OTCPK:MEAOD - Post by User
Comment by
Margreton Mar 31, 2013 12:21am
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Post# 21188919
RE: RE: RE: PDAC Interview
RE: RE: RE: PDAC Interview RP did say in the past that the 1200 tpd mill was fully paid. But he didn't say additional cash wasn't needed to drill to develope the stopes and underground infrastructure. Yes that was a big omission.
But now in the PDAC interview he is saying something different. He said they are not going to the capital markets and flow through is off the table. That means they are not looking for new funding, regardless of what the cash is used for, whether for the mill or underground developement.
The majority of the cash used in 2011 and 2012 have been capital expense for building the mill and infrastructure. In 2013 what mill do they need to build to require massive funding?
If the cost is $1000 as claimed by BasherT, operations will result in good cash flow with current $1600 gold prices. So that leaves capital cost as using cash. Exploration is already covered by the flow through they still have. The only way they would need massive funding for 2013 is if they need to build a new mill and infrastructure every single year.