Sparktastic I tend to agree with you. Another chunk of gold in...

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delta charlie

515 Posts.

38

11/07/23

09:44

Post #: 68720868
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Originally posted by Sparktastic: ↑

Hard to say.

CYL is only moderately (& temporarily) cashed up after a recent share purchase plan. If you deduct the >$12m in debt and the fact that they are still a loss making enterprise their available cash balance isn't that impressive.

Then take into account that it's becoming a lot harder, as each month passes, to run CRs, CYL may we'll decide that they are in no position to acquire more non-productive assets.

Fact is, liquidity has just evaporated in the space of a couple of months. All of these non-productive 'miners' will be $hitting themselves, wondering how they will continue to fund opex heading into '24/5 imo.

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Originally posted by Sparktastic: ↑

Hard to say.

CYL is only moderately (& temporarily) cashed up after a recent share purchase plan. If you deduct the >$12m in debt and the fact that they are still a loss making enterprise their available cash balance isn't that impressive.

Then take into account that it's becoming a lot harder, as each month passes, to run CRs, CYL may we'll decide that they are in no position to acquire more non-productive assets.

Fact is, liquidity has just evaporated in the space of a couple of months. All of these non-productive 'miners' will be $hitting themselves, wondering how they will continue to fund opex heading into '24/5 imo.

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Sparktastic I tend to agree with you. Another chunk of gold in the ground would be nice but you dont get much credit for it if you dont have a plant to treat it, nor the credability of turning other deposits into healthy cashflow. Secondly the deal is structured in the favour of CYL (JV) so i cant see much demand from anyone else to take out NML position. As such, no rush there I would think.

Ask the same question beore venturing back into WA or if Tasmania was working well and you would probably get a different answer.

Regards
DC

NML Price at posting: 1.9¢ Sentiment: None Disclosure: Not Held
1 Upvote

0 Great analysis

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