mining licence, page-2

Discovery

Sorry I can't answer your question but maybe some of the miners on this forum may be able to chime in.

I did try to call the office for clarification but DH is off for the xmas break (back on the 6th)

I did mention some months back that I expected stage 2 to kick off around April as delays always happen during this phase with any company.

That being said, I am also disappointed with the lack of communication around the EIS delay.

With respect to actual results delivered management have a good record of under promising and over delivering. The opposite could be said with respect to their timeline forecasts.

I am fine with plant delays due to supplier issues etc. I'm not so fine when delays are at ABM's end and are not clearly communicated to the market at a very early stage.

I would like to think that this is a small blight on a pretty good record to date, but management do have to understand that everything they do with respect to timing and missed deadlines goes towards credibility of future forecasts.

This also raises the question as to cash flow now that there is a delay. As I mentioned previously, if you extract mining and exploration from the quarterly's then the admin cost is circa ~$500k per quarter, which means that ABM could easily cut back costs until the ML comes through.

I personally am hoping that there is very little to no further drilling until a ML is granted. This will ensure no market pressure due to possible cash depletion.

Once the ML is granted and stage 2 begins then cash flow is a non issue. Until then, and given this delay it would be prudent to watch the pennies and keep that bank balance healthy.

IMO, if they do this than a two/three month delay is not a big deal.