so where to from here?

So we have our site picked, and enough cash in the kitty and coming in to purchase the land and commence construction in the the new year. Great site, with enough aluminium slag feedstock under contract already to start - over 100,000tpa imo.

They have given guidance of 25mill all up with 20 of that going on equipment, the rest on land and buildings. That 20mill of equipment is going to be made of multiple lines not all of which will be required until more contracts come in. So far I'll guess and with current contracts we'll commencing construction on half the 250,000T capacity so 10mill of equipment required for the moment.

So we have over 5 mill in the bank - enough to sort land and buildings out. Earliest we will be taking delivery of equipment would be middle of 2012 so need 5mill then and another 5 mill in say september for for the rest. This way we have equipment on site installed by the end of 2012.

So how are we going to pay for all this? Well the numpty's selling now assume we are off to do a cap-raise for 25mill. These people must have only taken a cursory look at what is going on.

So we have the cash already for land and buildings, and oppy conversion in August will take care of the remaining 5 mill of equipment required later 2012 so I think we are missing 5mill only required by mid 2012. Now management have repeated exhaustively that they are moving towards non-dilutionary funding methods - and borrowing 5 mill is well within their capability secured on site and equipment there or Geelong here.

The only reason they are going to need to raise more money is if another 100,000 tpa of contracts roll in.....anyone think that will be a negative at the time?. And what difference would it make anyway by then to dilution -10% at most whereby the outcome is going from 8mill ebit to 28mill ebit? The shareholders will be screaming for a rights issue so why go institution dilution? 10mill of shares issued to existing shareholders - tight hands and we are done.

So we are looking absolutely set now - Kentucky state support, contracts signed to begin and funding for equipment required to service current contracts not an issue. As more contracts roll in, more lines will be added...easy.

So next few months construction begins, roadshow in USA goes ahead, we start getting juicy pics of bulldozers and cranes signaling our invasion of the USA AL industry. Still no sign of USA buying to come through....but it will happen soon imo, Then we start talking plant 3 :-)

Meanwhile someone still thinks a massive cap-raising is imminent apparently.....numpties.