I think you guys are all looking through rose coloured glasses....

I think you guys are all looking through rose coloured glasses.

There has been no significant discovery to keep the company going beyond Pearce North other than a small lower grade find. Pearce North is about what 6-7grams per tonne, what they have found is about 1/3 of that. So do the numbers, what is the cost of developing, extracting and processing the lower grade material? It's got to be significantly greater than current costs of Pearce North and of course let's not forget the Bond Holder debt of some $13m which is due in Feb 2017 that is in addition to the trade creditors of ~$6-8m.

Now add the known short term debt figures of say $20m and the streaming debts to the current market cap and see what you get. After you have worked that out, scratch your heads and find a solution where the company can continue to make enough profit to service its obligations and reduce the bondholder debt without MASSIVE dilution. If you find that solution...please share!