Metanor Resources MEAOD

Sedar Has The Financials...

[MontyHigh]

Here's my mumbling take on Metanor's quarterly financial statements (period ending 30-sep-2008).
(1) The statements are harder to go thru than usual because its basedon Ontario and follows some kind of French Canadian format.
(2) This is for the first quarter which means that the next financial statements should come out roughly 3 months from now.
(3) The statements are hard to read because they were still in "bulksampling" for the period, but have gone into commercial production forthe entire next quarter. Thus I conclude that next quarter's financialsshould be very telling.
(4) There's not much about production during the period.

Here's my conclusions just from reading these statements:
(a)Metanor has barely enough cash (and should be cash flow positive) tokeep operations going from the short-mine life Barry pit. They have a line of credit they have not really dipped into should there be any production hiccups.
(b) Metanor needs financing to continue its growth thru exploration andthat financing will hopefully be a flow-thru private placement of 10million$C for 20 million shares to close 12/16/2008. That's animportant date for Metanor and the actual sale or those 20 million shares will be a vote ofconfidence.

In a separate news announcement they claim that their mill isrunning 24x7 on 700 tonne/day with 96% recovery. That's around 40000oz/year with a cost of around $375/oz means they should be operatingcash flow positive easily to the tune of around 15 MM$ / year.

CONCLUSION: No financial problems and MTO is working the plan that should leave them as a big money maker. Nice stock.

MontyHigh