Sorry am I missing something here.
Everyone talks about the prize being the Sulphides and the fact that HNC will pay for that.
But doesnt CMR have to survive the the 7 to 8 years it will take to get to realise the sulphide dream. It will only survive if it is making money. At the moment, it has a considerable debt burden to fund and repay, so what guarantee is there that it will actually be around for the sulphides?
As I read recent events, certain groups have a charge over the company assets that ensure that they might be the real beneficiaries of the "long march to sulphides" not existing shareholders.
For all those that take heart from certain share acquisitions over the last week or so, you need to put them in perspective. If you were so sure of the impending success of this, you would have put your $25 mill in for ordinary shares and not taken a financing position. The former gives you the benefits of share price appreciation and a share of the earnings. They latter simply returns 10% interest. Of course, the real benefit of the latter is that your captial is protected by a charge over the Company's assets.
History has tended to show that this company is not run for the benefit of ordinary shareholder!
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