I would personally wait until the trial burn has been proven to be successful.
As for the cash, MEE owns 50% of CEPL so they would only have to raise $8.5 million to build their demonstration plant. They have 27 million options ranging from 10c to 20c expiring from 31 Mar 2007 up to 1 Jan 2011. I would assume they still need this for ongoing working capital and use in their Uranium and gold exploration. If they can raise the capital at a share price of 20c then that would add another 42.5 million shares, giving MEE a fully diluted number of shares of 322,885,383.
What value do put on the company before the trial burn? That is for you to decide, but be aware that there are risks that the UCG burn may not be successful. One thing I have noticed about CEPL is that they are going to use an oxygen generator, which is good because that will remove the Nitrous oxides formed when you use air.
MEE Price at posting:
0.0¢ Sentiment: None Disclosure: Not Held
