Hi Fulang,MRC hasn't needed US$1mil they have needed up to...

Hi Fulang,

MRC hasn't needed US$1mil they have needed up to US$14mil.

Why would anyone lend money to the company when we have seen the former CEO selling his shares, Edwards cannot buy on market these shares to help MVC depart the registry, I am supportive of him providing the capital to MRC in the form of equity, the long term value of MRC is there they just need to resolve these few issues they have had with processing the island strands then the company can get back to generating its free cash margins.

Shareholders have all had the same rights to take part in capital raisings or to apply for shortfall, but many don't. This is why AU mining has increased its ownership in MRC.

The facts are that MRC would have been better off spending the money on the processing facility and processing the inland strands mineralisation rather than mining the beach grades.I see more value in spending US$1mil on the new cyclones and water supply rather than investing in the beach mining campaign. The beaches have been over-mined over the past few years and the OPEX to mine the northern beaches is almost to the point of being uneconomical.

I cannot remember if MRC has 9 years or more of inland strands mining based on the current mine plan (up to 2.4mil tpa) it would be in shareholders' interest to focus on getting this right and hiring or entering hire purchase agreements for any additional fleet required, this should have been the companies focus on the price of oil (diesel) significantly increased 2 years ago.

Would you agree with me on this point?