That is based on the amount of cash raised in the prospectus. With a valuation now approaching $150M (which is still cheap IMO) the game has possibly changed in terms of drilling budgets going forward.
There is nothing against AL8 raising a whole heap of cash at perhaps $2.50 per share (assuming it gets to $2.50+ and I think it will!) and then contracting a dozen rigs to drill full time for 18 months to 2 years. Raising for example $25M at $2.50 a share would be minimal dilution. This is all subjective on my part but I am just highlighting the fact that what is included in a prospectus is based on the cash situation at the time. Things can change and now that AL8 has a valuation of $150M, they have a lot more options available to them. They are no longer bound by budgets in a prospectus where the valuation was $20M rather than $150M.
AL8 Price at posting:
$1.35 Sentiment: Buy Disclosure: Held
