I have always presented the facts about Range and Pirate Pete unlike the Rampers that pushed Range up towards .6 billion dollar market capitalisation company.
Although Range may have 30 million cash, that is only 1p per share and would probably just fund a single drill at Georgia penetrating 100s metres of granite.
Many other company's have been in a simialr position - take ASX:CMR, ASX:IMI and many others (see www.delisted.com.au) if you think that Range cannot be insolvent within the year. It can happen to Range and much quicker than the Rampers think at current cash burn rate - Range strikes or does not strike, there will be another serious rights issue and 3 billion shares on issue ~6 months IMO.
I do no hear other large proven company directors talking about phone numbers, pulling market caps out of the hat like 1 billion market cap (450% of current share price).
Think about it - "telephone numbers" - is that 000, local call, long distance, international or to the moon (that 1 million travel expense last year must have been pretty close to the moon)?
I mentioned the 99% possible Georgia duster - read the announcement closely, we have hit granite which to some is time to cement and move on but the inexperienced Range and Red do not want to cut their losses and make this one of the more expensive dusters in for 2011. The 5.6 million Red cap will be exceeded on this first drill probably already exceeded. Therefore, Pirate Pete will have to fund the 2nd drill giving Red a 20% interest in Georgia for probably 1/2 the first drill considering the first drill will cost around 10-15 million to get through the granite that may never end. Hence the recent capital raising of 15 million for the next potential duster that is very close to the first. Check out this extensive list of 100s/1000s of Australian companies in Administration: http://www.delisted.com.au/admin.aspx
RRS Price at posting:
15.0¢ Sentiment: ST Sell Disclosure: Not Held
