Q: Their recent quarterly results on Nov 9 was as expected, the sale of their Pipestone and Dimsdale projects seem to be proceeding on target (which should substantially reduce their debt?). At 0.95 per share, do you think you'll upgrade the stock ?
5i Research Answer:
Revenue in the quarter was better than expected, but the company still reported a loss. The asset sale will help the balance sheet a lot, and this should get it down to 1X cash flow in terms of debt levels. This should result in some more investor interest (note the deal is expected to close by year end). We will be more interested once balance sheet risk essentially disappears.