what is the big deal with 9.7m vs 12m?march quarter cash...

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LT_Investor

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30/04/24

20:27

Post #: 73593699
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Originally posted by mondyinvest: ↑

Rule 1 of junior mining: read the back pages, not the bullet points. I presume the “liquid assets” they refer to are their shareholders in MAN, RDS and TG6 (and others I’ve probably missed, it’s hard to keep up where they’ve sowed their seed). But $12M less $9.7M cash = $2.3M which, funnily enough, is the figure Galan quoted their investments as being worth in their annual report as at 30 June 2023:

If you look at the share prices of those three companies since 30 June 2023 and tell me if you really think they’d be worth anything close to $2.3M today if they tried to exit. TG6 traded just $60k today, MAN did $2K and there were zero trades in RDS.

Releasing the quarterly after hours (again) and putting that dot point on the front page speaks, I think, to the desperate position they’ve got themselves in by refusing to bow to reality. Unless Glencore come through in the next week or so, it’s almost a certainty they’ll have to start tapping the ATM.

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what is the big deal with 9.7m vs 12m?
march quarter cash remaining 9.7m. on 22nd Apr directors got approval to participate in capital raise of 2.2m ~ close to 12m
now they have 12m plus 15m ATM deal to issue shares 10% discount at thr floor price of their choice.

Glencore did stuff up as they can easily find other options than banking entirely on Glencore.

keep in mind pond 4 is close to completed.
They have 2 ponds left for stage 1 to complete.
each pond cost around 15m so reamining cash required to construct in fill up all 6 ponds is around 30m to 40m which take up to 6 months.
They only need debt financing in 50m to complete stage 1 so they cna start to produce and pay back.

They chinese can give out 100m loan without a blink.

GLN Price at posting: 33.0¢ Sentiment: Buy Disclosure: Held
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