So of the 405,000 carats that MUS brought to the table only 29,463 carats were actually sold which means only 7.27% by weight were sold. Average price per carat of $A24.21 or approximately $USD18.50. Gross proceeds of $A713,456 or just under $USD550k.
Seems like that article that mentioned $USD500k was correct.
While I understand that figures of 405k*$USD60 = $USD24.3m was too optimistic, never thought Mustang would get a paltry $A713,456. Always though a low end would be say $USD4m and anything over $USD12m is an achievement.
To think the brokers BakerYoung broker report used $USD60 per carat from Gemfields to value Mustang Resources... boy oh boy do BakerYoung look like a bunch of incompetent idiots...well at least the analysts Alastair Murray and Dirk van Dissel are anyway. Funny analysts has the word 'anal' as this is where these two analysts got their numbers from.
For the words "Company has gathered valuable market intelligence for future tenders" is an admittance that a bunch of incompetent amateurs were at the helm of the company. This is equivalent of a car dealer not knowing that a Hyundai should be in the same category as a Bentley.
With the $8.5m facility used plus cash ...Mustang would have spent at least $10m to get the 405,000 carats which yielded $A713,456.
In the Quarterly it says Mustang has $A736k cash left as of 30th September. They will get another $A713.5k. Say $A1.45m to round it up. Means a capital raising is on the cards.
Going to be blood on the streets when this comes back on
MUS Price at posting:
10.5¢ Sentiment: None Disclosure: Not Held
