It's 5 minutes to twelve and Wiltails is a hail mary shot to turn Wiluna's fortunes around. Cost and schedule blow outs in commissioning Wiltails and cash hemorrhaging from operations. Wiluna is known to be a difficult project to operate so no surprises. The ~$36M revenue from concentrate sales this calendar year makes it look like it's profitable, but more like its lost ~$18M from operations over the last 3 quarters. Thats about $65k/day. That doesnt include capital or payments for interest, loans and leases. The $8M in cash is boosted by a $6.6M debt facility, so net is less than $2M? The need for a debt facility raises red flags.
Lots more questions than answers, but IMO doesnt look good. On current trend there wont be a next couple of quarters. DYOR, what would i know.
WMC Price at posting:
20.5¢ Sentiment: None Disclosure: Not Held
