AFAICT you mentioned 900M SOI rising to 1.4B to fund the 2ktpa plant….?????
“Another credit raise specifically for the s2 plant after we already went from 900m to 1.4b SOI for it..”
Did I somehow misunderstand that?
It is not accurate.
Btw Rob’s fairytale with SOI numbers from 2017 are absolutely irrelevant, and you both know it!!!!
The 2ktpa plant was funded via placement in FEB 2021, when there were already over 1 billion shares on issue.
ANYWAY, that’s not actually the key point here at all, and we all know that too.
The actual point is about the impact of raising additional capital to fund the 2ktpa plant until it can effectively fund itself.
So, how about actually addressing the points I raised earlier about the potential $$ involved, the associated likely dilution, and the fact that it can hardly be that surprising since the issues so far with commissioning have cost us roughly a year….???
At this stage, considering the $$ we have right now, what lays ahead wrt ramping production, opex requirements, revenue, etc. how actually surprising is it to you that we might need to get say a $10M buffer in the kitty to get us through?
“I will be sooo upset with Jerko if that happens”
Cool. That’ll help.
For it NOT to happen, afaict, we’ll need:
A/ to get the plant producing somewhere around 100t per month in the next few months, allowing the sale of product to cover opex etc
or
B/ the bigger funding deal (for the expansion) to come through in the next few months and also incoporate some working capital for the current plant until it can get to that stage of producing somewhere near 100t per month.
We can stomp our feet and be soooo upset all we like, but afaict the above two points present an opportunity to ask some pointed questions at the AGM to actually clarify something useful and relevant.
I foresee this forum turning into what the GLN forum has become lately; with most calling for the head of the MD as funding is required soon, with their incredibly limited knowledge and limited understanding of the various negotiations and discussions (same for all of us btw) assume that it’s going nowhere and “someone else should take over the job”, and “there’s been zero progress” etc etc…
Like clockwork, I’ve seen it time and time again with many companies when times are tough.
Each additional time it just becomes even more clearly absurd.
That’s why I mentioned a couple of months back that soon enough people will be calling for the heads of the directors; claiming their incompetence etc etc blah blah blah.
Wait for it, it’ll come!
Ps. you’re seemingly insulting my strategy as an “investor” and seemingly criticising me for being consistent in my expectation that this company will meet its goals….. I’m not here for 50k and pissed off that it’ll take a few years longer than anticipated; I still have high confidence that I’ll walk away with +$5M and therefore the specific timing is not my major concern.
Each has their own investment thesis and I’m not here to chase the waves or pretend I can compete with the big dogs in their short-term games -
There are good reasons that most fail at that over the longer term, the emotions increasingly on display here in the tough times in particular a prime example.
Pps. The pitchforks rattling over on the GXY forum a few years ago towards the 2020 low were a good lesson in herd mentality, fear, fearmongering, loss of perspective, and loss of rational and objective analysis; a very interesting and informative case study, among many, imo.
Good luck Jez
GCar
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