Opportunity Knocks

For anyone kicking the tyres on KIN ...this is your moment! I doubt a better opportunity to enter the story will ever present again.

If you're a hitter, you could try speaking to the Company to take part in the placement to sophisticated and professional investors (10 cents/share with 1:2 free two-year options exercisable at 20c) ...though you'd better be quick!

For existing shareholders and others interested in taking a more modest position, record date I believe has yet to be determined. However, it's emblematic of the fairness of management they're offering ordinary shareholders the opportunity to take part on equal terms to the big guys.

Anyone buying the shares now (and up to the record date) will be entitled to acquire up to $15,000 of shares at 10 cents per share and also receive the free attaching two-year option (on a 1:2 basis) exercisable at 20 cents. I'd guess there may be an opportunity to apply for shortfall besides, since not everyone will have the capacity to take up their entitlement.

Why would you consider it?  Well ...

- Near-term production (vat leaching at Lewis - est. cost AU$750/oz - merely awaiting DMP mining approval);
- Long term growth (>1,000,000 oz Au inventory in the wider project, open at depth and along strike);
- 722,000oz JORC 2012, >70% classified in the upper Indicated category;
- Acquired for a song ($2.60 per oz), at the lowest ebb in the cycle;
- Inheritance of $20m+ work - drilling, modelling, trialling etc - already expended on the project;
- An outstanding portfolio of additional exploration leases in the Leonora District;
- Strong management team (including Chairman, Terry Grammer, who has been associated with many of the flagship projects in WA over the last quarter century);
- Management with significant 'skin in the game' (Directors hold 30%+ company);
- Only 80m shares on issue (post raising, assuming a full take-up);
- Tight & loyal shareholder base;
- No sovereign risk;
- Close to infrastructure - rail-head, roads, Leonora townsite;
- Strong AU$ gold price (currently AU$1,534/oz) & a climate of generally moderating costs of production; and
- Very low market cap relative to ounces in the ground.

I'm no share adviser, and I strongly recommend you do our own research.

But this looks like a no-brainer to me.