Well creditors want to recover the maximum amount of capital. Selling it for scrap metal is unlikely to yield much.
The only way to really extraxct value is to try get the plant operational and producing but clearly more funding is needed and was unable to be obtained. Looks like steeply discounted equity did not work. High interest debt would also be very risky for creditors trying to save the business and immediately selling it off. Maybe the best outcome is to sell the equipment to someone who has use for it which is the other potash companies. But it would most likely be steeply discounted. Better recovery than scrap though.
SO4 Price at posting:
31.0¢ Sentiment: None Disclosure: Not Held
