Tembo want to see a return and can’t appear to be predatory as it affects future deal flow and market perception / fund co-involvement in stories they participate in, raising cost of capital, crucial part of mining business
Mark is a project finance expert, he’s actually financed large projects, in difficult to finance areas
I think those are reasonable assumptions
My guess is that in the next few months:
1 - Mark will reach at least indicative or non-binding financing terms, election is out of the way, hopefully no more roadblocks
2 - After seeing finance secure Tembo will bridge us to binding financing, on terms that do not affect us minors unfavourably (particularly after the way the initial Tembo financing occurred)
3 - Of course Tembo will be fine with this as they don’t want to build it (I assume) and Huayou will WTFU (W = wake) and make a financing offer or buy the company
Alternatively more in country roadblocks and we get the good old series of last minute dilution events giving us no future upside
I’m going to go with the positive version as I’m stuck on the ship and my seatbelt is jammed
NZC Price at posting:
19.5¢ Sentiment: None Disclosure: Held
