Ann: Quarterly Activities Report, page-26

All good Idle. I agree that cash position won't look so bad once the middlings are finally sold, but.. until they are, their cash position is not strong considering the issues they face, i.e Andy Well being a drag and Deflector still not using the U/G ore which is higher grade.

I tip my hat to DRM for building the 2 projects, the big issue for me is that they grossly underestimated how bad it would look when the market finally understood that Deflector would barely make any money for almost 9 months.

As for the next 6 months, well, without doubt the March quarter is going to average at best, even June... as I mentioned above, they will be mining U/G, but not processing the ore, U/G mining is expensive compared to the open pit, which is lower grade, hence my view that they are going to tread water, perhaps earning enough to pay their debt repayments.

Out of interest, if DRM only had Deflector, with the cash/debt position it has, what valuation would you think fair for the company? (as I basically view it as such anyway). Sure they have the extra project near Andy well which may well provide feed for the plant, but that is not going to cheap to develop.