Another clever little move by the Chinese Investor/ Underwriter, but possibly not so for shareholders.
So folks if you dont pick up your new shares in the latest wave of traditional GCR dilution, then you will see control of GCR progressively move to the Chinese investor via the underwriter.
They know, that by placing downward pressure yet again on the share price from the latest dilutionary share and option deal, they need to say something positive now.
So management conveniently tells us about the x metres of low grade gold, but nothing denies the fact that this potential project is sensitive to the copper price going forward (and to the massive number of GCR shares on offer awaiting some form of consolidation).
As for the Chinese taking more control, I dont know whether that is a good thing or not and there are no hints yet. I do know many of the alternatives that are available to them for participation in the Copper Hill Project and I believe shareholders should get involved to ensure that the Chinese investor does the right thing for the benefit of long suffering shareholders.
You dont want another Compass Resources style outcome if commodity prices decline.
All I know is that the guy at the helm now has very few shares and that does not seem helpful given that he has been there for a long time.
I do not know many happy GCR shareholders - yet !
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