The 2.5m will be long gone by the end of this quarter.
Had 2.52m in cash at the end of last quarter with a projected outflow of 1.73m leaving about 790k.
So lets say they need 3.5m as a minimum (twice this quarters drilling) to cover the cost of doubling their drilling as they have suggested.
They have made 661k in option conversions but that won't go far.
The choices are
A quarterly that states they have $1.45m in cash to last 3 months with a projected spend of $3.5m. If you want to see a sell off - I figure that would do it.
They could have a quarterly that says they have $1.45m in cash and no drilling planned for 3 months. I figure that would also go down like a lead balloon.
Or they can do a cap raise that would give them a quarterly that says they will running an aggressive drilling campaign in the first quarter and have sufficient cash to cover it.
Don't know about you, but I will have door number three thanks.
EKM Price at posting:
35.5¢ Sentiment: Hold Disclosure: Held
