rights issue, page-2

Crackpot,

I think most shareholders will share your sentiments on this one. For once I'm glad not to be one. This IMO is a disaster, with a large dilution that will only raise a piddling amount (that they'll soon fritter away in Burkina Faso) after costs. I don't think I'll ever be looking to return any capital to this stock now.

As far as I'm concerned, once they had attracted a JV partner for Watershed they should have ceased all work in BF. They had already secured a 60% stake in Doulnia and could have sat on that until such time as any money became available from any future profits from the Watershed project. I suppose they were hoping for some bonanza hits in drilling there to up the SP and make capital raising easier, and even though they've tried to talk their assay results up, the punters and market are savvy enough to know they've discovered bugger all there.

The money raised from this little heist won't last long of course, so it begs the question as to how many more shares will have to be issued before Watershed even approaches a construction phase, and at what prices? This current management move is hardly likely to help push the SP up, but rather, down. Next raising at 4c?

Very bad show indeed!