ouch

Well Cobar Resources went into liquidation today because it could not raise $8 million. It's Wonaminta silver project is about the same size as Kempfield but was more advanced in terms of production. Kempfield's cash costs are $16.50 an ounce, Wonaminta $18.50. At the current silver price this is the difference between breaking even and making a loss.

To develop Kempfield ARD will need to raise 80 million. Cobar's result does not seem to auger well for ARD.

I suspect that to remain a going concern ARD will need to raise cash in the third or fourth quarter. In the meantime I hope that they are conserving funds and seeking a JV partner.

This is forward looking stuff and might be wrong. Please form your own conclusions.