kuppy's report

http://www.adventuresincapitalism.com/post/2010/06/08/Worried-About-Wiluna.aspx

I have read with interest the report on the above link.
Seems this guy actually travelled to Wiluna to check out the operations and talk to MA.
His assessments seem valid and plausible. Certainly worth a read.
Some have suggested this company is bordering on "bankruptcy". I think that is an exageration. Perhaps bordering on technical insolvency is closer to fact. Remember they own plant with a significant value and outstanding debts could not come close to the plant value. Also sale of Youanmi will eventually inject some cash when sold but this asset has present value to add to the balance sheet. Gold in circuit is also of value.
The underlying question we all may ask.
Is this worth a "punt" when most of us are sitting on considerable losses and are "praying" for a miracle to recover some of these.
AXM is a producing gold mining company which has had more than its' fair share of problems in the past 18 months and they still have challenges ahead.
Without some major catastrophy however, I believe the worst is now over.
DYOR