TMAC Resources Inc. T.TMR

Hey shocor: good to have you aboard

[Shermandrock1]

First and foremost, cash flow should not be an issue for these folks. To the extent that they "choose" to, they can high grade the "A" grade sitting there if they were in danger of running out of cash. Secondly, lenders will always, always, always work with debtors to extend or loosen the terms subject to the outlook of the company. In addition, were they so inclined, management and the lender could strike a deal convert debt to equity. Yep, neither option comes without cost. I merely mention them as "possible" and "creative" ways to survive cash crunches. IMO. these folks seem to have the situation well in hand.

[templetooth2]

Would be good to have a knowledgeable number cruncher on board, so look forward to what you have to say. I have no idea how much the company should raise via a new secondary, but I would think the more the better, and sooner than later. The company consumed $17.8 million cash in the first 2Q and they've done some fancy footwork to try to deal with financing additional cap expense and this year

[pnfker]

they need to do a equity raise. I don't believe the cash flow from its operation can cover all the debts due based on my own calculation. if we are in a gold bull market, it's not a big issue. now question is who is going to fund them. the whole sector is so permistic and more and more traditional funds and investors have shifted their focus. to survive in this market is not that easy