Ann: Quarterly Activities Report, page-89

It’s a big cockup of a quarterly report in my opinion, something is definately amiss. Poor form to bail from the quarterly call without answering any questions either. Not quite sure whats happened, I’ll need a few days to digest it and work out exactly what it is.
The biggest thing amiss to me is the FOB prices, shipping costs weren’t US$33 all quarter, and with half of the product being 64.4% lump I personally would’ve expected better prices.
Another thing not making sense to me is why ship off record numbers of ore when the prices were so bad? Why not stockpile a ship or two worth of ore at port or nearby, and then wait to ship until now or the coming months?
I wasn’t expecting a good quarterly, but I wasn’t expecting such a bad one either considering the hedge in place.

In regards to @Gharp and his assertions, they are wrong, in fact the opposite. The 2nd and 3rd tranches of the performance shares will be issued if there is a US$15 average margin, based on these quarterly figures the margin is currently
negative. and will hinder the ability to meet the requirements for the second tranche. But, I’m expecting the next 6 months to be good and quite profitable, so these coming profits may bump the average margin above the US$15 amount.

In 3 months Fenix has gone from a company I trusted considerably to now being quite sceptical about. Great start to your Chairmanship John Welborn. Hopefully the trust can be restored in the months and years to come, starting with some news on the so called ‘synergistic’ growth or whatever the heck it is, and the Chairman’s cushy share loan plan being canned.