Like Grant stated,management would not be spending like "drunken sailors " if they believed there wasn't something material on the way.

the burn rate indicate Elmer is either :

1. Not expecting to be around anytime soon because of a buyout

2. Expecting a production decision that will keep us affloat for a good while

3. just that, spending like there is no tommorow with no guarantee of things to come

1 and 2 would definitly make more sense but all we can do is hope at the moment