Another Equity Raise Needed This Year

In my opinion another equity raise is likely for any company in this position, and with Paringa's management it is inevitable. Please read the Dec Quarterly and see if you come to the same conclusion.

First production is delayed (again) by another 2 months. If management say is it 6-8 weeks, you can comfortably add some more on at best. How they managed to give themselves their bonuses for First Production by Dec 2018 with a straight face...but that's another matter.

So first production will hopefully occur some time in Q2 2019. Then processing of the coal, slow ramp up etc, means actual sales (i.e. cash receipts) in Q3 2019. That leaves the company 6 months or more with only expenditure.

Some sums:
Cash Dec 2018: +$11.9m
Debt facility available: +$6.7m
Cash out in Q1 2019: -$14.5m
Cash & debt facility left after Q1:+$4.1m
Cash out in Q2 2019: -$10-15m (my estimation based on history).
Cash & debt facility left after Q2: .....

You do the last part of those sums.

I predict a $20m raise in first half of this year. Last time there was a 30%+ discount to share price, this time...who knows what they need to offer to get any money from investors at this point.

Prediction: investors take another bath, whilst management bonuses are paid like clockwork.

This time production will be "fully funded"! Pinky swear!