They are likely to be sitting on something huge that is a Tier 1 deposit. This is the type the majors like Newcrest, Evolution or Sandfire would love.
So to prove this system is as large as i think, then your choice is to have a large cornerstone investor put up $10million now or as a JV that may dilute us a fair bit with each drilling they do.
Or try and raise say $3million now and at least see with some luck maybe hit a couple of large intersections of mineralisation that will ignite the market and raise money much higher later. This also gives you some power with the majors in any deal you do. The risk is if you miss your targets and end up with nothing then the majors have the upper hand.
Either way having something with Tier 1 potential is better than not having it.
If they start some RC drilling it will give us an indication what lies beneath. All up good news they are going for it.
