GREY:LBEFF - Post by User
Comment by
legend7on Mar 31, 2008 1:14am
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Post# 14923608
RE: Financials and buyback
RE: Financials and buybackBeer,
I think you are waaaayyyyyy to high on the burn rate. I believe Liberty built a mill with some of those financings so that took a big chunk of the money. I also have not looked into it in depth but I think the burn rate in the 4th quarter was probably around $2 Million a month and now they are producing more tonnes this quarter (200 vs 166) so at the most they would be at about $2 Million per month of a burn rate so I would think this financing will get them to where they need to go. Keep in mind when they are in pre production in a couple of months there burn rate could be close to nothing.
Beer I was a little disapointed in your burn rate calculation I kind of asked to see where you stood on Liberty. I am pretty sure you were aware of the mill being built and that they didnt have to build another one this year but you didnt put that in your calculations makes me wonder??? Of course it could have been a simple mistake and I will take it for what it is worth as just a mistake no harm done.
It will be interesting to see what we open at tomorrow and how we trade throughout the day... I love the long term outlook on this stock but the short term could have some growing pains still.
Legend