Hi mal, The advantage EQX has in this current environment is the...

Hi mal,

The advantage EQX has in this current environment is the high cash at bank and very low quarterly cash burn. Not all developers have that cushion to be able to play out time if need be.

The IO sector is in a shake out phase and if prices stay around $70p/t for any extended period, IMO not only will developers find it extremely difficult to find finance, but current producers above $70p/t on the break even cost curve will find it hard to stay afloat. The company may need to treat water for a while if $70p/t is here to stay, 2015 could get ugly for IO hopefuls with low cash on hand.

IMO what needs to happen is EQX needs to be fair with shareholders and release it's feasibility studies. It's been 8 months since the mining permit was granted, and 16 months since the scoping study was completed.

If management has been waiting on the Mining Convention to be released so it can plug in the financial parameters within that, they could release the feasibility studies with a caveat that the information that relates to the Convention has been assumed and is in line with other recent Conventions signed by the ROC Government.

The Mining Convention is overdue and I'm sure that, initially, the company stated the feasibility studies would be released mid-year. The Mining Convention relies on the ROC Government so that's understandable, but the feasibility studies don't as far as I understand.

At least with the feasibility studies released, shareholders can look at the different types of development scenarios and assess their likelihood of attracting finance etc.

Good luck!