They are looking at 7% finance from the Angolan Banks, 10% for working capital, IDC around 12%. These would be great rates in Australia let alone for an African project.
In any case with such a quick payback period the interest rate becomes less material.I think a mix of equity and debt finance is a good idea especially if it's to expand to stage 2. Lindsay mentions equity finance, I'd guess this would be a supplement to the debt finance. I think it would need to be done at a premium to the current SP which is just a result of the CR. Somewhere around the 9.5c we were trading at before the suspension. That would help restore confidence & make us less reliant on debt.
One of my concerns with our present market cap is we could be subject to takeover activity. Having another cornerstone investor (as well as HK Jason) would go a long way to preventing that.
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