Core Gold DMMIF

RE:RE:RE:RE:RE:RE:RE:RE:NEWS- Dynasty Goldfield Project Development Agreement

[edx]

robnhood wrote:
I don't know much about mining, but I thought that Washer drove a great deal, and it does not look desperate at all. IMO

Agreed. They hinted at a DGF development deal but this is not what I expected at all.. I expected some type of joint venture where DMM gives up ownership of a good chunk of the project.

What looks to be the key issue now is the backed up AP/payroll and how they deal with that. So either a capital injection (asset sale, equity raise, loan, etc) or does Washer try to string them along until he can start repayments from DGF cash flow. I mean, based on Tad's math there they can basically pay all operating costs (at DGF and Zaruma, at the same rate they were operating at last year) + loan repayments for upcoming quarters from DGF profits alone. That means any revenues (less royalties... no taxes involved since the company is repaying debt/AP) produced out of Zaruma can be used to pay down the backlog.

I really hope they do a deal on Jerusalem that involves a capital injection for the company to fix the balance sheet. I am entirely uncomfortable with the company scraping by going forward.