Ann: Production Update, page-58

First 58 Last

Share
Profile

Follow
rvajna

8,803 Posts.

641

24/12/19

18:48

Post #: 42123329
Share

Originally posted by Sjlasx: ↑

This announcement was a bit of a surprise and way out of left field.
I understand I will get bashed for saying this, but it is the last thing AJM needed right now.
Higher production costs and unexpected maintenance. Lower shipments than forecast, which is particularly concerning when it appears that Ganfeng has been the likely major customer this quarter and will be reimbursed the 30% from the prepayment. Also given Ganfeng's Mt Marion SC6 pricing, I can only assume the price for AJM will be at the contractual floor.
I cannot see how they will meet the February interest payment.
The shortfall from the rights issue is unlikely to be placed.
Nemaska has just fallen over after being unable to secure a financing package. This is particularly relevant considering it provides a barometer for the appetite of financing distressed debt in the lithium sector.
Given today's update I would have to question whether the company is solvent.
I think best case scenario right now for holders would be for AJM to negotiate a debt for equity swap with current note holders at perhaps a 75% dilution. This may sound excessive but take into account removing the debt would align the market cap more closely with enterprise value.
I genuinely wish you all a Merry Christmas.

Expand

Still trading so there is hope. For how much longer who knows? A trading halt and it could be all over.

AJM Price at posting: 5.0¢ Sentiment: Hold Disclosure: Held
1 Upvote

0 Great analysis

Reply

Top Stories

CHN

Chalice's Gonneville noted as 'strategic project' by WA but nickel prices still too low

AI leader NVIDIA has shaken off the latest scare once again. Can it keep rising?

Pacific Smiles receives new takeover offer, boosting valuation of shares by 50 cents each

AZY

Antipa highlights 33% increase in contained gold at Minyari Dome

BUB

Bubs Australia forecasts full US FDA market access approval by October 2025

There are more pages in this discussion • 263 more messages in this thread...

First 58 Last

Add 1MC (ASX) to my watchlist

(20min delay)
Last 2.9¢		Change 0.000(0.00%)		Mkt cap ! $7.852M

Open	High	Low	Value	Volume
2.9¢	2.9¢	2.9¢	$1	46

Buyers (Bids)

No.	Vol.	Price($)
1	15180	3.0¢

Sellers (Offers)

Price($)	Vol.	No.
3.2¢	19412	3

View Market Depth

No.	Vol.	Price($)
1	15180	0.030
6	486408	0.029
2	331428	0.028
2	134223	0.026
3	210000	0.025

Price($)	Vol.	No.
0.032	25036	3
0.033	374797	2
0.034	333567	5
0.035	23800	1
0.036	378239	5

Last trade - 09.59am 17/09/2024 (20 minute delay)

1MC (ASX) Chart

Ann: Production Update, page-58

Chalice's Gonneville noted as 'strategic project' by WA but nickel prices still too low

AI leader NVIDIA has shaken off the latest scare once again. Can it keep rising?

Pacific Smiles receives new takeover offer, boosting valuation of shares by 50 cents each

Antipa highlights 33% increase in contained gold at Minyari Dome

Bubs Australia forecasts full US FDA market access approval by October 2025

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

Ann: Production Update, page-58

Top Stories

Chalice's Gonneville noted as 'strategic project' by WA but nickel prices still too low

AI leader NVIDIA has shaken off the latest scare once again. Can it keep rising?

Pacific Smiles receives new takeover offer, boosting valuation of shares by 50 cents each

Antipa highlights 33% increase in contained gold at Minyari Dome

Bubs Australia forecasts full US FDA market access approval by October 2025

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News