One of the conditions precedent is the completion of the pre-FEED study. Further into the activities report they state that they’re about to commence a 4mth programme to close out the pre-FEED assessment. Unless I’m interpreting this incorrectly, that means a key dependency for closing the deal is 4mths away.
Additionally, the cash will be parked in a JV formed by the two parties and will likely not be fully available to PGY as working capital (perhaps some will be?).
This leads me to believe they’ll need to raise and they’ll raise very soon. $1.6M at end Sep doesn’t leave much considering the work they need to do to get pre-FEED completed.
