"They're an exploration company largely financed by very good...

"They're an exploration company largely financed by very good internal cash flow generation."

1) We're an exploration company only because it's the first phase of becoming a gold production company. We haven't invested in this company to perpetually explore. The point of this company is to explore, then to develop a mine and then to return cash to shareholders. Simple. These guys have been at it for 10yrs+!!

My point around exploration was to point out that we have enough good prospects that are currently being explored and tested. We need not taken on any more 'prospective' grounds.

2) Financed by very good cash flow? What the...? We're currently funded by SH cash and JV rebates (that only covers the TC programme).


The way I see it, there are a few possibilities.

1) Best case: we're raising cash to put Edna Beryl into production. SP and SH alike will go bananas. But, it's unlikely IMO.
2) Most probable case: investors from Denver want it and Rob decided we could use working capital and the cash for developing NSW.
3) Next most probable case (most underwhelming): the cash payment to ADN yesterday pushed us below Rob's threshold of safety net cash and we're simply topping up the coffers. Not cool. It means they've squandered cash on a barely executed plan.
4) Worst case: EVN won't proceed with TC past Dec-17 and we're shoring up the cash to go it alone or until another JV partner is locked. Adios muchacho.