Hi Stirer,Yes, you are right, the Gemcorp loan is high-risk and...

Hi Stirer,

Yes, you are right, the Gemcorp loan is high-risk and has offered WKT a matching interest rate of 19-21%. Yet I don't believe your story about WKT looking for a cheaper funding path when they already have Wogen's US$3.2mil working capital facility which can increase to US$8mil, (interest-free) or BMCG's US$9.3mil which also has no interest payable.

Wouldn't WKT be better off using these facilities rather than going through a new loan process?
I see the new loan as a red flag, which is similar to my view as to why WKT hadn't drawn down on CRDB's US$20 mil loan.

BTW, I am yet to see you or anyone else explain why WKT has US$25mil from Gemcorp, US$3.2mil from Wogen, US$10mil BMCG, 16.88mil AUD shareholder placement, plus the additional US$4mil WKT is looking for from the Tanzania lenders, wasn't the project meant to be fully funded when with CRDB's US$20mil loan? Yet WKT has fully drawn down on Gemcrops loan (US$20mil), all the funds from the shareholders placement have gone (US$10mil) and we have US$700k already being used out of BMCG facility.

This amount is significantly higher than WKT's previous claims that US$20mil was only required to complete the project when they claimed to be fully funded after they secured the conditional CRDB's back loan, yet we have you and the pump crew claiming the project has had no blow outs? how is this possible when US$31mil has already been spent?
Where did the extra ~$10mil go too?