Gidday bernie,15 cents ... hmm you maybe right. Reckon it'll...

Gidday bernie,

15 cents ... hmm you maybe right. Reckon it'll depend on M&A demand as previously mentioned.

Yeah, I'd say the current cash position would be now over $110M with the cash from that big ship coming through as hone mentioned, and other ships that have departed since then. I allowed $2.60 a tonne for interest, however I reckon that's even conservative. I must assume no M&As even though that's probably unlikely. The average amount of cash for this financial year, provided GFC2 doesn't show up, could be $161M ($92M July 2012 - $230M June 2013). As mentioned, I allowed $2.60t -- 3,000,0000t times $2.6t. That equals $7.8M in interest. Which works out to be only 4.8% in interest.

Just to add to boned's post. Management are reaping the rewards of not over promising. It must be so satisfying to deliver what you say. It gives you credibility for starters. It's the boy who cried wolf scenario. How many times do some of these guys burn themselves by over promoting their companies? Much better being realistic and stating realistic targets and trying to meet those targets. Seems obvious to me! It means that peolple will trust more in what you say ... obviously.

Also, regarding the debt. Chinese steel mills and merchants need a dependable supply. They are willing to put up the capex costs to get mining companies off the ground. HengHou Industries, offered the NIOJV USD$50M *INTEREST FREE* in return for 20Mt of product over 8.5 years. BCI also offered HengHou some options -- they weren't that cheap to exercise. The repayments are USD$5Mpa over 5 years for BCI. The first repayment was made last December and I believe the money from HengHou exercising it's options went into capex repayments as well. Which would mean that debt is now less than $10M (memory). As mentioned, because it's interest free, I gather BCI isn't in any hurry to pay back the last amount owing.