Totally agree Hippy. It was going to happen, although I wondered if they would hold off until they announced the Stage 2 expansion... but BLK really need the cash, not for the debt (although obviously it will give them flexibility in paying it off), but for exploration and yes, later on the upgrade to the plant, they know if they drill drill drill, they will end up with 10m ounces in resources alone! Reserves of 2m ounces is very achievable in the next 3-5 years. I want to make real money with BLK.
I constantly compare other stocks against BLK and in every possible metric, BLK is undervalued.
SLR, MOY, RMS, MML, RED, TRY. All will have a higher ASIC than BLK, only RMS and SLR will have higher production for the next year or 2, none of them even come close to the amount of resources.
BLK can internally increase their production profile by 150%! Their MC is almost half some of its peers, although yes the likes of RMS and SLR have lots of cash... at 2.5% a year in the bank, that is not going to get them anywhere.
My guess is they will raise another $25m just like they did last year. $0.75 seems about right in regards WAP. That will give them over $35m.
I really think BLK has been held back by not having a decent amount of cash. It soon will and then the last shackles will be off. They are producing at commercial quantities. They are continually increasing resources and reserves they are even adding future potential sources like the recent GWR announcement.
I was very tempted to sell some of BLK over the last week, but.. as I said, I cannot find a better value proposition on the ASX in the mid tiers... and unlike its competitors, it will be able to lift itself above them.
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