Ann: NCZ to Reduce Secured Debt by Over 50% Through US$25m Raise, page-19

This stock is very simple IMO. It is a pure play on one input only. A$ equivalent Zn price (and of course production volume)

The FAB is a draw on cash, however it is a pre-payment to a liability which increases equity value.

FAB sweep + Varde debt was a concern on FCF. New equity removes a large part of the fixed amort. Now NCZ only needs to pay a portion of what it earns to MMG to pay the FAB (ie variable outgoings and therefore less chance of financial distress).

Good to have instos on board that see good value at 15.5 - however this may provide a mental cap to accumulators until the new shares are placed around Dec-20

@nut the $30m is a rounding error in the bigger picture.... (agree its relevant but only at the margin over the mine life). 5cent movement in the Zn price changes things a lot more than the outcome of that ruling. 30m over the 1.2 billion shares (pro-forma) doesn't move the needle

I like this stock for its simplicity and its pure leverage to Zn prices (large equity value swings with the right A$ commodity price input)

At these levels I will keep accumulating. Zn suffers weakness at its a different story.