Is Karara now profitable ??, page-69

I dont know the precise answer to that , but I suspect the Karra Mining Ltd self funds . ie its possibly as a cash flow break even level or not far off - any shortfalls todate have been funded by additional bank facilities guaranteed by Ansteel &/or pre purchase agreements with Ansteel .

It seems now that GBG is pretty much out of the firing line in the guarantee department ( however Ansteel will be taking up a greater percentage ownership .

GBG as a communicating entity are quite useless . Possibly there is nothing really fitting or relevent to say , until IO price gets to much higher levels , as thats when "theoretical" operational surpluses could be applied to Ansteel & GBG distributions , or debt retirement .


My view for what its worth is that the Karrara project is a very valuable asset , however with much legacy debt associated with it .

Without Ansteel , it would have been scrap metal by now .

I cant see them shutting it down . Obviously recent downward movements in IO price dont help.

GBG probably wont say much about all of this unless the dynamic changes to the positive .

So dont buy your beach house based on GBG turnaround just yet . One day you might be able to if u still hold , or acqire decent parcels at these levels .

Lol


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