RE: good summary by Dundee Securities Bates should have been replaced at least a year ago or so......but how do you tell this to guy who is so stubborn and has no knowledge of business to be running a company like Cline. Bates cannot see forward, if he did he would have done PP at $2.00 for say 50 million shares like a year ago to raise to $100 million in capital....then all this mess would have been avoided and bondholders paid out! Bates lacks any vision and is the sole guy responsible for the situation we are in right now!
Regardless, with these very low valuations I am thinking buyers will be stepping up to look at Cline and the future potential that the coal mine can bring. In the first year of production CMK needs at least 115 FOB to break even, and the cost of production goes down every year after that, due to economies of scale!
This biggest thing now is to secure some sort of a sales contract for the coal to bring some sort of creditability back into the company. This is the biggest issue facing the company right now. Hopefully with the met. coal markets improving recently some buyers may start to look at sitting up some contracts for buying coal. And thank goodness Stone is leading the charge, and Casey has been let go a few months ago (a real ahlole with no business sense). As soon as this happens buyout would then follow or an alternative capital infusion may occur rather than the bondholders manadate. I would not be surprised to see an end user of met . coal putting in investment into CMK and getting rid of the bondholders all together, and hopefully bringing in a new CEO as well!
Some formal meeting with investment bank should be starting soon in terms of all out sale of the company or alternative capital raising process very soon according to management. Watch the share price closely as to the indication of this occurring.