swan gold (aka monarch) is a turkey, bankrupt with no income. it has less cash than i do, and old assets with blanace sheet values but NRV. it owes India Resources (another of the chairman's bunnies) approx $3.4 million. if territory think they'll get 100 cents in $ for their debt they appear seriously dillusional. negotiating for 100% isn't the same as getting it - all the creditors will be negotiating.
the beneplant at $4 million - with a recovery at 50% (or 55%) they might make a bit of money once its paid off but project NPV must be near $ZERO. the stockpile is not "free dirt" and as they draw off it they start paying for the production costs it. at 50% recovery production costs double, so at a sales price of $110 / tonne fines how much will they make $5/tonne, $10/tonne ? last 1/4 they produced at $70/tonne.
with the pits only able to produce at 58% fe fines / 59% fe lump at approximately 2/3 of forecast production they are way short of actually doing what they claim to be doing. and that's why the P:E is less than one - NOT MANY TRUST THEM BECAUSE THEY EITHER DON'T KNOW OR THEY DON'T DISCLOSE !!!!.
