Santacruz Silver Mining (TSXV:SCZ) - 'Undervalued?' Investment Series, with Art [15:44-20:46]

experienced the water flooding were Pumabamba and Nane which are the two highest silver-grade veins. But they are coming back on track so you will see improvements in terms of production from Bolivar coming out of Bolivia and and of course that will translate into a lower all-in-sustained cash cost at Bolivar because because of more ounces being produced and and a fixed cost being distributed among a larger amount of ounces. Okay so production obviously will reduce, we'll help with margins in terms of consolidate the ASIC number but in silver price we'll do what it's saying it's some people will be I'm happy that's not heading north from here but it's a good price, good money to be made, you're making money but there's two things there's a kind of there's a kind of production profile which is down to you the work that you're doing but there's also that that drive for efficiency always and in terms of and that there's something that you can be helping with your earnings quality as it works but one of the things that each of the mines that you're are probably radical things that you've got to do, one of the things that you say to your team we must stay on top of these components when it comes to the the the production because we need to drive as much Mars and as we possibly can. Definitely in Bolivar that the watering process, not that the watering process is very important for us and delivering and time and as we are budgeting is instrumental for us so that's very important in Bolivia. In addition to that word exploring ideas where we can ease pressure from our milling facilities which dedicate time to San Lucas our source in company. San Lucas if it will have I mean let's say if San Lucas could have a dedicated milling facility for its own that will release pressure on your today milling facilities for Bolivar, Porco and Caballero Blanco mines right that alone will take we will drive you to an increasing your production right so that is another let's say line where we're putting some effort so we want to achieve or to get a new milling facility team this year for for San Lucas and that will be of a lot of help for pure overall production in Bolivia. Yeah so it's an important way as well but I think in terms of how management teams do operating cash flow and free cash flow and what they what they do with that in terms of you know what you know that kind of capital discipline is great and that focus is great but the allocation of capital to specific tasks and it can be re-investments into the mind like you're talking about expansion at San Lucas exploration and sort of guy for instance you're you're tidying up your balance sheet like you have do you return capital to investors etc all of these things kind of matter in terms of your decision making so how do you view how you allocate capital in the in the best way for the company so it can move forward but also for shareholders understand that this is a kind of growth company and something that will return capital to them at some point. Well definitely in the short term or objective is to keep growing as a company no and capital will be invested into building as stronger minds into building our resource based which will by the way we're going to be posting a resource estimate technical reports charting in the next coming ones where our investment community will see a broader and an increase in our resource base we will also allocate some resources to Sorakaia because we want to have that mind in production by the end of this year very small production but aligning the mind for full production by 2027 and and that'll be maybe organically speaking the the asset that might require the most investment it won't be also much just to give you a reference if we build a million facility for Sorakaia our budget is around 35 million dollars for for the meal no which is not bad for a mind that will provide you with another three million ounces of of silver equivalent not