Ann: Tim's Find Gold Project - Toll Treatment Mining Agreement, page-23

I think your concerns are valid and should be shared by all. But the CN deal placed greater risk on the company that this current deal.

Under the CN's, we'd pay the $5.4m and get 4.5m. Then we'd have to pay the miner. Now, if things didn't work out, CSVF would likely demand the cash in 12mths which means we'd be raising AGAIN at a major discount. Or, they could convert to equity and dump. Their total costs per share worked out to around 2.1 from memory (factoring ion the $900k risk free and $100k fees).

So the risks remain the same under both deals but the mitigations and consequences are vastly different under the two deals. This current deal gives us a cheaper, easier and more direct way to control the risks. It's vastly superior.