Really strange as production problems were reported as solved, I think the reason for administration is that creditors started demanding payment on long over due accounts payable threatening to go to court and a lot of creditors started doing business on a cash only basis. IMC pumped $7.5 million in this month trying to placate the creditors but it obviously didn't work. The posts about work stoppage were probably accurate. It all depends on if the Administrator can work a deal with the creditors to delay payment and provide needed supplies while the company goes back into production. Of course, production could have run significantly under guidance in October with problems that are projected to continue. If that's the case, then it's receivership with the assets sold off.
Novo has reported huge advances in ore sorting technology that might eliminate the need for a processing plant. Supposedly, the ore sorters can detect and separate gold particles down to .4 of a millimeter. Over 90% of Beaton's Creek gold is .4 mm or larger as it is a very nuggety system. Novo might not even want the plant and certainly won't pay anything near what it is worth even if they want it.
MOY Price at posting:
5.1¢ Sentiment: Hold Disclosure: Not Held
