operations update-mamahak, page-14

Nannook, if you are right then the company has made an serious error in their release.
It is very clearly stated that the contract is on the basis of FOB Mamahak jetty.Please reread the release and confirm that is what is stated therein.

For those that are unfamiliar with such trading terms, FOB means "free on board" meaning the seller delivers the coal on board the vessel, arranging the loading at their cost.
The reference to Mamahak jetty identifies the location where the coal is to be loaded.
It clearly does not mention Mamahak stockpile as it should if that was where the ownership transfers.
Under FOB conditions for barging or shipping, ownership transfers as the coal crosses a point above the vessels rail, and quantity is normally determined by draft survey.

If the sale was to be at the stockpile, then it should be stated as being ex-stockpile or as received at the stockpile.

The use of such terms is standard practice and used to ensure all parties fully understand the conditions that apply.

Nannook, if you are certain that the release wrongly describes the sales conditions as FOB Mamahak jetty, then I suggest that either yourself or one of the other shareholders contact the company ASAP to clarify the situation and have the update corrected if necessary, otherwise it is very misleading.

The shareholders are entitled to know the exact conditions under which the sales are completed as it is most relevant to the cash flow.