HI Js,I like to hear the background stories from investors and...

HI Js,

I like to hear the background stories from investors and think its pretty important to also know the companies history even though what happened in the past has little to do with what is happening today.

I got involved in HGO in 2016 when the cu price hit $1.90 which was close to their break even price before capital expenditure. As you would know they were in the middle of funding the cut back of the open pit at that time. They were funding that cut back capital expenditure with free cash flow from mining and when that cash flow disappeared they were between a rock and a hard place.

Fortunately the company didn't disappear and all the shares I bought from the institutions who were abandoning ship and smashing the share price down to 2.8 cents have served me well so far given the 1.5c fully franked dividend. Fingers crossed.

If we don't get back into production ASAP the future for existing shareholders will deteriorate pretty rapidly with every day that passes. Hopefully Lachlan can sort a way to get cracking on the UG before more equity is required.

Borrowing money in a high inflation environment at high interest rates if you can afford to service the debt has in my experience paid big dividends .

Whilst I would never borrow money to buy equities, I would likewise never sell equities to buy lifestyle stuff that can be financed. Two years ago I bought one of the cars on my bucket list and financed it at 5.1%. I sold it last week and have a decent chunk of equity to buy shares with because used cars today are worth more than they were two years ago.

I picked the next car on my bucket list up today and had to pay 8.32 % interest ( I definitively wasn't going to sell any shares) I love the car and with high inflation locked in for the time I will own it I'm pretty sure it won't cost me much.

I hope Lachlan gets on the fast track and pays whatever interest is necessary to get the UG show on the road. Given the fundamentals and forecast cu prices the debt will be gone in a flash and the interest bill will be a fraction of the cost of delaying to get a more favourable deal.