They had 44 million cash plus about 2 million worth of gold on hand - looks to me like they blew about 6 million worth of cash this quarter - that takes us back to where we were about 12 months ago re cash position.
The merger presentation hasn't told us how much it will cost to get the CRC mine up and running - some posters on the CRC site mention 70 million but I can't be sure.
Furthermore even though its a near term mine they haven't said when they expect to start production so God knows how long they will keep buring cash.
The other thing is they keep talking about lots of exploration potential - this is great except that it costs heaps of money to drill etc so any excess cash from production is going straight back into the ground.
So goodbye dividends.
Overall I'd say its pretty disappointing - but having said that the share price may go for a run given both shares have been held down for a long time - who knows.
UML Price at posting:
13.5¢ Sentiment: Sell Disclosure: Held
