When the station was running it was generating Effectively $26m...

When the station was running it was generating Effectively $26m pa in Mgt EBITDA (or basically cash) The business has the ability to pay down the debt, but over a very long period of time and so needs the support of its lenders.

If the lenders were able to agree on a long term funding arrangement the Share price of AEJ would then naturally move up. Once the Share price moved up the board would then have the ability to raise additional equity to further pay down the debt. this would result in a further reduction in interest payments and the further share price growth and potentially further equity raising and debt reduction.

Managed correctly all parties would be winners!

The frustration is the board has been saying this all along but the debt holders just weren't listening. Even The receivers stated when they took control that they would immediately put in place a long term funding arrangement which never happened. I suspect that its because one of the lenders is a bank that went belly up in the GFC.

Notwithstanding, lets hope for all that an agreement can be made quickly, get those workers back to work and start generating cash as quickly as possible.