Ann: March 2014 Quarterly Activities Report , page-42

JS "YES - that is how hedges work. Dontchaknow?"

So the NAB is going to receive form the first maturity date of the initial hedge till June 2016, specifically 116,571 ounces with an average price of A$1,513given them a cool 600% profit on 29.5M loan along with interest payments, last year 3.4M. Seriously you really believe, the NAB gets all that gold for nothing, a possible 176M at worse 140M for just supplying a 32M loan that attract all the normal fees and interest repayments. MOY is going to pay 140M to 176M for 32M loan for 4 years. LOL You really are stupid aren't you. Sorry but there is no other words to describe it.

How about this explanation. The NAB requires security they insist on 116571 ounces be hedged. Debt is paid via cash flow, which is unlikely in this case thus it is paid via hedge reserves. Once debt is paid, NAB can take the rest of the hedge if they want to pay for it, but they just don't take loan and the farm as well. LOL Imagine after paying your house loan of the bank then taking the security for that loan as well.....

MOY was secured it future with locking up 28% of its reserve in hedging at what I think is a reasonable price. And at a reasonable expectation of gold going south or north by $200 an ounce the risk reward/loss are only about 3M either way. A small price to pay for security.

Yes I agree with you cash flow is going to be an issue and that is why they secured another working facility of 7M.