Sivart, I've only spent literally 10min looking at this just now. I did hold it some time ago. I will take another 5 min to comment, though I'm sure it wont be welcome I know some people find it helpful to read all views.
Overall I would say that it with an enterprise value of roughly $80m, it looks expensive considering the level of distress evident, even just in your own post.
I have to agree that the comment about a share buy back is bizzare and throws some doubt over everything they say. I mean just back at the quarterly they said they will try and get non amortising debt and use extra cash for development. Why the change? More importantly surely its just not really forseeable enough to talk about? How can they get a 5 yr bullet bond anyway? That goes beyond the life of this mine from memory doesn't it? Investors not that silly. Even if they were, surely they would restrict any cash coming out of the company in the circumstances.
I'm not against debt myself but it does add risk. Here the seem to have a chunk of debt that for whatever reason is close to on call. They don't give a new maturity date do they, now they have been forced to raise stop gap capital. With that debt there, there's a chance this stock goes to zero in the circumstances.
Perhaps I'm underestimating the chance production improvements save the day. I lived through a few of the disappointments on that front. Including where they seemed to state recoveries were at plan and they just weren't. Perhaps a bit conditioned. New management now or something? Don't know. Anyway, that's my five minutes.
PGI Price at posting:
3.8¢ Sentiment: Hold Disclosure: Held
(20min delay)