I'm sorry, but something just doesn't seem to be right here. -.19 EPS, I'm afraid, is going to drive this down tomorrow. I hope I'm wrong, but that is ugly.
I do not understand the impairment charge at all. The bottom did not fall out of gold until the last week or two of Q2. As we can see, they still received $1194/oz on average. Weren't all of their assets based off of $1200 gold? I hope I'm wrong...but if not, why the impairment charge in Q2 and not Q3? This kind of write down makes me even more nervous for Q3, since averages have been close to $100/oz lower in the first 6 weeks.
The second thing that bothers me is the AISC going up. That should be going the other way, and I can't come up with any reasonable explanation on why the AISC would've gone up, considering operational improvements, lower fuel costs, etc, etc.
Lastly, in regards to Namoya, they mention commissioning in September. They also mention commercial production in Q3, but now I'm afraid it's going to at best give us 4 months of commercial production. Who knows, maybe only the 4th quarter, plus a couple of weeks. Unless they are planning on some crazy-ass gold production in Q4 from Namoya, I have no idea how they are going to hit their guidance in 2015.
Let's see what tomorrow brings. Hopefully POG continues to climb.
