they should do us all a favour and not issue any new stock at all. Debt is the way to go.
55m @ 10% pa = $5.5million in interest payments
1st year production is 100,000oz.
assuming gold=AUD525, thats a $160/oz margin (last statement said costs of $360/oz)
so that should be 16milion EBIT, pay off 5.5m in debt. and that still leaves 10.5m for shareholders.
opinions please.
BGF
ballarat goldfields nl
