For anyone wondering about A40 cost its 31m US, inclusive of all costs. A40 must pay interest as well as principal, VA must meet this or they are replaced.
The A40 is a secured debt against all plants, titles and tenements. In a secured debt, the creditor(gxy) can replace the VA and appoint its own. Galaxy can liquidate or replace A40 BODs should a40 return to trading. Eg of secure is a mortgage, the bank hold the title.
VA is effective in holding off creditors in non secured debt. The administrators are in charge but are agents for bods. Eg of non secured is a personal loan/credit card..
A40 tried to run off with the mortgage. Gxy (bank holds the title).
The above is my basic understanding of the situation.
For those of you trying to calculate q3, do include 15kt from q2 revenue at zero cost. About 10m. The production cost is now equal to h1 2018 but at sc6 instead of sc5.4-5.6. Recovery is 60-65%. SC is determined by customer request not HC opinions.
There's also 1mt of contaminated ore ready for processing.
The contract price went from 900 to under 600. Shipping missed in june. No point sugar coating, jv talk over 12 months. AT was blowing smoke.
Gxy invest 10% into a40 at 200m value. Gxy is now valued 200m below ajm 300m. What is the response?
GXY Price at posting:
$1.07 Sentiment: None Disclosure: Held
