Three Valley Copper Corp V.TVC.H

RE:RE:RE:RE:Ridiculous Over-reaction

[nkbourbaki]

I'd love to believe this is 4d chess. Unfortunately I don't think that's so.  This looks like the result of misaligned management making poor decisions and coming up against some bad luck. 

Management/BOD have negligible skin in the game and will protect their salaries above anything else.  Maybe there's a small chance they can work out some bridge financing to get PM off the ground, but I think by far the most likely outcome here is that the current equity is cooked, management makes out alright, and the eventual new owners earn a handsome return.   

The creditors could have taken over in 2020 but by not doing so they've seen millions more of other people's $ flow into the project, and ultimately into their pocket.   It was always a bit fishy that Vecchiola and other inside parties weren't putting further capital on the line, or that the creditors weren't more eager to take the keys.  

Out of curiosity, what do others make of this excerpt?

MTV’s management and technical teams have concluded that in the absence of taking this action, there would be a significant risk that Papomono would be destabilized if the caving operation was to start without MTV having the funds to continue its orderly ramp-up of production.

Is "destabilized" meat  in the physical or financial sense?  If the latter then they're protecting shareholders from significant financial risk by preemptively taking actions that are almost sure to wipe them out.