OTCPK:MEAOD - Post by User
Comment by
nor_easteron Mar 05, 2014 8:31pm
103 Views
Post# 22286266
RE:Things are going as planned .....
RE:Things are going as planned .....MTO now classified as a gold producer...re-rate of shares coming shortly.
Buying back their own shares with very little cash would not have been prudent. During ramp-up of commercial production you need some cash in case something goes wrong. Furthermore, the Sandstorm Gold agreement and Ressources Quebec loan probably included covenants that prevented MTO from purchasing their own shares- (ie. they needed to maintain financial health).
In a personal observation: I do not know of any junior gold explorers/producers that have recently purchased their own shares...especially during the devasting year of 2013...There was one recently but cannot remember name...