General Discussions, page-9977

"Just maybe, they have more information to work with then you do?"

Many would say that yours is a moronic comment but I appreciate your questioning of the very rationale of hotcopper. Well of course the company management know more of the detail than I do. But I do know that generally speaking share prices go up with good news and the acceptance of the PEPR by the SA government would be unmitigated good news. So by waiting till after the presumably good news about the PEPR milestone being reached the company could have raised at a higher share price thus cutting the amount of dilution for existing holders. (in the longer term the decision to go for a cap raise now rather than after the PEPR decision should be immaterial).

The only three reasons for going early that I can see is (1) they foresee an unfavorable PEPR outcome (pretty unlikely) (2) they expect the process will take much longer than generally assumed or (3) they really do need to get on with ordering some long lead items otherwise the project delivery will be delayed. Option 3 sought of flows from option 2 and option 2 would be a bad outcome in the immediate term for the RNU share price and the project vibe. Given the project stature I consider option 2 also fairly unlikely.

If the reason for going "early" with the cap raise is none of the above then yes I do view that decision as sloppy dumb. Mining companies make sloppy dumb decisions all the time, which is mainly why not many of them are BHP or Newcrest or IGO.