Article titled "Testing the waters for others" on Pg 44 of today's Aust Financial Review.
From that article;
"At the smaller end of town, one company looking prime for a capital raising is copper play PanAust, which is due to pay back an $US80 million Goldman Sachs JBWere loan in February - extendable to July. The problem for PanAust is that all of its free cash flow must go straight to another syndicate of banks owed $US185 million, led by ANZ, until its Phu Kham project reaches financial close sometime early next year, leaving it very little time to find Goldman its cash. PanAust has already begun negotiations with the lender and expects to get an extension to July for the Goldman loan. PanAust had $US14 million in cash at the end of September, as well as $US20 million in undrawn debt - meaning management either needs to sweet talk the banks in a way that OZ Minerals has so far failed to do, or go to the equity market"
PNA Price at posting:
10.4¢ Sentiment: Hold Disclosure: Held
