Actually they needed cash immediately because they didn't raise funds months ago when they should have, as we have been saying repeatedly.
Secondly, in my view the terms do not demonstrate confidence in Volts strategy, that's marketing spin. Even goodoil acknowledged that he expects the loan to be repaid. And the lender has security over the asset now until that occurs.
This funding was desperate and last minute. Don't get me wrong, management had to go down this path because they were out of options but let's not kid ourselves about what it means. This loan simply kicks the can down the road prior to another capital raising in the near future.
By the way, who exactly do you think VRC is ahead of? GPX, WKT, MNS, BKT and KNL are all more advanced. Interesting to see GPX get sold down today, it's now 50% of VRC's market cap.
I wonder what @meerkat thinks of this Tanzania development and VRC's new con note.
VRC Price at posting:
2.8¢ Sentiment: Sell Disclosure: Not Held
