Barclays Bk PLC iPath Dow JonesUBS Platinum Subindex Total Return ETN Exp 24th Jun 2038 V.PGM

RE:RE:Sanity please

[Mojofred]

I never said cash flow positive, I said cash gnerated after direct cash costs, which contribute to cover G&A.  Depreciation and amortization is used as a proxy for sustaining capital, exploration expenses and reclamation/mining costs do not matter right now. In the early days of a new mine what matters is cash costs. Look at AISC once they have 4 quarters of commercial production under there belt. The point is PGM is generating cash of 650-750 per pumce, which will contribute to G&A and other fixed costs. They are not losing money on a cash basis at the mine level. On a non gaap accounting basis, yes, they are BE, but that does not matter now.