Hi Reggie Of course MZM will convert the oppies to FPOs The...

Hi Reggie

Of course MZM will convert the oppies to FPOs

The oppies are at 35c and current share price is above double that.

They have 2.3M oppioes so they need $800k to convert them.

They already have enough money in the bank to easily do that.

I doubt you will see them doing it early for two reasons:

1. anything could happen between now and exercise date (ie war between US and N Korea, a stock market plunge, anything)...so it would be unwise to fork out money early and take on that unnecceasary risk

2. MZM have been pretty clear that they are going all in for this exciting high purity manganese play at Butcherbird. As part of this strategy they are selling off none core assets ...which is pretty much everything else. You will see by the MZM announcements that they sold a lease to MAG last week for $350k ..with additional payment if things progress. No doubt they will use this money and money from future sales to fund the $800k conversion of DNK oppies without the need to dip into existing funds.

We are right smack bang in the early stage of the exciting times of DNK...LSE listing, offtake agreements, finance to see this thing get built...I presume MZM still hold a very high view of the project (which is why they punted on a very big investment in it) and presumably they think the SP will be far north of 70c down the track..so will keep it as a key investment...and sell the non core assets well before exiting DNK