this gm is important and your vote counts!, page-7

Col, re-read the post by Gero a few posts above this one - Post #: 6235229

EXT does need the money soonish, by end of 2Q I reckon. If it is left too late, the share price could be manipulated ie driven down, by the unscrupulous, as EXT will have no choice but to raise no matter what the share price is.

It is better to do the cap raising earlier than required rather than leaving it to the last minute when you have few choices. It may be true that the DFS will be +ve and the share price rises later on - but if a cap raising is seen as a certainty shortly after the DFS, then that will have a -ve effect.

The cap raising is only slightly dilutionary and at a very small discount to market. While a private placement can be seen to be less than ideal, it has the advantage of being quick, easy and relatively low cost to the rest of us. It gets the issue out of the way and done with, so that when the DFS comes out followed shortly afterwards by the mining licence approval, there will be no distractions. EXT will have cash in the bank.

It also has the (minor) advantage of reducing Rio and Itochu's holdings, making a takeover from a third party somewhat easier.

FWIW, I'm voting for the resolutions. I'd rather have this relatively minor issue out of the way and done with before the main event. You'll have to make your own mind up on the matter.