General meeting on 31st October to expand issued shares to 1.565...

General meeting on 31st October to expand issued shares to 1.565 Billion (an increase of a billion) and options to 1.15 Billion.

Resolution 14 is to issue up to $5 mil in shares. They assumed at the time it would be at 1.1 cents. They need to raise a minimum $2 mil of that within 10 days of the meeting as part of the Hatua Resources acquisition.

Management have really stuffed up here. Why on earth would you announce a highly dilutionary graphite acquisition when they haven't fully carried out the Jutson Rocks drill program. If they think Jutson Rocks is a waste of time then stop any further money wasting work.

If Jutson Rocks was a success and they still wanted to pursue the graphite acquisition then they would have been issuing much less shares at much higher prices. The whole thing is ridiculous.

They are just issuing options to anyone that asks for them. Which is even more dilutionary.

I can't see the graphite acquisition going ahead. They won't be able to raise the capital. If they did it would be at 0.05 cents or less which would mean well over 2 billion shares on issue. The whole thing makes no sense.