I must admit it did not help reading all the posts from the last 7 days.
With so many thinking the company was going under, it did make me feel like the company was indeed a total failure.
However... while I have very little positive I can say about the situation GCY is in, I still think it will actually make it through this, sure, diluted, but... with the contractor showing such faith in the project (plus perhaps wanting to prove that they can still make a sub par mine plan work - to garner new clients in the future) plus the increasing grade, which has pretty much led to the situation we are in now.
How frustrating regarding the infill drilling, as the results are good ones! Even bloody Golden Wings which has been a disaster does indeed have gold in it, but it would seem that past management and 'expects' simply did not fully understand the geology.
To think that much of this could have been avoided with a better understanding of the resource/reserves is highly frustrating. Was this whole project rushed (other than the plant, which is still operating well)??
March's production rate is disappointing, but then they were not able to utilise all Gilbey ore. I do think its really important to take note, that only 5% of Gilbey's ore to date has been used.
While it is indeed a lot of gloom, I think there will be more than enough entities wanting to participate in the capital raising.
Here is a little speculation.... the next MD will be Leigh Junk from Doray Minerals. He has just turned around DRM, plus ensured that shareholders have been very well served with the recent share price appreciation. What better project to tackle than GCY, a turn around story begging for the right management team. Almost a shame that they cannot get an MD in to time in with the raising, as the right person could likely enable a perhaps more favorable outcome for all stakeholders.
The much reduced debt payments is a absolute blessing, in fact, I am very surprised at just how good an outcome current management have achieved. I also commend them on not hiding any details nor sugar coating current and next few months of operations.
As of Dec 30 2018, GCY has cash and credit of approx $32m, so.... I am hopeful that the capital raising won't require more than $15m to be raised.
While GCY is looking more like a BLK than a SLR, I am... slighly hopeful that with the right management, Dalgaranga could just do what few have done, return from the grave (MOY and RMS to me have shown what good management are capable of).
Oh.. am I still bloody angry and past management and everything that has led us to this point. Yup.
Expand
