Ann: Trading Halt, page-110

Hi Loot, sorry but you (and others) are massively underestimating the cash burn here.

Look at the last quarterly: they started with A$97.8M cash. They spent a combined (A$65.5M) in operating/investing activities. The only reason they made it back to A$98.1M is because of that Canadian flow-through raise they did, which put A$66.1M in the coffers. But remember, that money cannot be used for production/corporate costs etc. It was raised for specific exploration/drilling and as a flow-through-placement, can’t be used for anything outside of that. So, without that FTS raise in early March, they would effectively be down to just A$32.3M in cash, less than what they spent last quarter just on operating activities.

This is the reason they are trying to raise A$200M at the current price levels - because they desperately need it to keep operating.

Like I said many months ago, NAL is going to be a bit of a cash oven. It sent two previous owners to the wall, and that wasn’t just because of the lithium price.



It really is that simple… people looking at this going “But A$100M cash, why are we raising?” need to read the financial statements a lot closer. Cheers