Member Info for HarChris

Yeah I’m invested in Shanta Gold now (SHG)

Yeah, many will start to be worth the risk soon but Riot's still my fave.

I hope you didn't get too caught up with Corz, my in and out looks a good result now! 35% down today currently and heading lower - market not buying B Riley's proposal?! ;)

Blast from the past right there. Think it might have been Tiger16 that first pointed me towards Argo!

Mara gone into the 3s Chae ;)

I don't Joe I'm afraid. There's still a small chance that they somehow get out of this and there's also the potential for something to occur like with Corz that temporarily pumps the price (and gives you a 7p exit) before coming back down but the odds aren't with you IMO.

I will forever find it strange that the posters who soberly, politely and respectfully highlighted the risks here and predicted the current situation are disliked far more than the ones who, with very little reasoning behind them, confidently called for the share price to double, treble, quadruple.

Nobody has lost a penny because of my analysis and opinions, others will have lost considerable amounts because of the rampers.

I've dedicated a fair part of my life (over just the past few months) to a sector that I am invested in. Much of my discussions on here have been bitcoin and sector-specific, not Argo related.

You just sound like you're hurt for having lost a lot of money, it's not my fault I'm afraid.

I'm invested in eight companies, I talk about the others on telegram and other mediums.

I'll be just fine.

I agree there could be another twist in the tale still but you're talking about a 1000% pump back to 30p, I think that's unlikely.

I don't think they'll do a placing at this level either. I'm not sure how you can simply say 'they will wait for the sp to get around 30p before even considering placing' though like they have all the time in the world to selectively make that decision.

I'm not sure when they'll run out of money, Peter seems to think next month though. I shan't argue with the CEO.

Their problem right now, first and foremost, is that they need ~$30m to make it through the next twelve months, possibly a tad more. The debt markets are off limits and with a market cap of $19m that's evidently not possible.

They can't raise anywhere close to that now without also giving away most of the business. Previously it was just a run-of-the-mill placing needed.

'HC - like your posts, but if you really suggesting argo problems are because the didn’t raise at 30p then you have been hitting the egg nog a bit early.'

Well in the October RNS they claim the $27m (alongside machine sales and amending NYDIG agreement) from the proposed placing would give them 12 months cash runway.

And yes I am suggesting that they wouldn't be on the edge of bankruptcy now. Mistakes are numerous and have played their part but lack of funding when they most needed it is what's sending them under.

I called for a placing numerous times from June onwards at anything from 30 to 35 p. There were many holders on here resistant to it but back in June/July/August it would have been easy to raise $30m from IIs and private investors and of course whilst it's tempting to look back with hindsight even at the time it was clear that things could easily get worse.

Textbook failure to raise funds whilst it was still possible... when the debt markets aren't available you're only as strong as your share price/market cap.

This is the least of their problems right now, an irrelevant rns this morn.

Appreciate your responses Hexam, thanks

@Hexam thoughts on what's happened to the $39.9m I mentioned a few posts down?

'I can see this sort of thing being viable to cover short term liquidity issues but ARB's liquidity issue is ongoing and indefinite i.e. it lasts until BTC recovers enough which could be anything from a few months and never.'

Exactly. From what we knew Argo should have had a cash runway til about April and then they would have had somewhat of a negotiation position to sort something (from now) that would give them further liquidity for another, I dunno, four or five months. It wouldn't have guaranteed survival but it certainly would have given them a fairly decent chance of it

To get to within a month with no funding is a total failure and leaves me doubting any sort of deal (that doesn't leave their future prospects permanently damaged) is extremely unlikely.

Any chance the hired derivatives trader has gone and blown tens of millions?!

And are you still sure cash burn is as little as $2-3m a month? In September Argo sold 801 bitcoin for ~ $15.9m
In October Argo sold 578 for ~ $11.6m . They also sold $12.4m worth of machines over the same period. That's a total of $39.9m.

Then we get told there will be insufficient cash to support ongoing business operations within the next month... I know they paid off the rest of the Galaxy loan but that's only a fraction of the amount of funds they've recently received. Where's the money gone?

In your example Hexam you suggested say $27m up front and in return an agreement to hand over 150 a month. I'm saying if bitcoin difficulty started soaring or there were some other difficulties at Helios then Argo wouldn't even be producing enough to hand over that many.

Lots of things that could go wrong to merely save a couple of K per bitcoin.