The quarterly will be all important. If they used a lot of the $58m they had at the end of May, remembering they used $49m in the month of May, and then only raised the $33m apart from what the contractors received instead of payments, then the debt holders will be very unhappy.
I for one, will not be surprised to see the debt holders ask for a re-evaluation of the assets by an independent party, to see if they are above or below the magic 2 number for the debt covenant. If below 2, then I don't expect to see it trade again. According to AGO the debt covenant is looked at twice yearly, so it should be in the half yearly report anyway, plus they could tell us in the quarterly if they wanted to.
Can anyone remember what the price if Iron ore was on the 30th of June? If it was much higher than present, then I wouldn't be surprised for the request of re-assessment of the assets valuation. The valuation of course being done using the value of IO in the ground over some type of time average price of IO, that will be commercial in confidence, or if it was in an AGO report, I've never seen it.
AGO Price at posting:
12.0¢ Sentiment: Sell Disclosure: Not Held
