What I do not understand with these type of spec gold shares, that actually have gold, is why they so readily go to market to raise capital and substantially increase the amount of shares on issue at very A low entry price is ...........
as I understand it there are locals doing artisanal mining at pick and shovel type shallow depths... then why doesn,t the company do a bit of the same thing.
Invest $100,000 in some equipment and hire a few local people to turn that 100 into say $250,000 to help with the companies cash flow issues.
Also what is the cash burn for this co, as I thought they raised around 2 mill a year or 2 back at a reasonable price level-0.6c.
Also perhaps they should look at focusing on a particular area and getting some cash flow happening rather than expanding there exploration areas requiring more funds resulting in more share dilutions.
Whats the point if by the time they prove up whatever!!-- there are so many shares on issue that any upward price pressure is more difficult.
On a positive note having African Lion fund as a new shareholder is a good endorsement ...they just bought there shares for a lot lower than what I-- a long term holder paid for them.
