share price query, page-10

So where is the cash going?

Penumbra cashflow won't be realised by Continental Coal Australia until the end of next year at the earliest, and most likely no sooner than 2014. This was outlined by PL at the meeting last week. They sure are putting a whole new spin on free cashflow! In some respects, its hard to see Penumbra being the saving grace for this company, because any cashflow received over 12 months away may be too little, too late. So the question is, where does the cash from Penumbra production in the mean time go?

This isn't the first time that CCC are seemingly helpless with where their own funds are directed and used. SIOC funds can only be used in South Africa. Vanmag funds have seemingly vanished!

But what about the funds issued with Socius? Why weren't they too 'locked in' to their supposed cause like every other sum of money in CCLSA/CCC? That cause was to acquire the balance of Mashala. How come the directors could this time only bend the rules of agreement with the Socius funds and put it towards that ever ambiguous working capital?

Pre-warning of no cashflow from Penumbra for a year sounds more like an excuse to tuck away its cashflow for other needs. Why has it not been mentioned before that CCC wouldn't receive those funds for a year from the commencement of production?

There's been some brilliant posts on these boards over the past few days. Props to the ones who could vent their thoughts without resorting to defaming the directors. To be honest, they've done a damn good job of defaming themselves!