Yes, it certainly looks like a good buy price as I picked some up at 1.8c too and some good support is building at the 1.6c to 1.9c region, however I urge caution. Insolvency is still a possible outcome when looking at cashflows. I'd like to know what they have done with the tax rebate. Have they kept (any of) it for operational cash? Have they used any of it to pay debtors? Have they used any of it to pay lease payments?(Note they are due monthly and attract 19% interest)
I assume the rental contract for Sydney offices expires 31st December? Are they leasing more assets? Are they selling any of the land?
You just never know with this mob, they have a tendency to fall asleep at the wheel.
They need cash for day to day expenses and to contract people to operate the plant for re-commissioning, unless they have struck a deal to pay the contactor with issuance of shares, again. We will get the December quarterly around end of January - the financials in that should tell us something.
