I still hold AJM, will add to my holdings if the price slides and am confident it has a bright future, but it really has been like we're wading through sticky mud the past year or so. The mess with Forestry permits at Tabalong, the timing of the Mt Webber and Delta deals right on the cusp of a resources downturn, it hasn't been pretty.
Now according to the December 13 Half Yearly Report we're due to make a payment of $4.1 Million to Delta in September 2014. When the Delta deal was done we were told these instalments were expected to be funded through proceeds from the mine, but as far as I can tell since, the best the mine has done is barely break even. The latest Quarterly even reads like it's probably run at a loss.
Added to this I'm still not convinced we're actually going to see any cash in the bank from Mt Webber this Quarter or the next…if Atlas have been selling at close to break-even or a loss, i'm still not convinced we're going to see a profit considering we have additional Management and finance obligations. I look forward very much to being proven wrong on this count though!!!!
I agree that our partnerships and relationships being developed in Indo should stand us in good stead for the future and the opening of Mt. Webber has been a milestone achievement, I'm just anxious to start seeing a positive bank balance through production, not asset sales, placements or credit raisings.
All in my opinion only.
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