There is a lot of money to be made from Sundance from this Capital Raising!
The reason for the Cap Raising is to ensure the accelerated infill drilling occurs/analysis of the assays continues in order to significantly increase their JORC Reserves while the finance and offtake negotiations continue!
They are aiming at a faster payback while iron ore prices are sitting at $180-200 per tonne, the only way they can do this is to increase their annual production from 35 mtpa to 50mtpa or even 75mtpa!
To do this they need to continue to drill over the next few months while the offtakes and finance are finalised!
Do not lose sight of the incredible long term fundamentals of this company!
If you were a holder of Fortescue when they were 25c and all the negativity in the media was scaring small investors away only to retain them when they ave $6-7 per share then it would be a wise decision to buy into this Cap Raising and hold! And remember FMG only produces 42-45mtpa!
Let the day traders run in and out of this stock! Hanlong's $200m+ investment wasnt made without the backing of big steel mills who are currently negotiating with Mr Casello on the finance and offtakes!
Stay calm and stay focused!
Do not let your emotions for a quick buck rob you of a significant long term life changing investment that Sundance Resources is!
Remember Westcott's calculations for the share price when production increased from 35mtpa to 50mtpa at the $130 per tonne iron ore price! We are talking significant returns!
This is what we will enjoy and it will start once the finance and offtakes are completed in the next couple of months!
:)
Cheers Nectar
SDL Price at posting:
43.5¢ Sentiment: LT Buy Disclosure: Held
