Banro Corp. fka BAA

[Congo Mining]

You've got to add the premium paid to the strike call price.

$1300 + $96 = $1396

Remember that gold was trading around 1300 at the time.
Also that was when they needed to be sure they could make their Feb. 28 interest payment of 8.75 million (aprox).

So it was a good time to sell the calls.
Theoretically, they would loose dollars over $1396. but then you have to discount the time value of the cash flow to the date of sail also, so lets say over $1410 they'd be in some theoretical red zone.

This just demonstrates the flexibility that BAA will continue to have in the future. And it will be magnified once Namoya is fully operational.

The previous CFO (the one before Jennings) was buying puts instead of selling calls.
Which cost them money...around $500,000 if I recall.
Jennings seems to be the better trader.

To answer your question...yes basically your correct.
They'd still get paid the $1300 or $1400 and also pocket the premium they were paid.