I thinkI think that credit facility last year. Well, they must have been optimistic and thought it was a good short term way to get some cash until things got better. Expecting things to get better in the short term. I believe their intentions were good. They were excited and expected great things. But it was a risky move. And I think that might have been a costly misjudgement.
The gold is in the ground. As someone posted, it might be mined in the next 100 years.
The best hope is that the rest of the results are really good, perhaps showing a potential 3rd pit.
And then they can sell the company. The credit facility was a fatal mistake.
Buf if they can show some decent results, maybe it will interest a buyer enough to pay the close to $30 million dollar debt an give a bit to shareholders.
If those next results are duds... it ain't looking good.
This is all obvious, as that is what the market is saying.
For the poster who said it isn't worth selling now... they consider it an option.
You are right. If you have a much higher buy price, being down 81% or 82% really doesn't make a difference.
Good luck. The best outcome is for a buyout at whatever they can get. And they might not get anyone interested in paying out the debt and giving shareholders anything.
Management will likely get some sort of severance in any case. But they have enough to keep the lights on for a little while.
I can't wait to see the financials at the beginning of March. They said last week they had roughly the same amount of cash at Dec 31 as they had Sept 30. After raising 5 million. I wonder how much of that cash is due and payable.