GREY:ALXDF - Post by User
Comment by
production05on Aug 26, 2015 7:58pm
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Post# 24054462
RE:RE:RE:Sedars Financials out
RE:RE:RE:Sedars Financials outIf some quick cash is needed, for Corporate G&A purposes, (if no other short-term options are available in this environment) they could sell the marketable securities. They list the value at around $251K in the financials at end of April. Those securities are currently worth around $430K, due to the Eagle Hill merger with Oban Mining (and 2 other companies) subsequent to April. The shares do not appear to have already been sold in the subsequent period to April. I checked the MD&A in the Subsequent Event section (pg 13) and there is nothing there about the marketable securities being sold off in this period.
It`s not clear how long it will take to receive cash related to the $272K in Sale tax and sundry receivable booked in the Balance Sheet.
I don`t think we can expect to see the $225K (net) Quebec refundable tax credits anytime soon. They relate to exploration expenditures from March-April of this year, and these types of recoveries usually take several months to go through (sometimes a year).
Alexandria will definitely need to put together some cash in order to start a new drill program.
Alexandria has a 2% NSR on a small piece of Integra`s Triangle Zone (Integra`s key zone). Integra`s getting a $17 million financing from Eldorado Gold. Integra will have $27 million in cash once the financing is closed off. Integra can buyback 1% of the 2% NSR for $1 million. It`s not clear if Integra has identified sufficient exploration potential on the piece of land to want to buyback 1% of the NSR. If yes, maybe Alexandria should try to negotiate a deal with Integra to sell the 1% NSR in advance for, say, somewhere in the $500 - 700K range.
There is also the 2% West Zone NSR with Agnico, where Agnico can buyback 1% for $7 million. Maybe Alexandria should try inviting Agnico to the negotiating table, and try to get them to buyback the first 1% for, say, $3 - 4 million (50% discount). Sadly, it is completely is buyers market right now.