Hi HongkieKIN could take on a partner however I cannot see this...

Hi Hongkie
KIN could take on a partner however I cannot see this happening in the short to medium term. I think they will want to keep drilling and expanding the resource first, which will then flow into a higher NPV for the project. The estimated capital cost of the Project per the PFS is a modest $76 million, so personally I don't think that they will have any problems financing the project when the time comes - they could do a mix of debt and equity, maybe 60% debt, 40% equity. Assuming 40% equity financing, this would be say $32 million, which is not a lot in the scheme of things. Hopefully by this time KIN's market value will have risen to well North of $50 million, so a raise of $32 million would not be unrealistic. Of course, there is lots of water to flow under the bridge first, including lots of drilling, DFS etc. There is also the very real possibility that another player may try to take KIN over or merge, especially if their drill results surprise on the upside - there are numerous miners/developers in the Leonora area including St Barbara, NTM Gold and GMD and some corporate action is bound to occur at some stage.