From memory a figure of $6.7M is reported as current liabilities in annual report. By definition that is debts falling due in next 12 months. As I understand it, extra overburden was removed to make future mining more efficient. Then gold production was below forecasts and so creditors came to some unpublished arrangements for payment.
So more accurately, AAM is bank debt free.
In August JW, the geologist and MD left the company. September was the best month of gold production to date..
Quarterly report shows Apr:457oz May:726 Jun:874 Jul:1112
Aug:1146 Sept:2100. Forecast production is Oct:2100 Nov:2610 Dec:3570; however management has made no announcements of current production, and I personally do not expect any prior to next quarterly report.
My estimate is that forecast production would give a cash surplus for Dec quarter of $4M and management expect $2M. Results will likely be between the 2 figures and cashflow should reduce current liabilities. Likely WATPAC the mining contractor is the main creditor, and it would seem to be in their interests to have AAM as a successful mine.
The new MD AL joined as CFO mid April. An SPP at 18c was announced 7 July to raise $10M which raised $0.7M. The SP has languished since.
MD JW left in August and Albert Longo and Bill Hobba who commissioned the plant became directors, so to some extent AAM has new management. At the AGM in Nov, the directors issued themselves options at 20c, so they have motivation to get the company in a strong postion
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