RE: RE: Negative Working Capital Position "How do you know that there are still FS costs to be paid?"
*
Simple logic. Why did AXI raise $1.6 million net three weeks before the release of the feasibility study? They did it because they were dead broke (running a negative working capital balance on June 30th). On July 3rd Tetra Tech still needed to be paid more money before they would finalize the study, XinXing wasn't coming through with any cash, therefore AXI was forced to issue a lot of shares at 21 cents.
*
"What's the reason for the second debenture from XDIP?"
*
Its purpose is to fund Tuktu 2 exploration specifically. Not another Chinese dollar goes towards Roche Bay. It's not an economically competitive project.
*
"Are the Chinese crazy?"
*
They were crazy when they signed the framework deal in 2010: $1 billion for 50% of Roche Bay.
They are sane now: $20 million (in staged payments, protected by debenture rights) for 50% of Tuktu 2.