Agoracom

Hi Fish,

"The management has hit all targets so far and the deposit is proven and all the permitting etc is complete."

I hate to burst your bubble Fish, but the project is not permitted. In fact it has become the subject of a comprehensive study by DFO. Personally I think that given time, the DFO will give its stamp of approval. However, time is exactly what AUA does not have. The financing they are currently seeking, may not be forthcoming before the comprehensive study has run its course. At the same time the company needs cash to keep up with its payments on the long-lead items ordered last year. The only financing option is another share offering at an even lower price than the $.95 financing in late December.

As to management hitting all targets so far I beg to differ. In a market with rising moly prices management failed miserably at marketing the merits of the project and attracting sponsorship from institutions, moly end-users or industry peers. As a result the company currently finds itself in a precarious financial position with no offtake agreement, no JV partners or strong backers of any kind whatsoever.

Just a few thoughts that may go a long way in explaining why the share price is comparable to that of an exploration play rather than to that of developer that has already taken the first steps toward mine construction.