Ann: Quarterly Activities Report - December 2023, page-13

they burnt $15mm cash in the qtr, and have only $7mm left. yes they have stopped mining but you can bet your bottom dollar they still burnt some more cash before then and obviously it is still burning some cash, just with the mine etc even on C&M. i would think cash is basically zero now or close enough. yes, there is still $66mm in net working capital, but keep in mind that may not be reflective of market prices (given what has happened with end markets, and what happened in the most recent quarter); they may not be able to easily liquidate much of this (unfinished inventories etc), especially if most of it sits in SL where they are now basically fighting with the government.

you cannot touch the $41mm in rehab trust, obviously, even if it sits in Aus, there is no way the lawyers would let you touch it as if/when SL takes the mine back or claims it back they will sue for this rehab cash - which contractually must secure the rehab work - so i doubt it is ever seen/valuable at all to Aussie shareholders.

that is not to say there isnt value here but it seems to me the next move is to go into administration before it gets sorted out. how exactly is SRX going to raise money? who would lend to them in this position - against what assets (none unencumbered outside SL)? who is going to fund Sembehun (or buy it) when the SL government is playing the hand theyve chosen?

i really hope it ends better than this but im afraid this seems quite busted at this point...