Hi Hm, As you can perceive from my posts I totally agree, the underlining questions
here are what is motive & what is intent?
Motive: If ABU's BOD believe there motive should be "self interest",
thereby the incorporation of the cover ones ass principle at the detriment of share holders
because of the movie scripted comedy of lies, deception & errors they likely sanctioned
with D.H. & would therefore be connected to, by smoke screening & added spin, that would imply the shutting down Coyote & Old Pirate operations when there in clear indication at the current AU-POG that operations are profitable & enhancing free cash flow, & by doing so therefore would result in amputating ABU's only way of deriving revenue, then they would be making another huge mistake & underestimating investors intellect, by way of future accountability being sought as the BOD would have put us all in a corner whereby we as investors may have to take actions we would have preferred not to pursue!
Intent: Should be & hopefully now is, to increase revenue & future optionality with incorporation of justifiable economics principles, thus increasing the share price by way of attracting new investors & return on investment to those invested in ABU, justifiable economics dictates that if you can maintain & or increase revenue with residual profit, through the continuation or upgrading of the business you are currently engaged taking into account risks you should do so! ( NO BRAINER )
So lets hope reality prevails with the rise in the AU-POG & that the BOD & with the new
addition of MR Brett Lambert at the helm (whom thus far has appears to be accomplishing much & doing a Stella job resulting thus far in the reflection seen in the s/p rising from its low of 0.024c-0.05c ), realise ABU very likely has through the rapid rise in the AU-POG & the change of sentiment in the whole gold sector have the option to continue operations, thus have some very responsible decisions to make & the basis of those decision should be to reinstate investor confidence through the incorporation of thus far the key missing ingredient being integrity.
Mining O/P & processing 24/7 with re-leasing Coyote, the environmental shut down rehabilitation costings /obligations should only be a primary concern if ABU should be intent of buying Coyote, a re- lease because its profitable to do so with the current AU POG
(especially when you consider the capital that was used to refurbish the plant) should be a no brainer, given ABU should be able to have its cake & eat it, meaning re- lease for 12 months-derive revenue INCREASE FREE CASH FLOW but don't commit to a purchase,
thus leaving ABU's options open, to review the AU-POG over the the following 12 months.
There are other potential positives with such an action.
1) The obvious rise in investor confidence thus the rebounding of the s/p.
2) Derive & increase ABU's free cash flow to potentially upgrade the O/P pilot plant to
either run in conjunction with Coyote or have ready to utilise in the event the Coyote gold processing facility lease is only extended & then relinquish back to Tanami through the
lease expiring, thus ensuring ABU can continue to derive revenue, pursue exploration &
likely plan for buccaneer development & or what ever optionality reveal itself from ABU's future exploration & the IGO-ABU joint venture in regard to Bumblebee exploration.
(food for thought at current 6.4g p/t being recovered from Coyote & O/P, the onsite at
Old Pirate gravity plants recovery of say 80% conservative results in a tailing grade of
approx. 1.28g p/t, as alternative potential future ore feed for buccaneer being nearby & would be higher than the average bulk mining heap leach plants ore feed of 0.7g p/t!
3) It is strongly rumoured that NST is wanting to acquire the Coyote gold processing plant
ABU is currently leasing, if true ABU would retain what is already potentially a very good negotiable leveraging position that only amplifies with the rising AU-POG.
By re-leasing ,utilizing & deriving profit from Coyote for the additional 12 months,
ABU could negotiate with NST, as it has first right of refusal on the purchase of Coyote & Tanami tenements in conjunction with ABU's Hyperion gold deposit a joint venture or an
in farm agreement with NST.
In sort if ABU can maintain & increase its revenue through 24/7 operations at Coyote, increase its free cash flow & continue to encourage in farm exploration agreements while implementing its own exploration program & await IGO's second round of drilling at Bumblebee while retaining its future optionality be it planning for a bulk tonnage heap leach plant at buccaneer & or negotiate with the likes of NST then it would almost undoubtedly
encourage new investors -new money & drive the share price.
imo-dyor
gltah-salt
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