market capital, page-77

Market cap @ 32c = $63.6m. Company owes $36m, has negligible cash not needed, really), so there's an EV of $100m. It's a small company. One day, debt will be paid off, and will be a cash cow- for IMC, probably, as they will take it over before then, I suspect. The market might take the $6m raised off the share price- potential 10% loss. Play into IMC's hands. Dunno.

debit, MOY is not the same company as when it was Wedgetail. An article on Wedgetail from 2008 (to read, put the link into a new window):

http://www.theaustralian.com.au/business/mining-energy/waiting-for-wedgetail/story-e6frg9eo-1111115443972

Past management was going to make it a moly company. Brian Rear has mined Nullagine, and put things into action. Years of capital raising to make that happen, and dilution, and fall in POG, has brought the mining company to a $63.6m company, but that is comparable to other gold companies at its production level. Another similar company might be UML, but I suspect they will not be fully funded for Dargues unless they sell assets, and then can get a funding package- but only with a capital raise and prove up economics (my guess). SUM is under the same funding pressure. Small companies, but at least MOY is fully funded, and if it needs more capital, IMC will probably give it more in dribs and drabs.

There is not much wrong with MOY now. IMC knows it. Paying down project finance will help, but MOY is a long-term story. As the share price falls- if it does- it will be value proposition. Pre-consolidation share price @ 32c = 1.45c. 10% new shares to come.