Mart Resources Inc MAUXF

RE:RE:RE:RE:RE:Distribution of dividends vs debt covenants

[zeus55]

Treetop, just to go a bit further, Mart's expenditures on capex are to increase the production and thus increase cash flow, which could lead to a higher dividend down the road (although I would like them to use it to buy another asset).  And as you said, borrowing for such expenditures is standard procedure, as is paying a dividend out of cash flow from existing assets.
This is not rocket science, nor anything new.