Hi Spid81,All this blahh blahh, about Lindi Jumbo project.Did yo...

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Rossi70

3,985 Posts.

1323

05/03/24

17:13

Post #: 72756421
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Originally posted by spid81: ↑

HI Sparecash,

The $6mil left undrawn will most likely relate to the slow progress of the company, they were expecting to have the plant finished in November, We also have the balloon payment I believe is due to Jinpeng once the plant is finished (US$713.6k) = $1.1mil AUD, We also don't know if the (US$1mil) $1.5mil AUD back up generators have been paid for or if this is COD. Just these two items are $2.6mil without any costs associated with construction of the processing faciltiies.

* I believe WKT's option to pay the completion milestone in shares has now been canceled.

Then we have WKT interest bill, which was running at $400k per month, eating up more of the remaining $6mil that was left in trench 1, then we have the corporate costs, ASX listing fees, director fees, and the significant increase in staff costs once those workers arrive on site.

Here is the ASX announcement stating the generators were expected to arrive in October (September 2023 ASX announcement) with an additional cost of US$1mil. with it being an additional cost, is confirmation it was not factored into the original US$20mil facility. As I stated previously, WKT had a US$400k contingency plus a backup US $5mil. the generator cost will be taken out of these remaining funds.

I form the view that WKT is quickly running out of funds from Tench 1 and 2 once they commence the ramp up of production. When you consider WKT has also delayed the commencement of mining, yet to secure those contracts for services, ect. its not going to take long until both facilities are exhausted. That is why I claimed it was better to have BMCG's backup funding, Sadly BMCG elected to terminate after the first anniversary.

I hope this helps.

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Hi Spid81,

All this blahh blahh, about Lindi Jumbo project.

Did yo see, what this Electrician is doing.

He is feeding all the power cables and Instrumentation cables on to the cable tray, that are required for the MCC.

Not long still WKT is mining.

IMHO.

Regards

Rossi70

WKT Price at posting: 11.5¢ Sentiment: Buy Disclosure: Held
15 Upvote

0 Great analysis

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