I guess we are working under different assumptions.If there is a...

I guess we are working under different assumptions.

If there is a takeover of CLE, then takeover value is sufficient (well in excess of 50 cents), then I personally don't care what value is attributed to the Ancillary projects, if any.

However, I see the more likely scenario is that Vale will take Iron Bear - either buying out the remaining 25% at decision to mine, or making an offer somewhere along the way.

My concern is that CLE would do a capital raise prior to the release of the Scoping Study (which I expect will increase the share price substantially). Raising $3M at current prices to fund the ancillary projects effectively dilutes Iron Bear by 5%, and I would see 5% of Iron Bear for $3M. (rough calc's only, being market cap of $60M and $3M raise implies 5%).

If a capital raise happens at 15 to 20 cents to fund the Ancillary projects, then the impact on dilution would be much less.

It seems management's focus is on getting the scoping study out, and we will then see what happens to the share price and whether it is worth raising for the Ancillary projects or not.

Personally, I would prefer management focus on Iron Bear and sell any Ancillary projects to avoid any dilution from a capital raise or farm then out for someone else to fund and focus on Iron Bear.

Regardless, these are all good options to have.