I was looking at that closely last week. The 3x quarters of funding includes the Nebari Tranche #2 debt facility (10m USD). The interesting point about that is the offsetting liability creeping up on the horizon of $15m which I think is due in June '25 - the deferred payment portion of the Mt. Oxide acquisition. Others have posted that it falls due early next year (Jan/Feb) but I think that's not correct. I have been thinking that the Nebari facility was earmarked for this deferred payment, but realistically they will likely be tapping it late this quarter or early next quarter and then rely on positive cashflow in the first 5 months of '25 to cover the Mt Oxide payment. (ie the '3x quarters of funding' at end of June was 15m cash/15m debt facility, at end of Sept. the remaining '2x quarters of funding' will be more like 5m cash/15m debt facility). Rough numbers I know, but the point is explained.
Will be looking at the Sept. quarterly very closely - would be good to see the cash burn throttled back a bit from the previous report to stretch it out a little further.
There is a pathway and time to get this done successfully, but they will need to get the ramp up spot on. It will be a very impressive performance by management if they thread the needle and pull this off - the SP will react in kind.
As a side note, it's interesting that $45m was paid for Mt Oxide
alone last year when Copper prices were much lower - there is value in this somewhere, it's just a question of who ultimately gets to benefit from it.
(20min delay)