follow up volume, page-75

Hi Oz,

With all the board room intrigue, I missed your post. If you go back to the October 31 quarterly, at line 1.16 they report proceeds from borrowings of 9,096 (AUD). At line 3.1 they report an initial drawdown of 9.4m USD with 0.4m USD principal repayment leaving outstanding debt of 8,687 AUD.

There have been no further reports of proceeds from borrowings and the movement in the outstanding debt appears to be exchange rate adjustments. I'm pretty sure they still have 21m (give or take a few hundred thousand in principal repayments) at their disposal.

The pity of it all is that we have to piece the story together report by report. To work out the true picture we have to monitor their loan movements, forecast revenue from their lifts, monitor spend on the project, and separate capex from opex. The 5B doesn't do this at all well - hence my surprise when they said they had Baragatan covered. How easy it would have been for them to have spelt it all out months ago with a simple cash flow forecast covering the whole development period. With a clearer view on the cash remaining at the end, there might just have been a bit more optimism around this stock and, dare I say it, a higher sp to match.

Communications... selling the good story... still one of the key gripes and something that needs to be put right.