Ann: Tungsten Production to Commence from Tailing, page-5

re: Ann: Tungsten Production to Commence from... Hi Drasicjazz - my take is that that depends entirely on what sort of cap raising is done, to whom, and how.

If it's a private deal to a cornerstone investor who wants to hold for the long term (which imo is possible with III) it doesn't really matter, though in that scenario the company being well capitalised usually gives the market more confidence and it's better to be in early.

If it's a private placement to 'sophisticates' at an attractive price there is usually some grumbling on these boards (including from me) followed by a massive dump and a lot of 'churn' later. Better to be in after the cap raising since prices can fall to below the issue price at the raising. This happened with III at the last raising, which was at 15c.

If it's a placement to current holders at an attractive price, there are again two possibilities.

The first one is a 'pro rata' offer where you get, say, 2 for 5 or similar. In that case, if you want more shares and the price is attractive, you want to be in before the cap raising to increase your uptake. There is usually a cut off date on these offers, though I've seen that cutoff set in the past (ie. no chance to stock up prior to being counted).

If it's a placement where every holder can buy for up to a set amount, it is important whether the offer will be oversubscribed or not. If it is, I find it easier to buy on market from the other holders who are dumping to take their share, or wait till they dump. If it's not massively oversubscribed, take the offer.

It's hard to say which way III will jump. I personally prefer an x for y type placement, since this gives everyone a weighted chance. But this does (in the opinion of some, unfairly) advantage large holders.

The history of III is more towards 'private' placements with 'sophisticated' investors. That may not happen this time, since they will be after significantly more than a couple of million to further research and exploration. This cap raising is to build a plant and start production.

I'm also a WLF holder (hence very happy, though III opened my eyes to the possibilties of tungsten), and believe that this is significantly undervalued at the moment. The market has woken up to WLF, III and HAZ, another tungsten player, won't be that far behind.

Also, from my perspective, a marriage between III and HAZ might be made in heaven - HAZ has got feedstock problems and a completed plant, III has feedstock but no plant.

Exciting times ahead. This is a management that I feel generally does right by its current holders, and I sure hope they get the cap raising right.