As per the latest quarterly, MNM has about $2.86m in the bank. The estimated exploration costs for the third quarter is $0.833m and Administration $0.29m (assuming the same as the second quarter), totalling $1.1m.
There are about 45m options (listed and unlisted) expiring on 30/04/09, with an exercise price of 25c. If they are in money by that time (which I believe will, given the very limited downside risk and huge upward potential and improving general market sentiment, MY OPINION ONLY!!!), they will bring another $11.25m to the bank account of MNM.
With these money, MNM should be able to conduct an aggressive drilling campain, both on the coal and phosphate fronts.
(AGAIN, MY OPINION ONLY) And once they prove up something the share price will move up, it will be much easier for MNM to raise new capital, either by placement, rights issue or other forms appropriate. So personally I am comfortable with MNM's financial position.
And as Rumchunk has pointed out, if director(s) keep buying on market, they must satisfy themselves with the financial position too.
Hope this help.
Cheers
MNM Price at posting:
0.0¢ Sentiment: None Disclosure: Held
