The short answer to your question about more dilution is that Hawke’s Point will not be content with owning 19.7% of Rox.
It’s not enough, and not even a blocking stake with Hogan and his Q Gold mate, jointly owning the same.
Nor do Hawke’s Point have to be content with 19.7% because they have the numbers on the Board, in my opinion.
Instos got $26m and retail $1m worth of shares in the recent CR – what does that tell you?
Rox is on the Hawke’s Point road map.
They are the third and least developed of their Australian mining companies, and that provides insights (but no certainties) into the future.
Hawke’s Point has made dramatic Board changes in all its three Australian mining companies, Capricorn, Ora Banda and Rox.
Then they invested in all 3 companies.
But, their stake in Rox is too small and we should expect them to increase to 30%.
A low share price at this development stage facilitates ownership changes that Rox and Hawke’s Point want.
The final iteration of the share registry with a large placement to Hawke’s Point is likely after the FID, due in about 12 months, irrespective of whether Rox needs the cash.
As with Capricorn, that will probably coincide with a debt facility organised by Hawke’s Point to fund construction.
Capricorn: June 2020 cash position $45m CR to instos for $32m + $100m debt facilities to Macquarie Bank.
After that, we will see explosive share price growth imo.
Rox looks like an excellent 12-month + investment to me.
Meanwhile, the Rox share price is very low for its stage of development.
There should be stunning metrics from the likely assumed price of gold in the DFS.
A lot is happening next year that can lift the share price in the near term and outweigh the likely dilution at FID.
Rox is cashed up to achieve all its milestones listed on page 15 ahead of time, plus a discovery is always on the cards.
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