Ann: Request for Extension of Voluntary Suspension, page-20

You did ask me to take the piss out of you, and frankly the situation is so dire for investors satire seemed more appropriate than humour. Regardless of how things went pear shaped, all investors should be focussed on capital loss risk, which is where your blinkered focus on eventual rectification of technical issues was most unhelpful to those deliberating about stop loss selling or averaging down with more imo. Not that you are responsible for anyone's actions... there was enough commentary spanning positive to negative opinion/risks to allow everyone to make well balanced, if personally biased decisions.

What went wrong must be laid at the feet of multiple people given problems crossed multiple areas and decisions. Some problems should never have been, or not for long such as DMU build issues. Some problems should have been identified much, much earlier like tailings disposal constraints given water mounding was identified back in 2010 as a key risk. As soon as water drainage didn't play ball alarm bells and rectification should have started immediately not many months later. MSP problems are expected, especially with low and intermittent WCP con production. Zircon fe-staining issues must have been hidden from off-takers to some extent, and obviously hidden from investors, and may well be a fatal flaw... full stop? Low grades, over-estimated recoveries, underestimated costs were all known by investors but overlooked as immaterial in a high-priced final product bull market last few years so no excuses there.

The guys at the top are the real villains imo. Produced a DFS that looked well short of realistic variables or appropriate risk management, then took too long pretending problems were minor and fixable when some such as tailings constraints and zircon quality clearly were major and long term (for production, costs and revenue). They spent way too much time and money on Tanzanian assets of questionable value and zero short term relevance. Proof will be in the pudding here... if STA comes back to market with a CR for creditors instead of selling Tanzanian deposits for an equity injection, then demonstrably the deposits and/or deal structure renders them near worthless ($15M compo to move some people from a small deposit that hasn't and possibly never will actually start ).

Reality is the horrible flat trend of HMC production running <50% of nameplate as quarters pass by (as per my post https://hotcopper.com.au/posts/71594456/single). Keep in mind June'23 Qtr 26kt HMC was announced with the last CR and Luke saying how most problems were already fixed, about to be fixed, and ramp up was looking good for a plan as per Shaw's following report. The need for a large equity injection given negative margins is a given, but what scares the hell out of creditors and shareholders is the lack of improvement over the last 6 months outside a few days here and there running at capacity without downtime (eg Dec update). Regardless of whether a new Coburn LOM plan can actually ever reach positive cash margins steady state, shareholders will are almost certain to take a bath on re-listing recap well below 9c, if it happens at all.

Too pessimistic maybe, but you are a long-time dead and adding unreasonable optimism only injures yourself (and maybe others)...