Ann: Annual Report to shareholders, page-17

Yes, and I agree with the natural aversion to dilution, Rhazzle... which leads me to a theory I have on what is going on in the background. It's obvious that SB, as the sole owner of third of the company, would not want dilution either. It's likely part of the reason why LNY has not become a full-time, bone fide miner. Bizzell is happy to have somewhere he can keep his money parked without the risk of dilution, that offers remuneration for little effort and plus a litany of perks. So, being a hobby miner, suits his agenda. With his ultimate agenda being to flog the company for as much as possible. And since he doesn't intend selling any shares, he couldn't give a hoot as to what the SP does.

The above breakdown of how lucrative the deal was for Maroon suggests to me that perhaps, SB was cognisant to Maroon's financial difficulties as way back as late 2018. My belief is that his choice of third party processor was based on a much longer term strategy. He used the value in LNY's gold to be processed as a means to line the pockets of the flailing private company. Why? So that it would be in a position him to acquire the mine and plant at a fire-sale price. Whether Maroon was in on the strategy (IF my conjecture is right), that's anyone's guess... but I suspect it could be the case. Now, if so, I don't see SB wanting to raise funds via LNY to purchase anything. Being the smart operator that he is, it wouldn't surprise me to hear that BCP (or some private entity of SB's) has acquired the Blackjack mine and plant. SB would then have the option to either sell the package to an existing public company for a higher price which he could then use as LNY's third party gold processor.

Whilst I'm at it, I may as well throw in another whacky idea. Peter Wright is the Exec Director of the struggling graphite producer, Bass Metals. He has $1m tied up in the flailing company that ran at a loss of $12m last FY and is, afterall, Bizzell's business partner in BCP. It would be no surprise to me if his graphite company pivots to gold. Many graphite companies have in the last 6 mths. Bizzell could potentially acquire a gold miner cheap (thru LNY's history of generosity to Maroon). If so, I see him buying it via one of his many private entities. He could then help out his business partner and mate who is in the red to the tune of about $800,000. His other associate Timmy would then have something to do since he is a geologist and CEO with not much happening in his life by way of work.. BSM could conceivably become a Qld gold producer and keep it in the family, so to speak. BSM could be LNY's forever gold processor and both companies could line SB's pockets forevermore. No dilution for Bizz or any of LNY's SH.... just bring enough money to keep a bit of exploration chugging along for both companies. Everyone would be happy (hopefully)... with the biggest winners being the man at the helm and his smiling mates all in cushy jobs.

So, yes, Rhazzle... all hunky dory . No dilution, but where is true SH value going to come from? The best LT holders can hope for is a takeover. That will be Bizz's ultimate goal but when? All we do know is that the excavators are about to crank up soon. There'll be plenty of pumping going on in Twitter land shortly and when gold bars start getting poured in Cloncurry and the SP will rocket and none will be the wiser!

AIMHO and please note that the above is pure conjecture.