There are so many unknowns, its scary.Glencore off-take...

There are so many unknowns, its scary.

Glencore off-take agreement terms = ?
Hedging requirements (if any) of the lenders. I.e. does FAR have to forward sell any production?
Timing of cash calls = ?
How does the downturn affect the lender's security? Does it?
What happens if FAR can't pay its full share of any particular cash call (quite some time away I think)? What is the formula for adjusting the JV percentages?
Issue of ICC fees/costs/damages. How much and when?
What is FAR's feedback to Shareholders from the ICC decision? The position re COP (is there unfinished PE business with COP or is it all over?)
CNE's mooted sell down.
Meridian's, AG's and FJ's influence over FAR. These guys have taken a brutal and savage beating, as have most of us.

POO. I honestly cannot see it at these low levels into the foreseeable future. Its just not sustainable for any producer. FAR isn't the only one suffering - have a look at CNE's and WPL's SP. FAR is however the most vulnerable member of the JV. By a country mile. The others can ride the storm out, can FAR?

FAR really should say something to address these unknowns but, based on past performance, thats unlikely to happen and even if it did would anyone believe what they said? (PE = $1m and one year....) Some new blood is desperately needed at the top. Cath could remain in charge of Exploration and related activities but not run the show. There should be big pay cuts all round.

Now is probably the worst possible time to exit FAR. Its so bad that for me its hold and see what happens. Could it go belly up or we end up with the mother of all dilutive CRs giving us a similar result? Yes I think its a distinct possibility.

On the bright side, things can turn around very quickly and there is no immediate cash requirement.

Its a time for reflection, prayer, 40% proof and Jackson's Conquistadore especiales.