Mongolian Mining Corp. (MOGLF)

[Hornby]

This thing keeps grinding down, and P/B is now about 0.1, which is way lower than average coal companies. We realize there are no guarantees regarding coke coal prices going forward, or certainty on demand from China. On the other hand, it appears work is finally underway to build a railroad that MMC can leverage once in place, which is a major issue for their cost to deliver their product, as well as volume capacity, yet the market appears to not be pricing this in.

I wonder if the market is concerned this company will go bankrupt yet again. They have about 600 million dollars in total debt, which it appears they can service the interest on (which is fairly high levels of interest rate), but can they really ever pay it down? That's the only thing that concerns me, other than of course the current state of the share price.

Thoughts?