Hi Jack,You were right about the 3 month receipts. I got that...

Hi Jack,

You were right about the 3 month receipts. I got that mixed up.

According to Southern Cross Equities, Mangkok Coal has to supply 300,000 ton at US$12/t to one of the funder of the project. They must sold some at market price and some at supper cheap $12/t. So the average will be at $33. But once the IDO finishes it's obligation of the 300,000 ton. They will start selling all the coals at market price. They there will be a profit.

I think this is reason why the receipts is less than the production cost.

Once IDO selling their coal at market price. 75k ton will bring in US$9million less US$3.2million =US$5.8m per quarter. That's US$23m gross profit. And IDO is planning to double the production. That's US$46 m gross profit.

It looks like the coal operation alone will able to support the current share price.