logical viewpoint, page-5

every time i read the announcement I get less worried.

This is my taking of what is going on.

Worst case- The process is unprofitable ===> Would pretty much lead to a 100% loss(we'd still have the silica assets and cash but the negative sentiment of the company would be horrid). I think this is very unlikely as the process itself seems to work, it just seems like the plant sucks.

Middle Case- Geelong plant is a dump and will never work ===> Likely the resulting scenario. If this is the case we may struggle to get favourable debt funding or any debt funding at all. Luckily, the company only needs 10-15 million dollars, so if worst comes to worst, the company could just equity raise 10 odd million at 10-20 cents per share as the suspension finishes and build the plant from capital, not debt. This would probably double the shares on issue, but if MHM gets its US plant up and running, the MCap will be 100-200mill+, so the blue sky would still be significant for current holders.

Best Case- Geelong plant gets up and running, aiming for slightly less tonnage but enough to prove viability of the procedure, Geelong breaks even or makes a small gain but more importantly we get financed at good rates from US lenders. If this is the case, the purpose built US plant will work fine, leading to a huge amount of blue sky.

I should be panicking, but I find this stuff quite interesting. I've been doing this for a couple of years now, but I've never seen a suspension quite like this one...