After having more of a time to think along with conversations to my contact list this morning I am happier that there are no attaching options. Buying on market may have been due to the free options attached in which case those shares would be dumped immediately as the options attached are basically risk free. So it is encouraging to see Bell Potter buying on market.
PROS 1. More than $20 million in cash now to build the total resource to God knows how much. My target would be >2M ounces Au by year end if they start expediting a third drill rig. 2. Can start popping holes in other undiscovered areas now without too much worry about the bank balance. 3. Antimony - hone in and focus for swiss cheese drilling now. Can we break into top 10 resources world wide? 4. Can we poke a few holes in Big Springs some time this year for Antimony? No need to sell in the near term now in my honest opinion 5. Argonauts and Hartleys are out - don't let the door hit you on the way out. 6. Broker may* actually support the share price and Bell Potter have a better rep than Argonauts and Hartleys. I'm not really familiar with Cygnet except they have been involved with other smaller stocks (TEM, HMG and MDI recently)
NEGATIVES 1. Raise of money could have waited until after this initial drilling and could have raised much higher with less dilution 2. Huge overhang to come especially if Bell Potter clients are only in it for pips. I don't think they are with their reputation in my honest opinion. 2. SPP is a token gesture? I would have like to see it up it to $4 million to reward holders 3. Significant Dilution - almost 15% increase to register and 150 million shares to come out. 4. Funds not being used to refurbish/upgrade the existing mill.
If money is there it is always prudent to get it because we don't know if the same market conditions would be different later in the year. If this releases the recent brakes on the share price then I am all for it!
We have to understand that just over 2 months ago this was trading under 5 cents and to raise this amount in such a short amount of time definitely is a win and shows the level of interest with Warriedar.
All systems go let's be having those drill rigs kicking in full time now.
Gold Price increasing not to mention that Antimony price is in overdrive.
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