Smartinvestor, RRL/RRS announced the strategic placement with Socius CG11 on the 28th of Sept for $15m at a premium of 10% of the price then. Albeit it states in that RNS that it is going to be used to speed up the Herrera drilling and the results of the seismics are imminent. Do you not think that Socius would have been told if the BOD were not that confident about the results of Georgia? We have also managed to get another ELF for £30m. My gut feeling is that we have already had some shows of HC's and we have continued drilling to the primary target as suggested by the seismic. Socius would not pay a premium for our shares unless they have been given any such information to make them confident that their money is safe in the medium term. Otherwise that deal just does not make sense. We have got the ELF and also $15m worth of options expiring in December so what was the need for the strategic placement? Socius since it's inception in 2009 has completed more that 40 transactions and makes an annualised return of more than 100%. That doesn't sound like a company that would pay a premium for the shares of a company which is going to announce a duster.
RRS Price at posting:
15.0¢ Sentiment: ST Buy Disclosure: Held
