Ann: Appointment of Voluntary Administrators, page-44

so we made a profit in January..predicted $5 mil free cash flow for the year...yeah right. A smoke screen?...what happened in February?..never heard...we continue mining..is it profitable or is more money being sucked. One must assume the $1.5 mil is more debt..and the other loans are simply stacked up in the line of creditors. So we lose the $1.5 mil to operations and liquidators and the pie shrinks even further...can't see us rehiring and running the plant at 40,000t/a..so all the funds spent on the mill, increasing the tailings dam etc ends up down the drain...we spent the money before we earned it or had proven gold ready to mine, and spent the funds raised to pay off the Con Note along with it, and because of that we took on ridiculous loans at exorbitant fees and interest, going further into debt. And all this year POG has exceeded $1800/oz and A1 with it's promised higher grades has been mined.
Pity the shareholder action group got talked out of its action on the promise of something being presented to shareholders by way of a re-financing plan. It would have been very interesting seeing what could have been uncovered by a new board. There's a distinct pecking order now that sadly leaves the shareholders at the bottom of the heap. I don't expect too thorough an investigation because there's no money there to pay for it. They'll take the simplest route
Yes the staff laid off have no job and that is sad in more ways than one..but maybe they've at least been paid up to the present. Money spent on salaries etc certainly suggests so. Shareholders look to have done their money cold...and off21level is right, about implementing mining operations that are profitable..don't have to be a genius to work out 'money in' must exceed 'money out'. We could have been doing this from a no debt position if we had simply paid the Con Note when the money was put aside for it. Now tell me no one is responsible.