast majority of their

775
00:41:23,360 --> 00:41:26,680
production are all, you know,
relatively low cost and and

776
00:41:26,680 --> 00:41:30,240
large scale.
They're big operations, yeah,

777
00:41:30,720 --> 00:41:34,720
seriously big operations, yeah.
So what about the the bear case

778
00:41:34,880 --> 00:41:36,920
for the company?
What are you kind of thinking

779
00:41:36,920 --> 00:41:40,040
there as a as a shareholder?
I think there's there are a few

780
00:41:40,040 --> 00:41:42,440
things.
As usual bear case involves less

781
00:41:42,440 --> 00:41:46,200
than optimal capital allocation.
The nearest risk being you know,

782
00:41:46,400 --> 00:41:50,080
overpaying for Kestrel.
But but honestly, like buying

783
00:41:50,080 --> 00:41:53,240
anything is possible for this
company, like they always talk

784
00:41:53,240 --> 00:41:59,200
about like, you know, they buy
base metals, they buy things in

785
00:41:59,200 --> 00:42:00,480
other countries and all that
sort of stuff.

786
00:42:00,480 --> 00:42:03,680
And today, like we haven't seen
anything silly on that front.

787
00:42:03,680 --> 00:42:06,400
But it doesn't mean you you rule
it out, especially when a lot of

788
00:42:06,400 --> 00:42:09,120
the talk is is about being
acquisitive for a growth story.

789
00:42:10,400 --> 00:42:13,080
But you know, I think it's worth
drawing the money miners

790
00:42:13,080 --> 00:42:17,120
attention to a somewhat ominous
resignation of the CEO David

791
00:42:17,120 --> 00:42:20,120
Malt announced a week ago.
He was he was CEO for five

792
00:42:20,200 --> 00:42:21,480
years.
And when when this was

793
00:42:21,480 --> 00:42:25,280
announced, it was announced,
aftermarket said he's active

794
00:42:25,280 --> 00:42:29,000
duty seized from today, which
meant that Mister Ning you

795
00:42:29,760 --> 00:42:32,840
stepping in as acting CEO.
And then in less than a month

796
00:42:32,840 --> 00:42:36,160
before David Malt resigned,
another independent non exec

797
00:42:36,160 --> 00:42:39,200
director, Geoffrey Raby stood
down from the board too.

798
00:42:39,880 --> 00:42:44,480
Now when asked him to call
today, the responses were

799
00:42:44,480 --> 00:42:47,200
basically insisting that there's
no change to the strategy from

800
00:42:47,200 --> 00:42:49,240
the company with the CEO
transition, etcetera, etcetera.

801
00:42:49,240 --> 00:42:51,800
But you know, my mind begs the
question.

802
00:42:52,480 --> 00:42:55,320
I think Cassini could look at
the those resignations and come

803
00:42:55,320 --> 00:42:59,000
up with a reasonable hypothesis
that there was some wrestle over

804
00:42:59,000 --> 00:43:01,000
strategy like that.
That's a reasonable, you know,

805
00:43:01,400 --> 00:43:03,360
possibility here.
I could could yank all, for

806
00:43:03,360 --> 00:43:05,680
example, be like red hot on
Kestrel despite it being an

807
00:43:05,680 --> 00:43:07,080
average asset.
That's like, you know, a

808
00:43:07,080 --> 00:43:09,480
plausible thing in my mind, or
it could be litany of other

809
00:43:09,480 --> 00:43:11,720
things.
But I don't just assume that

810
00:43:11,720 --> 00:43:14,400
there's there's no strategy
differences when you see kind of

811
00:43:14,400 --> 00:43:16,760
a an effective immediately sort
of resignation.

812
00:43:17,800 --> 00:43:20,840
The CEO doesn't leave effective
immediate if all things are just

813
00:43:20,840 --> 00:43:22,840
tickety boos.
Technically, employment

814
00:43:23,240 --> 00:43:25,080
continued.
That might have just been a

815
00:43:25,280 --> 00:43:27,080
provision of a contract or
payments or something.

816
00:43:27,080 --> 00:43:29,200
But yeah, he's active duties,
yes.

817
00:43:30,000 --> 00:43:32,360
You pay out the the next three
months or six months or

818
00:43:32,360 --> 00:43:33,800
whatever, but we don't want you
here tomorrow.

819
00:43:34,320 --> 00:43:38,960
Like it's not a great sign.
The announcement also said I was

820
00:43:38,960 --> 00:43:41,520
basically saying we, we agree.
There's no, there's no, there's

821
00:43:42,840 --> 00:43:44,640
basically no disagreements
between the board and the CEO.

822
00:43:44,640 --> 00:43:47,160
Yeah, yeah.
I don't always believe that, but

823
00:43:47,160 --> 00:43:49,520
yeah, anyway.
Who else is in the hunt for

824
00:43:49,520 --> 00:43:52,680
Kestrel?
This there'd be the usual

825
00:43:52,680 --> 00:43:56,520
suspects in resources would be
right up there in some, you

826
00:43:56,520 --> 00:44:00,000
know, they might be be looking
at a consortium again with, you

827
00:44:00,000 --> 00:44:03,600
know, like Stanmore and the
Vijaya family as we've seen them

828
00:44:03,600 --> 00:44:07,200
pop up in the past.
But yeah, it could be who knows

829
00:44:07,200 --> 00:44:09,560
Maddie, like I think the take
away, have you seen what's

830
00:44:09,560 --> 00:44:11,920
happened to Peabody stock share
price since they bought the

831
00:44:11,920 --> 00:44:13,200
Anglo portfolio?
It's halved.

832
00:44:13,680 --> 00:44:16,600
Oh wow, It's been hammered.
So the markets, yeah.

833
00:44:16,760 --> 00:44:19,280
I mean, the balance sheet is, is
really stretched.

834
00:44:19,280 --> 00:44:20,920
METCO was under a fair bit of
pressure.

835
00:44:21,520 --> 00:44:23,600
You know, it's like when's the
last time a stock's been

836
00:44:23,600 --> 00:44:27,040
punished for, you know,
overpaying for for coal, for a

837
00:44:27,040 --> 00:44:28,640
coal portfolio.
It's it's it's really

838
00:44:28,640 --> 00:44:29,480
interesting to watch.
So a.

839
00:44:29,960 --> 00:44:32,480
Bit of shareholder alienation as
well.

840
00:44:32,480 --> 00:44:35,880
Yeah, yeah, Portion of the basic
lease, kind of like the decision

841
00:44:35,880 --> 00:44:38,560
with with Yankel 3 months ago.
Yeah, yeah.

842
00:44:38,560 --> 00:44:44,200
And the, the, the Met market has
a few other pressures, you know,

843
00:44:44,280 --> 00:44:46,240
on at the thermal hasn't quite
had yet.

844
00:44:46,240 --> 00:44:51,880
Notably, I think there was some
agreement recently for, for, for

845
00:44:53,400 --> 00:44:56,600
Chinese export or import
capacity from Mongolia to lift

846
00:44:56,600 --> 00:44:58,800
from 80 to 120 million tons per
annum.

847
00:44:58,800 --> 00:45:03,120
And that obviously just, you
know, just places or Seabournet

848
00:45:03,120 --> 00:45:05,720
coal from the market as well.
So you know, it's more

849
00:45:05,720 --> 00:45:08,840
complicated, yada yada.
But yeah, let's see what happens

850
00:45:08,840 --> 00:45:10,640
here.
The the last, yeah.

851
00:45:10,640 --> 00:45:12,880
And I think that's like the last
thing to point out is, is that

852
00:45:12,880 --> 00:45:14,680
some analysts are also bearish.
The animal called too.

853
00:45:16,440 --> 00:45:19,440
I read a note yesterday that
China's reaching peak, well,

854
00:45:19,720 --> 00:45:24,320
trying to reach peak thermal in
2024, there was just like $25 to

855
00:45:24,320 --> 00:45:28,560
$30 per tonne premium in in
Newcastle over onshore China

856
00:45:28,560 --> 00:45:31,960
volumes which persisted for most
in 2024, which has sort of been

857
00:45:31,960 --> 00:45:36,960
eroded over the last year.
Indonesian supplies harming in

858
00:45:36,960 --> 00:45:41,240
India's increased domestic
production and in these increase

859
00:45:41,240 --> 00:45:43,000
their own domestic production,
they've felt like this increase

860
00:45:43,000 --> 00:45:46,400
the gender of self-sufficiency.
So those are the that's the big

861
00:45:46,400 --> 00:45:49,880
case for thermal coal as well.
I think like yeah, I'm obviously

862
00:45:49,880 --> 00:45:52,440
taking the other side of that
that trade, but that doesn't

863
00:45:52,440 --> 00:45:54,240
mean I'm right.
Like I could very well be wrong.

864
00:45:54,560 --> 00:45:57,920
Yeah, but oh mate, if you're
still, if you're still producing

865
00:45:57,920 --> 00:46:00,560
it, it's not going anywhere
anytime soon.

866
00:46:01,000 --> 00:46:03,520
Yeah, it's an interesting market
and people a bit bearish China

867
00:46:03,520 --> 00:46:06,720
generally as well as that sort
of peak, peak energy importing

868
00:46:06,720 --> 00:46:08,440
kind of narrative and all these
sorts of things.

869
00:46:08,720 --> 00:46:11,160
It's an interesting little point
we're in.

870
00:46:11,920 --> 00:46:14,200
It's not going anywhere in
Australia anytime soon, that's

871
00:46:14,200 --> 00:46:15,680
for sure.
But and.

872
00:46:16,080 --> 00:46:18,520
A lot of companies impacted by
what you just said as well, you

873
00:46:18,520 --> 00:46:20,680
know, Glencore being a big one
too.

874
00:46:20,680 --> 00:46:21,520
Totally.
Yeah.

875
00:46:22,400 --> 00:46:26,000
So, so Glencore at the moment,
they're they're majority

876
00:46:26,440 --> 00:46:28,280
thermal.
Yeah, yeah.

877
00:46:28,320 --> 00:46:30,200
After buying Elk Valley like
that's just.

878
00:46:30,200 --> 00:46:32,880
Before before Elk Valley they're
majority thermal.

879
00:46:32,920 --> 00:46:38,000
Yeah, yeah, yeah, yeah.
But now they're majority met,

880
00:46:38,360 --> 00:46:39,920
yeah.
They're they're Aussie coal

881
00:46:39,920 --> 00:46:43,360
assets are majority thermal a
little bit good assets up in

882
00:46:43,360 --> 00:46:45,280
Canada now that are met coal.
Yeah.

883
00:46:46,120 --> 00:46:49,080
Gotcha, Gotcha all.
Righty couple of partners to

884
00:46:49,080 --> 00:46:53,400
thank.
Mineral mining services are not

885
00:46:53,400 --> 00:46:55,720
majority open pit.
They are open pit.

886
00:46:55,960 --> 00:46:59,960
Bloody mining contractors don't
go underground to art like that

887
00:47:00,880 --> 00:47:04,960
are paid grounded Chuck AG spot
up at Hemet can't wait samba

888
00:47:04,960 --> 00:47:11,960
ground support division CRE
insurance K drill Daish SAT and.

889
00:47:11,960 --> 00:47:15,960
Saltbush.
Contract and get wet solutions

890
00:47:15,960 --> 00:47:18,920
off Nathan Daish.
Congratulations on coming

891
00:47:19,440 --> 00:47:20,480
father.
Well done.

892
00:47:20,640 --> 00:47:25,360
Well done Daishy.
Everybody miners Information

893
00:47:25,360 --> 00:47:27,840
contained in this episode of
Money of Mine is of general

894
00:47:27,840 --> 00:47:30,160
nature only and does not take
into account the objectives,

895
00:47:30,280 --> 00:47:33,480
financial situation or needs of
any particular person.

896
00:47:33,800 --> 00:47:36,840
Before making any investment
decision, you should consult

897
00:47:36,840 --> 00:47:39,880
with your financial advisor and
consider how appropriate the

898
00:47:39,880 --> 00:47:43,600
advice is to your objectives,
financial situation and needs.