KG
OZL is 100% NOT in default in any way...nor will it ever be. Banks about to renegotiate LT term facilities on 200bps over libor for 2-3 year terms dont foreclose or they would be stupid in this case. Admin risk whilst not zero has fallen from 10% to 5%. Just my view. PH is 95% complete thankfully.
The current $405m cash position + undrawn current facilities of $227m + Net OP Cash Flow $400-600m between now and end of FY2009 means the company will have $1-1.2 billion in cash access to cover all current debt service and repayment.
This may be $800m entering 2009 if the zinfex facility is repaid this year but maybe its rolled into the new mega facility too. I cant be sure of that though. Best to be conservative and say the company will have aprox $800m during FY2009 if facility rolled into one. Thats really great news.
Coverage ratios ranges are 4-8x till mid year CY2009, 10-15x FY09, 50-60x in FY10
EBIT: is tight this year and slightly negative, but in 2009 > $300m and FY10EBIT = 600m +
Sleep well people.This means NO RIGHTS ISSUE REQUIRED !!! Not even close really. Unless they call in the debt this year without sufficent notice to OZL and OZL will have a great legal case of unconscionable conduct and other legal argument too. and by the time to case makes it ot court, PH is up and running and CF positive.
Peace
- Forums
- ASX - By Stock
- does anyone know?
KGOZL is 100% NOT in default in any way...nor will it ever be....
-
-
- There are more pages in this discussion • 3 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add OZL (ASX) to my watchlist
Currently unlisted public company.
The Watchlist
LU7
LITHIUM UNIVERSE LIMITED
Alex Hanly, CEO
Alex Hanly
CEO
SPONSORED BY The Market Online