re: Ann: Entitlements Offer Closure and Short... The way I see it, they have commitments such as:
1 - Next option payment for the Sierra Morena Property due soon (not sure of cost or exact timing, remember it may be around 250K)
2 - Commitments to drill 1500m in NZ by years end (lets say at all up costs of $400 a metre = 600K)
3 - Running a head office with guess of 60k running cost per month (MD @ 25K a month, Expl Manager at say 20k. Plus support staff, renatl of office etc etc) = 720K for 12 months
4 - Argentina Country Manager and crew costs, who knows what this costs but conservatively you could guess 25K/month = 300K annual
5 - Paying for the drilling they started in May in Argentina, if this is still going that would add up to a tidy sum
That uses up most of what they would have in the bank, and thats without drilling anything in Argentina next season.
We all pray for Polymetals delivering a fat check for Turner River, but with thier merger, Turner River would be less important to them, or at least they could delay it, so the money may not come in 2013, or even 2014 if the gold price drops.
So I still see a capital raising within 6 months.
Now I am a long term holder, and I always live in hope, but unless the drilling done in Argentina in May (and NZ if it was even done?) hit something that sets the market on fire, they will find it VERY hard to get more money I would think. Hence my statement. They will not be alone, lots of explorers in the same boat.
My thoughts only, and numbers are guesses too, but I have spent 25 years in the mining and exploration industry.
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