Bit of a mixed bag. The step change in production in December...

Bit of a mixed bag.

The step change in production in December flowing on into this quarter is great. So is renegotiating the bond to free up the $1.8m cash security.

The Emeco delay is disappointing but not much they can do but hold on and wait until April. The desperation on taking up the options early was a bit unsettling. I suppose if they can convince their own directors and related parties (ie Ariadne) to take them up then problem solved!

While they mention the 20% rise in copper prices they make no mention of how much this has helped close the "gap". No mention of hedging and the price they are currently getting. I think in a previous announcement they said they had hedged 90% up to February at levels from $5,900 so they havent enjoyed all the benefits of the current prices. I understand the need for security of cashflow in their position but I think they have probably missed out on some of the cream.

The promised land is on the horizon in December 2017 but we still have to survive the march through the desert until April !