Edit: only would be an extra $15M mcap if Eyre hits -- so 45/222...

First 47 Last

Share
Profile

Follow
duke348

694 Posts.

102

24/10/23

11:17

Post #: 70501851
Share

Originally posted by duke348: ↑

Think about this guys - if we don't hit anything on these campaigns we would probably be trading at 7-8c. A CR comes along and now we need to raise for more exploration.. so possibly $3 Million @ 5c (60M shares) or $5 Million (100M shares) -- that's a fair bit of dilution as well.

Scenario 1:
Let's say our current trading at 13c values LRV @ $10M market cap.
We buy Hillgrove worth $20M for $8M ($108M Shares) + $2.5M cash (35.7M shares) --- New Mcap = $30M (222M SOI)
SP = 30M/222M = 13.5c

Scenario 2:
We hit nothing, trading @ 8c = LRV value = $6.2M
We CR $3M @5c for more exploration (60M Shares)
SOI = 78M + 60M = 138M
Value??? $10M
SP = 10/138 = 7.2c

Scenario 2 could easily be worse if they raise more eg $5M then we would have 178,000,000 SOI and valued at $12M Mcap would mean a SP of 6.7c. These are just pretty high level numbers, but I think unless we hit pay dirt the reality of this small cap is we would be raising more for exploration soon anyway. We run the risk of not finding anything.

If we say Eyre hit and our Mcap goes to $25M again like the REE announcement (SP 33c) --- add this $25M to the $30M value of Scenario 1 -- our SP becomes $55M/222M = ~25c only 8c off what is was before.

Remember we all have the option of buying 2:1 at 7c as well to minimise the dilution.

I dunno, could be way off here but I think it might be a blessing in disguise.

Expand

Edit: only would be an extra $15M mcap if Eyre hits -- so 45/222 = 20c SP

LRV Price at posting: 10.5¢ Sentiment: None Disclosure: Held
Upvote

0 Great analysis

Reply

Top Stories

STK

Strickland Metals jumps on mammoth gold-copper-silver hit over 300m width at Serbian Rogozna Project

CC9

Chariot locks in high-potential drill target at Black Mountain, one of the USA's largest lithium landholdings

The Rising Tide: How institutional adoption is shaping the future of crypto

CU6

US FDA awards Clarity Pharma's novel prostate cancer PET scan imaging compound fast track status

WHC

Whitehaven to sell 30% of Blackwater coal mine to Japanese JV partners

There are more pages in this discussion • 77 more messages in this thread...

First 47 Last

Add LRV (ASX) to my watchlist

(20min delay)
Last 35.8¢		Change 0.028(8.33%)		Mkt cap ! $104.7M

Open	High	Low	Value	Volume
33.0¢	38.0¢	31.5¢	$2.261M	6.448M

Buyers (Bids)

No.	Vol.	Price($)
3	11000	35.5¢

Sellers (Offers)

Price($)	Vol.	No.
36.0¢	11644	1

View Market Depth

No.	Vol.	Price($)
4	201543	0.355
11	374075	0.350
4	119528	0.345
9	490835	0.340
2	150000	0.335

Price($)	Vol.	No.
0.365	36164	2
0.370	186000	5
0.375	154374	6
0.380	368407	7
0.385	276219	5

Last trade - 12.04pm 22/08/2024 (20 minute delay)

LRV (ASX) Chart

Edit: only would be an extra $15M mcap if Eyre hits -- so 45/222...

Strickland Metals jumps on mammoth gold-copper-silver hit over 300m width at Serbian Rogozna Project

Chariot locks in high-potential drill target at Black Mountain, one of the USA's largest lithium landholdings

The Rising Tide: How institutional adoption is shaping the future of crypto

US FDA awards Clarity Pharma's novel prostate cancer PET scan imaging compound fast track status

Whitehaven to sell 30% of Blackwater coal mine to Japanese JV partners

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

Edit: only would be an extra $15M mcap if Eyre hits -- so 45/222...

Top Stories

Strickland Metals jumps on mammoth gold-copper-silver hit over 300m width at Serbian Rogozna Project

Chariot locks in high-potential drill target at Black Mountain, one of the USA's largest lithium landholdings

The Rising Tide: How institutional adoption is shaping the future of crypto

US FDA awards Clarity Pharma's novel prostate cancer PET scan imaging compound fast track status

Whitehaven to sell 30% of Blackwater coal mine to Japanese JV partners

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News