The company is starting to accelerate the development of Sanbrado, awarding an EPCM contractor. Project funding is still expected to be wrapped up by the second quarter of FY19.
Macquarie pushes back expectations for the first gold by six months to the first quarter of FY21, in line with the development plan. FY20 estimates for earnings per share, therefore, swing to negative.
Outperform rating and $0.50 target maintained.
Target price is $0.50.Current Price is $0.28. Difference: $0.22 – (brackets indicate current price is over target). If WAF meets the Macquarie target it will return approximately 44% (excluding dividends, fees and charges – negative figures indicate an expected loss).