Vanadium - General/News thread, page-160

Not panicking at all.

And yes its quite possible the world will look very different in 18months...Issue is we will have to finance before being able to build the mine...The terms of any loans and the dilution due to the (too) low share price will therefore come into play very soon.

It would be a shame to have to raise $60M USD (that is over $90M AUD) or 40% equity (as mentioned by VR8) at a share price of say 10 to 15c....That is well over 100% dilution. Also we might not even be able to get 60% debt in current conditions making the dilution possibly even worse. not to mention that interest rates on any debt might well be in the double digits. That might not seem like a big deal now looking at the massive potential profits, but if there are significant delays during construction or cost overruns, that type of thing can really come back to bite!

I understand there are no easy answers to these problems, hence my frustration. We are quite possibly going to see out upside significantly reduced by the current conditions. Again very frustrating for long term holders. But obviously general market conditions are risk to every investment.

But maybe I am being overly negative? Any alternative scenarios that are rosier?

Don't get me wrong, I still think we will do well here. But a possible 10 or 20x might now only become a 3 to 5x.