Caledonia Mining (CMCL) 11 Nov 242024 Q3 Earnings call transcript

Okay. Ladies and gentlemen, welcome. Good afternoon. Welcome to this call to discuss Caledonia's results for the third quarter.

In addition to the usual discussion of financial and operating results, we'll also discuss the preliminary results of the exploration program at Motapa, which we published this morning. some this regarding who afternoon Chief Officer. make Bilboes. progress is also Operating joined I'm by I'll brief the comments at our And James Mufara, and May to responsible think of for and Vice you Harvey, activities. Goodburn, He President face, Craig most by be our is us person, you exploration in our joined he's CFO, who a will of new I Services, Chester our Technical

joined doing will Victor say words atMotapa. and/or billows a is in And Director, Gapare by we're environment Zimbabwe. a field I he who So questions will about then the few he general what to and relating

we Before to observations. want just presentation, into get I of make a couple the

that is very reflected that morning. and is Caledonia first The changing published we this X rapidly announcements that's in the

operating difficult we've largely now but time to say we all, got which of costs. performance Blanket. from and stabilized a address need a has to financial the what It's results, at of was difficult that fair the the issue reflect XXXX, First in production

are costs And electricity particularly respect normal, in stronger instability. effects than continued headwinds higher some and currency labor of of costs and facing the we

effect stage, some accustomed just we've areas, presentation, And will of come risks. We we'll indeed also it's to effect. managing outline timing steps or we'll the already into and the which the in course this set too issues, the to are taken at these to these of out of when that the address other quantify they some early

investing I now at that results dividend. and Motapa producer. seeing bank we'll very results the involve create and the Blanket. effectively by we're We've reconfirms in from being think financial And a to which encouraging what gold got mid-tier Motapa, we clearly, is to Zimbabwe and focused reaffirms continue strategy vindicated operating our strategy So got relating

morning was of release the the press The continuation third this dividend.

shareholders remains business across our of a attractive strategy. to maintaining on key our but competing returns calls We capital part and the have

back that, comment. Regrettably, So into go a minute the so just with presentation. get we'll we do

Let me with deal that. just

had yes, late more a in mine about James, we've talk the little So we'll fatality bit that. a at September.

Just did less same XXXX, gold a now, the of that in quarter little we but than ounces under record the were production bit in that's a of quarter, XX,XXX just produced was quarter.

with and of very ounces. we guidance we ounces, run remain we're achieve So track to just XX,XXX comfortable and XX,XXX to the under between are XX,XXX of -- production full on the rate year anything

in announced mentioned, million. -- at for I We're over been cost about the As We've moment. We expected. Craig the selling of million. about just plant a solar at talk results better forthcoming also encouraging sale $XX operating it will a of for built that's Motapa, which than it slightly $XX --

that's so the reliable power. is to continue that no of losing the benefit solar by power get project, will We means from generated getting that

And owner is a addition, new of the that second solar in stage plant. now evaluating

talk already options a for now and continuing that So study, the use another progress dividend on capital about we'll we're $X.XX we've but we're we in I of declared the bit some making with release the business. our fact capital funding can that elsewhere and and mentioned more Bilboes, project. the feasibility

in most foreign headwinds of attributable improved then continued moving suffer the revenue, in That's gold higher exchange of profit outline, expenses, gross as some course. gold net I but shareholders, other X,XXX. will unusual an over due and losses outline the Chester in which resulted from quarter on, think dealt price, profit, improved we Chester to I've I with the prices production benefiting an So price are these mentioned of things. average

think yes. with the we're into move I that, So to going

could James, that? review the ask ask just -- of I of Craig James to through Blanket. run do can the you can So operations

Thank much, and to you all. you good very Mark, afternoon

all Mark already occurred call the actually with [ was on our a fall of Assistant efforts rescue succumbed bring try we unfortunately, that team, treasured for As and to to support installing our the study ground Southwest [indiscernible]. one out ] of ground. you suffered process to, of this IDA regret he employees to employee inform Despite The Jacama come in the and sale in lost team when is a to is resist them XXst we alluded this of September. the of

res strongly time. from As or believe opened. of that and is an believe believe that with incidents this all in the we in trace also a we care we something the And and -- culture organization, we learning would reduction Caledonia, total growth, ourselves in have

do also given employed the to a whole on eternally actually we've employee in the that and our the or plans we DuPont supported actually imperative more family they have and both was the to government DSS should diagnostic will last imperatives. is see services [ investigation believe we minds, this our in the that the regards the support took our and to of in for operations Subsequent our the the we quest chain believe to ] serum on us certain order total out in believe with work, that operational with accident of value line. assist totally We

of future plan above of I'm need X% to development production because in our flexibility in possibilities flexibility. that glad we'll quarter. X% future the with actually regards to the announce good opening for is up terms is close our we This came above quarter. the that development, On to the our of

of was we because to grade below our around what This just X% we're tonnes, result neck-and-neck was our that plan quarter. will However, the was a as for we a In back set terms in the our a regards of ground in our grades beginning we and the plan our of to fall have suffered of with at we asset actually actually on quickly rates. drop in this couldn't result the replace and of in stock [indiscernible], July in time, stocks flexibility one as had we

into at move seen stabilize to it back recover too grade, ever better a moment. stocks was bit but little that the the have late to We quota

we the the Thank will the that drop flexibility the see actually target with future, up The of just had the in our as from ensure we that ounces great this in we below will result our development [indiscernible] moment, at quarter. with in see quarter. that of and a As we improvement the that insulate the achievements for that ourselves previous X.X% ended you, Mark. incidence

Okay.

I through these to think you Can Chester finance, we'll I run on dealing with finance. move please? to pages

higher additional good has X% revenue remained our It's that see X.X%. Mark. by XX% prices XX.X%. receive. Royalties at prices revenue. we and by increased you, or Thank production up That's of flat to due Yes. to cost

and So Mark decreased ounce to get then we've for gross cost look costs ounces. I some that a also revenues it cost in covering This And a costs. has profit, was the see on We to sold quite is the on quarter. Bilboes holding now we'll initiatives got coming production blanket the that, And of an the Bilboes. good down to due pleased of basis. Bogas at the to has bit. was increase per the and depreciation said, increased. lower of X% Production improve as costs for to see has at

initiatives that as predominantly count the we've some Consumables engineering we one-off increased, we've done plant, Blanket metallurgical additional increased employed And and that turn as and reoccur. and repairs our got salaries to that maintenance to around. due in that and shouldn't well would time that spend. can over at due You see has we've and that wages that head be to

that too our I'm allows a reduction in So ounce Other And basis. are that not has charge concerned the there's are than receiving. to can prices good. costs really per Electricity maintenance repairs our increased consumable a actually a been we we that about and demand see higher variable charges reduction, maximum blanket due consumables. -- on slight

been increased and or charge week the look zig at is those, If see them that has electricity can and due our factor that volatility seen of due costs that the All to the and online that of absolute of our we that local not we've But at away a of our administration we cost -- basis. the also your that and the you exceed Gap] has I've additionally the That's spoken power we predominantly all have how suppliers at you see on and it. If to costs being a [Audio initiatives and in low effect it's waterfall terms. QX code about before. from rebasement our the mine increase if and planned breakeven pieces cost, XX of increased say, have implemented. Online compares costs. in we to increased some comes have to big cost a a the by already I current have revenues grid charges that today would out certain also and penalty demand a

cost decreased at we've significantly the Oxides. So Bilboes

see price to share-based turnaround, that much due increases good and and I increase has other our labor, sustaining increased, So that said that's that costs consumables pretty our all-in see increased. can expense. before, to we as And also in power, share the

price. will labor and set come $X,XXX to that's So costs, that's to cost our power for increased and would bit. actually ounce $XXX predominantly increased set now cost We've and investors is XXXX. cost per barrels, our and guidance the $X,XXX at good [indiscernible] $X,XXX be Online all-in at revised is to happy which to guidance a with due on see share sustaining the as

cost So control initiatives. are these our

and weeks full weeks. power factor installed save approximately XXXX annum per that's about effect for couple expected that in of $X.X XXXX a we're the away X in million should take power, to installing equipment, Firstly, of correction being

to will shaft your gain We from and decrease central you within $X.X are power winder efficiencies our a million to by use that convert and would DC implemented be perspective that XXXX. AC the cost from also planning

in of coming increase improved So already to part that's our the increase taken and full payload, waste the at we've coming speed Central to and That's done hoisting XXXX you'll effect see in in, efficiency XXXX. What and helped waste our us effect. in of is that our the already sequencing Shaft. of it operations,

that to we immediately So we more will to through that in good come The It's place. not something energy-efficient with you effect, are but plan at lateral see see equipment. taking also in more And looking replace equipment. equipment energy-efficient it's coming time.

build to an party perspective, Phase Then get solar X. we're to from looking plant external a

And million. We megawatts. expect approximately $X.X X that be the of rate sales to approximately

just power wouldn't from cost save and with for the Now this OpEx. buying party a on third us. capital come We'll a be

million. on save XXX a our Further expected in and OpEx OpEx, of $X.X salaries plus and is of to other but part people We cost included of by not That's expenses. forward age It's our wages. retired going a quite certain to hopefully, few IT in could about modernizing efficiencies it that, of also, implementation too. We're addition to And by brings some we the generate with $XXX,XXX. that do And mine. helps initiatives. approximately that planning that

track also a this model. Blanket to the plan new implement clocking biometric and staff We at would system,

where tracking of our in better better the can allocate our staff staff movements, Mine. at see we time and Blanket gain studies So more allocate efficiently our efficiencies

with of this, rostering the and help addition In this preauthorization to overtime.

better time gets preapproved. track So us to and and it the but at look that allows overtime labor to that, also various over make sure also areas allocate this

money So know spending we're over time. we why

So a helping bit our well we believe that staff manage quite to in members.

close goes so on, to some initiatives, very of are before Chester being all implemented. them Just those

year, implemented pretty and clear quantify from benefits we're Some be on the can will arising of next and the timing. those them we

benefit more equipment biometric we energy-efficient of Some things, the equipment, of the can with system. get introduction effect, the from the clocking old the replacing

cost too At also -- early that the to next for benefits some this reduction early read start in should progress to quantify we see we timing from might it's year. of the But thereof. terms stage,

incurred So XX%. significant realize. the said, exchange quarter. to gone as not Net foreign that of gross the profit, up exchange $X.X expect would eliminated. that that. of that that's we that be losses. losses in was XXX,XXX don't exchange unrealized, intercompany foreign and We pleased million by losses also very with are I foreign I'm quite That's

So about that, I'm [indiscernible]. the strengthening concerned on not that's of too

is every And that's no But seen and our see it's get We'll we in down. $X.X down year, manage the we the issue say, of $X.X ZIG. worth And suffered that how for QX business. we've and and in to that how of now per we in But losses broken amount the devaluation for of we've quarter, there. detail million So loss can counted we not cost of the for not to related our a all total back not in that what to worth million is that out. longer this our earnings adjusted business. We've share. significant also

So $X.X currencies we can. look include a in that's far cost, as to at that devaluating We'll get of And one retirement moment. this other, of mitigate as effects as million a we and into we try the we quite serious the where fee. of

as you gross repeated. tax due profits again And the quarter. that expense So during the increased be to won't our

Here of X exchange currency, on and now. ZIG at converted when ZIG.We're we about the on volatility currency. breakdown pleased is cash use spend that months, can inventory and on got in had cash the a a spend got the the we've you April mine we've you to seen was foreign ZIG. that The see quite And the that we XXXX. small for that abolished can than the see $X,XXX cash the to it RTGS see the we the costs and new how ZIG loss ensure gets And equivalents that trying I we've to was the RTGS first to very the can that we keeping that's manage spend reduced suffer this dollar rather could that in to it official Xth our

from ready be our sales is say our cash RTGS, receivable they're of and to our control had would pay. the are brilliant much conversion to I'd when locked $X up conversion our than receivable. those of of receive we there exchange under and contribute but battery method. we first significant that In the million outside and items receipt other sales foreign had our And very cash cash worth to as quarter, finality no and losses incurred a line We you, that

significant So normally, line XX bottom with terms we've about to that to XX days, that devaluation XX comes the seen days, happens in that to a like losses. ZIG in still the if in XX XX of but there's days, down

rate, there's that properly by is official set and point there's liquid a devalues it big may traded committee, a down make no for steps. currency, exchange just the understand I -- the exchange not Zimbabwe rate no market -- Can people market the steps typically just in

devaluation a devaluation. of from about in XX%. few point space think, about So XX.X% nearly would about casing of That be the seconds. to, It's happened ZIG the the I about from XX%

So it makes it very difficult.

rate, to sorry -- speed the the But difficult allows which and of of ahead makes you devaluations of manage. The it magnitude and these there's mechanism no there's to very hedging to move no sort common exchange Chester?

Yes.

it. I think that covers

and our can. it's volatility ZIG not to as ZIG So prevent in any mitigation is ZIG and as have losses main far you

the about So we try the to That's spend that expenditures. $XX What I And cash a was also before quarter. is for the got again, pleased changes. million over capital working we've generation. quarter

X to has see you a generated year, our see And double than If been has months, we than what -- quarter that's XX%. we every million that can last good lot consistent generated it's $XX and if you for see that generation higher cash year. more our this been

generation. now, around see good cash turn to from we the XXXX So ship

cash. some terms our And and prepayments some in increased that any and the stock comes rather got ensure items production not on CapEx all especially would to for made long-lead related We have that, from of that spent safety want have don't we've we've the predominantly where delays be and than we've prepayments of and available prepayments the bolster at sales reflected about money in our We gold current the that ZIG, $X.X QX by million to prices. that production. also stock

cash significantly a that way. flow, bad So but not has affected in our

ensure suffer just safety the get form. spares It evaluations helps the that and to ensure don't changed us we some also our production in

absolute at be unexpected cash that that the the still into On happy to quarter. shelves. that's We the CapEx, that see see controlled. blanket And number some shouldn't in turn CapEx CapEx next over and come -- safety longer good well this affect term. on hasn't it's there again generated grow might so in year, around We to $XX.X that equipment to at changed, but to over expect expect the that million

Craig, do leave the I Good. run us can Chester..Can which Thank we through to Craig ask to you this the announced Motapa morning. I again, you, please? that, results, results,

Mark. everybody. Good good to morning or Thanks, afternoon

So drilling off spaced pass, XXXX, program first pretty Caledonia kicked Top. Basically, during widely at

to on common shares just the see right map, there, can we which a boundary. have -- Bilboes, the As we

next they -- trends. has main it's X to So one I mean Motapa write another.

basically have Northern we Southern the So Central trend. and

These X land. are trends strike total in just X,XXX over in

it's So ground. expensive a fairly of piece

the open 'XXs below So oxide in continuation of the Anglo -- well, focus for our this during zones to American. the was 'XXs year, test and historic was, was pit that mined under typically it sulfide what

have some underground of property And Motapa or that operators over old prospective bit so the some just holes, drilling. Billy over across about from very similar from been data ANCOLD, look drilling, not of is and might XX X,XXX was we even to there, a areas Bilboes. drilled had reverse as then previous a diamond a quite wanted cation for a new been from -- meters the looked we quite -- That clearly, total found or general looked plans have and combination -- had been trench have of to so very, working in it's so to we databases, grade of

So that It's widely I've about meters just very maybe drills. to got XXX between again, it's spaced. stress to

Bilboes, So days. a maybe it's of there's be what's still early to a actually to The bit done. work than lot little thinner act

similar website full look in the be there, press is trend, defined holes. at of the at those eastern said, is we great depth of available in portion it But the sort Nipisi. So Motapa clearly, can our continue But are of, Central and just release, satisfaction is an are I quite call that, looking you it area that stuck Caledonia holes on the X all grades. The out at as on details the sulfides through will mean, grades, something as I well. yes, of

one hold fourth is that from the there. the so there, the And -- that's just holes NPZ, of

the you And shallow, as still X.XXs this other quite that leach have same is low -- can sitting to clearly and they're material. closest plants. surface quite so And fall. the fact currently The oxide X.XXs be does appear heap very, the it we processing the one decent -- very oxide see is one's that at well, away, has X significant XX grade, pretty about meters that in oxides, Bilboes

some extra in drilled have we press the So They the lease. press tables in in the holes. are

drill we holes There there. are actually that

Sorry, holes which had interest above of of Nipisi of the report and the XX X intersections we X of actually all area, drilled, grade the that great of with intersections are is X meters. in grade XX

So of X.X tonne. XX shallow. The meters intersections average is and those per grams

can the very that's XXXX. and exciting X.X so XX.XX% we at million going -- so for back high-grade drop us into And comes average XXXX very, forward out and the

area. busy Our focus be is the on going to clearly

We sure potential and is are for mineralization confident pretty pretty the there. near-term that oxide

like clearly, bank. to that the get into And we'd

drilling The the second And as Motapa focus is along North basically bound is about area, is from directly that going plant. to Bilboes, the -- the boundary. on Metapod which be

get and is the is. be area. into and some So our it or to a put on that indicated focus fashion, whatever mineral focus resource to fall inferred, then it of

any continue and exciting. have area, forward, books we proven that I comments. that will then we're you Mark, very to on very, have and So the very program our going we [indiscernible] get Thanks, standard to think drilling depth, that execute a if up happy sulfides

we Craig. Okay. Should on Okay. Thank move you,

a words few about Just Bilboes.

continue on study. work a We to feasibility do

published. publish also quarter slide first work no of to focus about feasibility familiar, on the those from is thoughts on been from existing still PEA for study our main a study the next to we the facility. the funding. it the to upgrade progressing we're stuff the this Whilst And We feasibility who to remain previously tailings year. on course of of update on, work that's are that's you upgrade the is done going now you is there's a All no information see So there. in

to and had mezzanine using focus some now specialist a looking at combinations funding ] thoughts have to in Bilboes. various with various when prospective by We Clearly, structures we debt. be debt senior We're the of engage bought adviser, process seems potential we're and [ funders. debt we what validated of Three be now of beginning internal permutations into coming those would

flush due which debtor making the fund that's much I So in we'll out. speed hands course, And due But be, those as at senior of very the continue in long able to to has will that But in an good the the really moved. then indication Sure. announce the we'd how to can't be but lender progress. give ranges. course,

on. moving think I

maintain So to XX,XXX you've to to look, of the about area And as ounces our of pay costs, at we particularly labor. is closer in terms do electricity year. production real outlook, immediate Blanket, and a attention cost focus heard, need

first at on Some area, that we the and funding X study making found. just we're to to publish got of can't at the from expect as were has then taking, I from -- And affected as one Bilboes, some Motapa we're outlined we're some initiatives we quantify, progress to which progress can't we beginning are the we've renown results timing, options we those areas you, quarter. we exciting feasibility to and new able stage, this them Craig various said, make put of precise in of quantify but and there.

exploration boes, Motapa we'd combined Bilboes But couple a maiden should to expect to substantial get maybe find immediate to synergies of that give resource. as years anything given before that a we And it's to bill very rise we continue operation. proximity

out taking go we're half hour to through an that. So

to want I we do questions. this out open mean to Camilla, you now share that? can

[Operator Instructions].

-- also you nuance you're but with questions is not answer I can people may for. looking it's that them, say the the get problem typed type sometimes

got of do to of your hand manage. you course, want don't it than if written. vitally But you raise answer and probably better that, can a So if actually do rather quality we you

do we press on that. in the the having on far XX so question yes, available Slide can It's about release. The website, is drawing only also the

from here Joslin. question a Ian There's

Yes. Right. Good.

of to obviously had similar account when -- the question but difference anyway. adjusted. but about I time talk you've something And wrong, the the if you to touched think EPS around, I main kind your it's I'm FX, look and with and concern. last notes, think, I to EPS It's you've then I own it, IAS, have do highlighted date on was a where you on me the on at the going being I which adjusted are But as between that I difference, IAS you've think your is clearly alighted of correct ones

And interests, I was, think, a think takes factor profit of up the other taxes. I chunk minority large quite which obviously after

Chester can And question. that leave I could. you question, that you -- to would well, But answer Chester, I'll if answer

an NCI, So on show we attributable EPS is first what basis. element, the

we EPS. Secondly, that FX about. It's adjusted still relates It's And not from and a The intercompany would FX. portion ZIG be do I deduct that we not that's significant spoke deducted that deduct portion. FX Significant don't EPS the the the big. to losses.

the difference So difference for main what's earnings. accounts what between the main adjusted the

noncontrolling we to exchange we've done for share, foreign it's exchange take deferred the tax XXXX don't to a that XXXX, see because we was and past What XXXX. interest, had business. -- Adjusted the foreign our the we in earnings, structural remove exchange well, foreign gains out we a some and

so of look feel that and share $X.X XXXX significant at million, [indiscernible]. our to exchange to the of year, the see we we deducted wanted pertains for number it that adjusted losses So foreign earnings from XXXX, we because didn't we about was exchange we seen business, When the adjusted you we've to the operation. without removed and those and of we from that losses we losses didn't Zim still adapted show because large that. count this part per profits a back share in foreign

interests? And minority you mentioned

Yes.

So what I our show to that that's business. attributable profit

back. So count we that don't -- we

that But which I isn't not is understand, thing. perhaps out, I'm mean, that the money paid -- but

movements a the the the foreign foreign of those bank, the we blanket movement, of Clearly, foreign When share and stand incurred their adjust of were they our for exchange share adjust exchange exchange we -- behind we adjusted so to have only when that. minority movement. that

based that's of per per think earnings confusion. I earnings The attributable on the share calculation is share.

that's after the NCI. So

Right.

Okay.

standing interest behind is the share really So the minority the of losses?

to have yes. absolutely, They

No, It a just fine. you were interest, thought had line I right. that's That's back minority so possibly adding the just total.

we So and then to relief loss. for there's exchange is any the tax adjusted adjustment do exchange the on adjustment foreign the further the what extent NCI component for foreign the is --

you. Got

Okay.

effectively So X means, yes. thinking. The misled it's mean words I

Okay. Could I ask have to to think was I grade, you're that example extra the how Sure, just examples another money. inventories inventories an extra of ensure with gave you -- try it's could wondering you to to the more able you're flexibility, if I will in to hit do to putting of question? perhaps faces give you you? do help

areas the stock is that new as which event, at of another up end buildup inventory level pumps clearly, backup the the fail, has when to we that that level. develop the enough the the America. have some many inventories us on with those give flexibility we putting the build we're possible If event in got in we've the XX% bottom in systems pumps if mine that The are fail, of too development. case, to we pumping at bottom -- means I the think -- about as sure much say, And mine. make try of talking water happened you're in to

minimize can we're the -- business is we whatever we instead our of to we And in the that then in mean increased we also exposure that facility. we spend Similarly, holding spending we to spare buy parts the tailings to -- we're to buy foreign side. exchange inventory addition, cash new in having ZIG it service bought cash and use our

looking just of sort X-year question. oxides development. And Obviously, any a last at I exciting that and I you one And think for mentioned you in Okay. you're interesting quite Motapa. it's discovered understand. horizon

would include that? mining some So taking that for out shallow doing the oxides

look, mining Yes, mobile, if a years a experience forget very we ago. we of in unhappy have couple can, don't oxide

our get and we don't want as -- don't we on it that. can But put the facilities can So to heat repeat we as leach and oxides, at through quickly we hands can. billboards we it do, will existing cash to certainly certainly relatively shallow we if turn

that's will if do -- XXXX. same into economically we've early but the same literally run going that it, -- we fall viable, in So to pit we're form not the

it clearly, makes sense, on yes, a So but basis. prudent if

what you remind And Bilbo at but you out? you obviously, could that do it it happened because me could didn't there, turn -- thought

high. turns stripping that It too the out is ratio

will of access will be able the oxides as it a effective. But due wasn't on So the course part to we broader sulfide stand-alone -- we in cost remaining basis, package. just Bilboes at

Does around? much carrying too

Yes.

some Okay. written have quite We do which are questions, detailed. actually

So address I written and Camilla, try questions. these shall

Yes.

Okay.

Okay.

The [indiscernible]. question was, the in early or what in explain Arica please about happened the the ground ground the fall James, to of talk fall do surrounding in Craig you first want third of circumstances quarter?

Yes.

unfortunate was performing where that very was X or it structures structure. -- So a happened a was there was we instance what

Some this of understand the people that would remember.

was to be work. that it a were our in hole a position And proactively and supposed a carry you for on in teams with So in this for between, where world identify obviously structure. work to

not still in and the as we unfortunately And risk support. result, happened, trying to and to ground was, unfortunately, were demand. of received Unfortunately, which we was support they time The a actually. they putting do to when put there, temporary lost when did not were not they fall that it extent the --

the lost question was That the simply #X was shaft Bilboes. fell of caused equipment correct? about that being the further was quite week's incident down shaft the was fell led shaft at a and down the Okay. some that And #X shaft, at hoisting. damage a hoisting of piece disruptive infrastructure. that the down, then what shaft #X worth lower It it us And to

end a was it [indiscernible]. weak Yes,

production resolved. able Or Chester, on $XX.X e-mail you XX costs but very Yes, Page to question? There's and address that's not question Chester an XX production just which on of to -- detailed about Page I'll of The been million a are difference the think ask does the that easily? $XX.X million. that Blankets with deal IFRS require this. to between I costs

production shown can... where slide, costs look on at I not if the XX. e-mail, that's X, Page [indiscernible] But Page I

-- know I -- don't is But chance know written. this don't I

MD&A know has to if been don't referenced don't or I to. know probably the something, documents I accounts. maybe what refers So the

to on get cost XX.X% assume it the Bilboes Blanket. that let's group here. few gets incur costs at a is We doesn't so million. if things going do the I'm But And XX.X do some a e-mail, also and you at it to costs. that. added level

So messages sending have. we'll Retail whilst the

bit for detailed if send address to Chester deal or e-mail Chester please, call ratably, year over and a will e-mail. go and on then a So into e-mail this. this you with like It's too our to me

need the is are will carry services The further we costs Bilboes. $X.X It's reallocated employee as question for costs that million into to Those XXXX. go shared with center. the about forward we

will those be costs. recurring yes, So

moment up future. the the at to but are will effectively currently plus head as is blanket we Caledonia stands, where So building just as blanket be it we're service in not plus and office we infrastructure Caledonia Bilboes

uncomfortable of period carrying this costs. in running so those we now are Bilboes until we And get

Bilboes running, as we very have spread to Now very, the those is office fall our our costs, costs head and more cost all-in we clearly, they own production. substantially those substantially shared sustaining do and costs services mine expect when not higher

will its But of need and next in Bilboes it over running Okay. out couple So have of wash got the work course the the we years. way to

our about the question in do you in facilities the -- Chester, liquidity overdraft Zimbabwe, funding working to want Zimbabwe? capital. was and talk Further

Yes.

cost got So our forward, forward. as down mentioned bring that we've should initiatives some operating Mark go we going costs now,

will capital delays our cash going see don't forward. on that ensure any in we the working going that see that We don't the have So to just got won't outflows. We safety space production. increase the generation. We

through that see or coming through cash expense cash cash outflow. coming don't we So

So yes, forward. inventory where for our end, the cash And full facility period position should we of normalize improve be will going forward. but it time, before going utilizing should year our increased when we've short the

Blanket ungeared? But is them. very the that I the And those of it point to facilities is use know --

I the million and that for it's about if could which after did we're to add you $XX generated XX prices. planning Maybe profitable at these mention sell very $ plant million. to gold solar CGT, that, Like Mark

going in So in XXXX. the see you cash increase should through an flows

forward. flows improve all factors cash So our will these going

the and nonacceptance about local answer final placed then question do primarily general who's ZIG, talk the or in country? to the that the I of guess best Are is the transact Zimbabwe to the And rate person ZIG you adoption acceptance was still Victor. Zig dollars. able in the the of

to Thank XX% and XX%. somewhere Zim, XX% moving that between in and you, U.S. and XX% up the somewhere Mark. global At is is the moment, you if you transactions look find probably at dollar what the

to Zim in are of ZIG. So mainly approximately XX% XX% transactions

of So the have where anyway. use level you easy it to acceptance

we for local just and in some say we buy money that use in because get but So some Zim dollars ZIG pay it consumables. like taxes -- to of us, is, I

other the to And want de of trend don't the just you which extent sort use about people anymore. Do the Zimbabwe talk banks is that I in banking? to think factor,

because a lot of economy large gone also inform cash operates traders, general traders. because businesses some have -- the and unemployment, in to A most Yes. of because you a informal our to Zimbabwe lot public find a like formal of extent, of people the

So those things is of side that transactions cash. in mostly

fact, in those most than dollars ZIG. U.S. of actually rather So transactions

That's with questions deals Right. written Camilla? those that further -- Any questions. Okay.

there Yes, are.

ask question. Flinker Howard to wants a . So

you meters Craig, questions. cited hole few Motapa. XX one a in just XX you have or Do I say meters?

sure not what quite I'm

I or XX meters said You grade. at some XX And didn't know?

there. it's No, that's [indiscernible] a listed

at grade X it whole below intersection XX It's down meters meters is a the around XX.XX%. So at of surface.

I'd say downhole. XX meters

Okay. I misunderstood.

No, no, no. it meters. XX No, is

surface. meters XX

is it X [indiscernible] meters.

it. Got

Bilboes I'll is explain Okay. increase Is rephrase the in expense that else? something no, could And Or and attributable Motapa. expenses to Chester, that. you administrative at please large

quarter-on-quarter expenses look million EUR at by increased Yes. increased admin X you our If approximately

feasibility do study. And so the that's cost predominantly to compared

So to bolstered our that. there we've complete forces

over making run the we we point team we've can't build project. -- project the just this which is I the the Howard, that's an as up build to and -- was earlier, years, course owner's then few got to next of

costs these build group projects. And a level office to head so level we be or the at will having

have... we So

I what that's So clarify -- that's mind. to that what my I wanted thought. in I

Yes.

entity. those the because those of not On deductible tax from is actually follow-on arising aren't taxable arising sort slide problem a those problem costs in they're other for

Okay.

not will one tax aren't that having high sitting areas costs why wash in because got we've reasons rate once are that's profit quite effective that aren't Bilboes. our eventually making of got out we've So tax Again, the deductions. making and looks therefore

preempted deductible You tax my loss the next really? also question about not or foreign taxes. Is exchange

which portion most The -- yes, of it's a is. real is realized

electrical say now, think plant you now. I that that owning mean to mean Okay. of million said to million? going finance solar Does actually compared another to you're $X.X And the you save also will expense compared $X.X the you

Yes.

X.X%, So plant $X.X is the be solar yes. said sliding will million.

that. somebody get to build to planning we're else So

estimates So and would would a got be cost it would PPA be enter. be the on sets using than game a of mixture The utility. that they've we cheaper -- based or

cost, about that's -- to using saving at plant what cost, should using the be save will we cheaper be $X.X solar instead that a at So of utility a and we'll million. us

would that also cheaper now what utility is cheaper the And it or than what is charge? million $X.X than

that. going to that and bond, be generate it cheaper than cash Phase for we're But the reselling Until X. would

the It's point. the what pay cheaper at moment. than That's we

million. cash on on sheet. second because was And looks statement have last do outflow meant and as net point. the is the it million a And balance ending think cash your question, at Okay. you your $X.X I $X.X balance you're if Chester, bottom, flow negative a you million $X.X

little on statement So misleading. a that the label last is

want might You clarify to that. too.

me Zimbabwe, please in you in recent has you maybe the could been months, finally, Victor, if inflation October tell know? what And most

If you X%. says dollar it U.S. member look right, might was U.S. dollar inflation X%. at me my inflation. ZIG have and less around been -- the than inflation, and if Well, the the X%,

you I colleagues. any of think that's remember? one Does to my

to But I I this call. a easily on it No, about it I could find out. I bit. do could for couldn't need find it out.

did in X% or say Victor, X% ZIG or X.X%? you

No, around no, the was probably was than say I to I confirm. inflation month-on-month that check X%, less double no. have ZIG and the I inflation dollar U.S. before XX%.

right? That's okay. said, X.X, you

me Yes. No, that hold I don't on

yes. Approximately,

check you. it to double to have I send it and

Sure. correctly. I to I heard just sure wanted make

Okay. local end It at unit in while No, Office I sold to figure. ZIG was the by the the U.S. X.X% October, dollar month-on-month have of at unchanged released inflation [indiscernible] September. XX.X% the Yes. after got inflation Zim.

flow right. seems just I check Mark the cash

hand -- outflow flow cash on cash your ending was think was made makes No, million. $X.X $X.X balance is a The cash the right. the appear And label $X.X million. as million you what is was negative I it if because

it Yes. e-mail I'll could you send that, but negative. be

million in on it cash negative. cash. a And statement $X.X look The actual balance the flow makes sheet shows

to. the [indiscernible] liabilities

go you do any Howard, more questions?

No.

from question more One Nick.

a the that sense Craig, undiscovered very on how on interesting you Do Motapa. have long is your discovery the area? strike of

It's X Yes, it's from about. of various strike particular our from one and of X trenching, ones. outlined it's possibly meters on about zones made that on what XXX we've of up

Okay.

well seen time. worked having satellite for of photos it of charted the the has that So fairly are been area the the periods area, looks extensive

undiscovered of So area? many how occurrences possible are is many more in that more that there similar -- types it

Okay.

forward-looking statements dirt patches EPOs, cautious So and as got be a comprehensive I area. of of because set I that with claims read I've what other immediate but in has say any don't to such. quite obviously, to But Birbos --

] of together number bit point busy in putting a a all the of there's are sort we place know, that. the or that of of view, of all bans things from sharing northern info sort and shares takes So a of struck we end And folding [ structural of quite the quite like loves of booby as the belt. gold and greenstone at Green and

if if north, me at the part which if serves Earth, a it's to you look the would working, pits, to our or memory it. couple had there's is you of look historic and -- Bilboes you notice also further neighbors a billings properties, inboard So correctly who close our of if my or people, all other are closest very on

the but because into numbers on which top have Bilboes to It going wrong. X what is not only I'll I we mine it holdings producer from the a of mine I'm runs probably have X I'll the We million-ounce was a switch number a get around. to quote south understand. it structure and

it's but atop area. good whatever, become there's and going exciting do it really the mining is bulbs probably -- to that lot that name for So cap -- I we're in a that the this might I this that Bilbo think specific the be area. term future camp for is potential think in because a of

how ore a Any to -- much oxide these possible top deposits. XX%, have you systematically Motapa, back XX%.. outstanding covered done you So to of find XX%, come have

So the we've or with do. of trenches about area covered want to XX% what we

XX,XXX I it's meters standing. And on total budgeted meters, the think I out X,XXX of think. just now of

X so becomes And so -- very costly. rainy said a difficult, activities very, -- we seasons, put that for just as we've completed the have becomes we it I and enter

We keep dry. trenches have the to

March and up surface pick trenching and November March, probably of it the runs the end yes, activities other of of until from will from we about the the remainder of year. activities So next beginning

There's one more question from [indiscernible].

Congratulations from on Motapa. results very the interesting

this on been so early Lease, curious. joined done any it's the may Motapa, have asked But you I just understand very yet probably I has but already. Sorry, days have not, or

couldn't I we any done work? So what -- have

work. test The

work. Test

Okay.

Craig. Sorry,

Yes.

is off sample on butter our obviously, say indication stage, fire what And for laboratory sent through that have Isabella, done. I put this But then haven't at we is assay property, So what it specifically gives of an is. samples duplicated Bilboes assays. material tests. what can is the those that are to halved the you we which oxidation for at then or level you gives And be

heap bottle So assay means per of gram roll per X of fire near tonne. under X if the leach conditions per a can That you've to that get a you oxide realistically tonne tonne. and gram grams expect X somewhere got

very early it's So days.

proposed go we're to metallurgical testing they see for generate And So then will amenable oxides material at we if we plant. have as a to are to we sulfides have sample Bilboes the going the look on tape the also that at. forward,

oxide it mean just is the of you I potential? weathering Central that see Motapa What's depth

No.

down -- possibly on So could XX between It's I general, Central, not XX at XX-meter the somewhere quite oxide mean, approaching I -- profile uniform. a in depths the a of has think and does change. there look we to north, top depth meters. Motapa weathering. been XX mining But and MatapaSouth, historic weathering

questions? Are there any further

No.

that's think it. I

Okay.

up then we Right. Just pause see has questions, I any send for any -- hand further don't something. through. if now, coming anyone we'll quickly

will afternoon. year. we doing again So the results, will And look, end be towards our full for you thing this the March next we back your thank time same year which publish of be when

your for very Goodbye. thank much participation. So you