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I guess DR has seen an opportunity raising now, markets OK but a bit edgy still. Maybe best get investor cash now while the going is good, this will help with commercial funding I am sure. Of course could also be a sign things are going well and maybe they actually have debt funding in place already, not many thing POG is going South...
Gla
Valid points, Markyess.
It's certainly a thought, Prop - I would think with the proximity to production for Warrawoona and Otways about to go under the drill, I would think we'd avoid over stretching ourselves at the moment, financially, from a risk perspective and in terms f management focus.
If an absolute gift of an opportunity comes along, we might be less likely to wave it by if we have a $2-3m on hand (and supreme confidence it will add MCap in short order).
Palm my pants with silver bassguy..............!
I get what you meant......... :()
All the best (hold it ............. ? :)
Or even Chesh..
But the original still kinda worked
:)
Chest, most things loosen with cash...
:)
All interesting points; here’s another one - how about using those fresh funds for purchasing other projects?
It's a great question, Prop - and that is precisely why I want to see what Alkane do.
JimBL had commented on Hot Copper that he'd seen a since deleted article suggesting that Alkane will take their pro-rata entitlement in the capital raise and maintain their current position. If that's all they do, then it'd suggest we're going it alone for now.
I still have a question mark over where the remaining $10-15m of non-debt finance will come from - but it doesn't represent a significant enough investment to suggest a JV - unless we're looking to reduce the debt percentage. If that were the case then I'm not sure we'd have done the c/r so early.
More questions than answers at the moment.
If that's the case Prop..............!
blows my "tight as nuns lady garden" strategy for corporate action outta the window.......:(
All the best (to the better good though, I'm sure :)
So, with the cash-raise, would it be safe to declare that CAI views itself as an independent venture, without any fear of a takeover?
Quite interesting to read that some recent Australian gold peers actually saw their share price rise off the back of a similar capital raise exercise. I'm going to hunt down the specifics, but it'd be great to see Calidus follow the trend.
After all, additional equity is a critical milestone towards moving us closer to production and significant profit inside of just 18 short months!
Honestly Jim, I'm in a similar boat. I have a significant house renovation project on hold, pending full funding by (hopefully a smallish portion) of my Keras holding.
It has been a frustrating journey, but I struggle to see any obstacles in our way now - barring the global pandemic, and the abysmal performance in our country in managing it.
I don't know for certain, but I would be very confident in stating that we won't see any progress until Gnassingbe and his team are able to look Lamming square in the eye and have as many publicity generating photo shoots as possible. Were this deposit in Western Australia, the formalities would have been done over Zoom!
ATB
Mark
Wasn't directed a yourself JimBL............. :)
More so a note of the anniversary of the Bulk sample, and it's positive results...........!
All the best (I do recognise your (and others) time in this share, no offence meant ......:)
Hey, I'm trying not to be cynical and 9 years in here shows my faith in DR. But honestly, 6 years ago the project HAD the stamp of approval and everything seemingly has been put in the way of an actual license being granted since then.
Hopefully one day I'll wake up to an RNS telling me it's all been just a long bad dream - and I can finally get a return on my long locked away money!
Mark yes, As always, thanks for responding - wise words, dispensed with a greater clarity and fluidity than that of a hand sanitiser.
Remeber this...........!
https://twitter.com/kerasplc/status/1149285082479386625
All the best (10000t...........a year ago......... :)
I'm with you Jim. The big differences this time are that the project has been given a public stamp of approval in Togo and the corporate structure has now been set up and finalised ready for production. The fact that this is now a common knowledge, job producing project in Togo, pressure for momentum is not just coming from Keras Resources, but from the Togolese people too.
Covid-19 is what it is. We are insignificant against it and we need to wait for it to play out. On the positive side, there is negligible detriment to KRS whilst we are on care and maintenance and (likely) receiving financial support from the British government.
We've just got to wait out the current global challenge.
I'm still concerned that this issue has existed for 6 years before COVID came along. It was going to be granted back in 2014. We've heard every possible scenario going for the license not being issued and we still don't have it despite jumping through every hoop asked for, or blamed as being the hold-up (elections, mining code changes, environmentals, company restructuring, now Covid, etc etc).
Hi Prop,
The timing certainly interests me. There's still far too many variables at this point to come out with any definitive hypotheses. My rough estimates had us raising in 2-3 months time at ~65c/share. Let's assume that the talk of a $20m raise (at 51c/share) is accurate for now.
I wonder if the fact we do have some decent funding behind us, and off the back of a recent price hike actually influenced the decision to perform a raise - with clear evidence that it is not a raise under duress. With $25m in the bank (plus the illiquid equity assets we hold from the conglomerate rights sell off), it will make discussions with lenders that much easier.
I would anticipate that we'd need somewhere between $10-15m in additional non-debt capital to fund and commence production, assuming a 70-30 debt ratio. Are we gambling on a re-rate down the line that would make a further raise less dilutive?
It will be easier to make some assumptions when we see what Alkane do (or don't do) within this raise.
With knowledge of how Dave Reeves and this BoD operate, I am currently assuming that there are one or two aces up the sleeve - that we are as yet unaware of - that will make this raise make a whole lot more sense in short order.
I daren't speculate on the news much further at the moment. The good thing about the ASX, we'll only have to wait a couple of days maximum to get a much clearer view of the picture.
Markyess, I would be honoured to hear your thoughts on CAI's fund-raising; my opinion is that it could have waited until the share-price was considerably higher - we still have a few million.
I know, and I share your frustration and enthusiasm for progress. Unfortunately, given the UK's poor performance in managing the virus to date, it's not going to be quite so straight forward as traveling on via a 'cleaner' lay over country.
The BoD have a huge amount of skin in the game with this one, it's in their interests to move as fast as they can - but there are external factors that are currently prohibitive.
My actual point is for someone to go to Togo via France and get on with the project. Covid rates are very low there. If not now, then possibly a years delay on this while we wait for a possible vaccine.
I don't think there's anything to report with the preventative Covid measures in place. I don't want us to be wasting cash on an RNS that says 'still no news guys'.
It would be nice to see RL as active in interviews as Dave is, though.
Possibly with as$25m in the account it looks better for debt raising. When is russell going to move this manganese mine along? I think it is time for an update.
Suggestions it will be a $20m raise at 51 cents
A vital step in the process. I was expecting it a little later, but maybe with $6m in the bank and the recent positive price run, the time is right.
The values, levels and timing intrigues me. I have a number of questions (nothing concerning) but will keep my counsel until we know a bit more, from or after the next news release.