re: Ann: DEBT FUNDING AGREEMENT SECURED AND D...
Philduc
Agree with everything you say exept for point 2. "That they will fund it without further Capital raising."
The well costs $5.5 million dollars. They have received $2.5 million with an option for an additional $2.5 million. They have $600,000 in cash. That's $5.6 million. They WILL need more money.
Having said that, I liked the part in the announcement that said: "The lender has a first right of refusal to participate in an equity fundraising offered during the term."
I also believe that GDN will likely sell some WCU shares which come out of escrow on 3/3/10. And if everything goes well, then the options should be exercisable by November 2010.
So a cap raising is possible but not necessary in the near term. Personally, I bought some more today. The chart looks fantastic. A break above 6 cents should start the next run IMO.
GDN Price at posting:
12.0¢ Sentiment: Buy Disclosure: Held