That is my interpretation of the event also. Under DOCA, Lithco transferred to Austroid as secured asset to repay the debt. KM and Austroid had full control of Lithco during this stage. They took the risk for the purported upgrades to the processing facilities (it was already operational before VA, how much more to upgrade?) and started shipment of spods at virtually no profit.
Once DOCA is terminated (unable to implement is a better term since it never actually fulfil its implementation requirement), MGN should ask KM to return the secured asset in its 'original state'. If MGN wants to do it the hard way, they can request for the plant to be fitted back to original condition and spods shipped back to the mines. Alternatively, all these could also be valued in monetary terms, which MGN should have the upper hand in the valuation.
Of course, all of the above are my interpretation, and assuming MGN is a dutiful duty administrator.
A40 Price at posting:
8.2¢ Sentiment: None Disclosure: Held
