All good if you disagree, however perhaps you missunderstood my comment. I meant that if you include the middlings revenue when it finally gets sold, the DRM will have been cash flow neutral for the past 6 month. If the cash finally does get recieved in the June Quarter, DRM may well have to do a small capital raising, whilst the cash they have is ok, with the debt, my guess is they will need to have a decent buffer to satisfy the banks.
In the end, I just don't see DRM turning things around for at least 4-6 months. Again, their E/V is about $200m, yet they are basically now just a single mine producer, i.e 65-70k p.a, Andy Well is barely staying cash flow positive. I just don't see how they are going to get a huge increase in the share price in the near to medium term. Yet, I do still hold a few DRM, on the hope their exploration finds another project.
DRM Price at posting:
44.0¢ Sentiment: Hold Disclosure: Held
