ann out - sienna update, page-36

Does anyone know of any precedents of insurance payouts for similar situations to this? I have no idea on this nor who is at fault here (let's hope whatever has happened is covered).

While I like the hedge closeout idea to gain some term term cash its probably not going to be enough to repay the loan and fund operations for the next x months and a new tailings dam. Does anyone know the exact terms?

In a best case they really only need the cost of debt repayments for the equivalent of how long production is deferred for + cost of new tailing dam + cost of corporate/oh for period not producing + buffer less any proceeds from hedge book less any insurance payout. At 31 March netd debt was c.$10m but I assume they've burned a bit in last 2 months.

Just have to wait and see what happens with the CS negotiations - the extent they have RED over a barrel IMO will depend on what value there is in the hedging book and what insurance coverage there is and what 'outs' or clauses there are in the debt terms for situations like this.

After what looked like things were turning around on site with the new MD this is just terrible luck. While its probably going to be ugly when this resumes trading I wait for further info to clarifiy the situation.

Let's hope that if there is a capital raising that small shareholders are protected.