Agree its going to be difficult. The other problem TAM has it that they are going to really struggle to raise new equity IMO. I suspect even the long standing relationship they have had with Hartley's in Perth must be strained. Looking at ASX releases over the years, Hartley has raised these guys trucks loads of $.
So how would they fund the underground? From operating cash flows? Given cash flow has been well below what originally projected so far, it must mean a delay to underground construction.
Not sure how much bank debt capacity TAM have, but with a plant running below design capacity, with such major design flaws, it is probably a small facility.
Or they hedge the gold! If they do that, then we know they are snookered.
I'll wait to read the update. No need to action yet..
I own zero shares.
TAM Price at posting:
0.0¢ Sentiment: Sell Disclosure: Not Held
