Ann: Half Yearly Report and Accounts, page-5

"the money burnt becomes incidental. and the bigger picture starts to unfold."

You know that after tax npv of this project is $188m ATM right? Npv means net presents value ie what is this project worth today. We have already spent 200m+, which means that based on current assumptions, even if the mine goes ahead we are already 12m worse off than just holding the cash in the bank and not doing anything. The only opportunity here is if we find more stuff in the ground or copper goes way above 3.2usd.
In that context, I don't understand how you have reached the conclusion that the money that the management has burned is incidental. Feel free to correct me if I'm missing something here.


If you read the half year financial statements on page 14 the auditors specifically emphasised that there Rex might not keep going as a going concern. Which in plain English means it may go bankrupt within the next 12 mths.

If someone is planning to take over Rex it's in their best interest to wait for the company to go bankrupt and buy left over assets (mining rights/approvals/information) from administrators (ppl who take over the company when it goes bust) for something stupidly cheap.

My opinion only.