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First Uranium Corporation T.FIU



TSX:FIU - Post by User

Comment by colt451on Apr 05, 2012 7:34pm
97 Views
Post# 19765716

RE: RE: Does anyone have a credible plan?

RE: RE: Does anyone have a credible plan?

Here are the quotes from the last financials and the last NR to support my arguments 

 

First Uranium reported a consolidated gross profit of $1.8** million for Q3 2012, compared to a consolidated gross loss of $1.2** 

As at December 31, 2011, current assets were $27.3 million (March 31, 2011: $73.4 million) and included cash and cash equivalents of $10.6 million (March 31, 2011: $49.6 million). 

During Q3 2012, MWS generated $33.2** million in proceeds (Q3 2011: $23.7** million) from 25,142 ounces of gold sold (Q3 2011: 21,040 ounces) at a Cash Cost* of $613** per ounce (Q3 2011: $506** per ounce). MWS generated $98.4** million in proceeds during 2012 YTD (2011 YTD: $63.9** million) from 74,141 ounces of gold sold (2011 YTD: 60,791 ounces) at a Cash Cost* of $653** per ounce (2011 YTD: $503** per ounce). 

As a result of the restructuring process, uranium production at Ezulwini Mine has been temporarily suspended. The uranium plant will therefore be placed under temporary care and maintenance as a result of the marginal benefit that was derived from the production of uranium under the current mine plan based on current production levels and uranium prices.  

On a positive note, the Ezulwini Mine settled the final quarterly guaranteed ounces requirement to Franco-Nevada pursuant to the Ezulwini Gold Stream Transaction at the end of Q3 2012 (effectively 64% of the gold sold during Q3 2012 at $400 per ounce of gold). This means that as of January 2012, the mine reverted to delivering only 7% of its gold production to Franco-Nevada at $400 per ounce of gold. 

***I forgot to add, EZ is gold focused not uranium at the moment, and the gold stream is reduced - which means that MWS and EZ should be profitable right now 

Credit facility 

 

 Any amounts drawn on the Loan Facility will be repayable on completion of the Gold One Transaction and, if not completed, on demand after the Gold One Transaction agreement is terminated or if other specified events occur. 

*****at this point there is no money to repay because the credit facility has not been drawn on. 

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