RE:RE:RE:RE:RE:Failure is not an option -I have a hard time seeing PGM bought by Kinross in order to secure complementary assets such as the mill for Great Bear's deposit. Our mill is running at 600-700 tpd. The issue here is that the grades were supposed to be much higher, making the small mill churn out more ounces. But now, we are stuck with a small mill, and lower grades coming out of the ground because the team can't get their game in order to prevent overbreak/dilution.
We are indeed running out of money and time. Either we are able to right the ship with the $25MM that's just coming through the door with the latest PP, or we are not. Beyond that, there isn't much salvation. No one is going to give equity holders a dime if Maryse and team can't figure out the stoping part. If that's the case, then someone will buy the debt from Sprott and take the company at $0 equity, like what happened to Harte Gold.
How I wish we avoid such an outcome! Even if we can get to a steady state 5 Koz per month, that's 60 Koz per year, that's good enough to have someone buy us as a tuck-in acquisition or to keep running standalone and use any remaining cash for mill upgrades to 1,000 tpd (steady state) and 8-zone exploration drilling from underground.
Anglo must be salivating a steal of a deal right now. If they offer $400MM to equity holders, that's what, $1/share, the board will probably advise shareholders to agree, they will take their pay out just fine. Then the mine becomes someone else's problem. And Anglo has deep pockets form their legacy operations, they won't mind throwing cash to expand the mill to 2,000 tpd and continue developing the main deposit and satellites.
Look, the thing is, before the PP, board and management would have heard if there were anyone interested. The reason they did a PP at 50 something cents is because no one at the time was interested in taking the company. The PP is ongoing, the "turnaround" is ongoing. Though, it boggles my mind that board allowed previous management so much time and such a loose leash to run wild with shareholders resources. You have to wonder, why didn't they step in back over the summer?
Also, I don't think you and I will ever see the "updated resource estimate" any time soon. That is a periphery item at this point. The main thing is mining at tonnage and grade. The only chance of surviving we have is to mine properly.