RE:RE:RE:Not Good News OutA few things...
I'm not sure why they cut the dividend when they had $17 million in cash at the end of Q2 and the dividend is just over $1 million. Is there more here than they are letting on?
They won the court case against Burkina Faso. The government was trying to get $10 million out of them and lost, but were appealing in August, so maybe something hapenned with that, but Geodrill sounded quite confident they were in the right.
A $3 million non-payment is really bad, but I wonder if it Burkina Faso withholding payment now that Geodrill is leaving. Or are they not judging their clients well?
It would have been nice to have a concall this morning to explain what is going on.
But, at $1.75, where it is now, it is only a $82 million market cap, which is the cheapest it has been in years. And the market for metals and drilling is still strong, so they should still be very profitable once they get through this.