It's all relative. They have very little cash and would've been raising to pay for the 200oz of gold or issuing 100m shares to settle the debt, and they still need to raise to explore. Either way massive dilution at a time when the sp is near lows.
They can now pay around $600k out of cash on hand and wait to receive the balance of the sale money. I'd say the $150k upfront was probably needed to ensure they could pay for the gold rather than dilute the company further.
LRL couldn't afford to explore in Canada without diluting current shareholders to oblivion. At least now they have some cash and don't necessarily have to spend $3m on an acquisition, it's a nominal figure at this stage.
The company has enough cash to get some results from Comet Vale to hopefully lift the sp prior to any future raisings. That's a positive imo.
It's all relative. They have very little cash and would've been...
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Last
0.5¢ |
Change
0.001(25.0%) |
Mkt cap ! $5.937M | |||
| Open | High | Low | Value | Volume |
| 0.5¢ | 0.5¢ | 0.5¢ | $22.24K | 4.448M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 2 | 2023657 | 0.5¢ |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| 0.6¢ | 2712045 | 3 |
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| Last trade - 11.00am 05/07/2024 (20 minute delay) ? |
| LRL (ASX) Chart |