In response to Zav but on a new thread to reflect new subject matter.
Today's Quarterly stated the following;
"CURRENT CASH POSITION AND FUTURE ACTIVITIES At the end of the September quarter Exco is in a healthy position with Au$10.6m in cash, which ensures that the Company will remain adequately funded to achieve our key objectives for the foreseeable future. The Board and Management are nevertheless cognisant of the need to prudently manage discretionary expenditure in the current market environment. Future activities will focus on advancing the Company’s current development strategies, which of course include not only the construction of a stand-alone concentrator at our flagship E1 Camp (the subject of the current DFS), but also the alternative to supply ore to the nearby Ernest Henry Mine owned and operated by Xstrata. The recent drilling programmes have achieved their objectives in the context of both resource development and resource conversion. Drilling activity and expenditures are planned to reduce significantly, coinciding with the successful conclusion of these programmes and the onset of the impending ‘wet season’ in NW Queensland."
My read is that the burn rate will be dropping (as will be the case with most explorers / would be developers) and the focus will be on pursuing a deal with Xstrata as suggested.
Interested in other comments / views (even if you don't hold - Zav)
EXS Price at posting:
11.0¢ Sentiment: Hold Disclosure: Held
