BAJ, not stops. The reason is this here. Doesn't sound that good to me but I guess they will find a solution. Btw, they accepted the board members from MK now. There must be some plan behind this otherwise Greenslade wouldn't have done that one would think.
Fernando, what's your take?
[UPDATE 1-Baja Mining warns on Mexico project funding
May 7 (Reuters) - Canadian miner Baja Mining Corp <BAJ.TO>
said its copper-cobalt-zinc project in Mexico will not be able
to proceed beyond mid-June unless it finds a way to fund cost
overruns swiftly.
Spending at the Boleo project, which it owns along with a
Korean consortium, is expected to be $246 million more than the
$1.14 billion estimated in 2010, the company said in
April.[ID:nL3E8FN8C6]
The subsidiary in charge of the Boleo project has only $41
million in cash, with another $24 million available through a
restricted intermediary account, Baja said. But the project
needs to spend $60 million in May and $75 million in June.
Baja is exploring funding alternatives for the project and
said it is in discussion with its project partners and third
parties. Further funds will not be available from its credit line
until an acceptable funding solution is provided, Baja said.
Baja said its new board, with three new members, will also
need to approve any new proposal.
"The company is concerned that an approval process in
regards to the potential funding solutions being investigated
may not be completed as quickly as required even if approved by
the consortium," Baja said in a statement on Monday.
Baja shares, which have more than halved since it announced
cost overruns, were down 5 percent at 39 Canadian cents in early
trade on Monday on Toronto Stock Exchange.
(Reporting by Aftab Ahmed in Bangalore; Editing by Sreejiraj
Eluvangal)
(aftab.ahmed@thomsonreuters.com; within U.S. +1 646 223 8780
X 5828; outside U.S. +91 80 4135 5800; Reuters Messaging:
aftab.ahmed.reuters.com@reuters.net))
