I would be really plased with my investments if I bought a portfolio for 310k, and after interest it had gone to 680k within 12 months. In LNCs case, production is limiting any slide in my value. The interest rate is far better than dilution, if it creates value. Umiat also has a similar chance at such capital improvement, as we know that the resource does exist, just need it to be proven and measured 1P.
Interest cost...if dilution occurred at say current price less 20% to issue, then if you add your 13% interst cost to that, it is still under current price of 62c. So borrowing to value add with limited risk is sooo much better than dillution in this case. Note, some of the cheap portion of loans repayed has been replaced at same rate, not all funds are at the high rate, and can still redraw on those repaid.
Looking with interest to the short update today.
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