GREY:PGDIF - Post by User
Post by
justanormalguyon Nov 03, 2015 9:13pm
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Post# 24255843
Alternatives to Equity Financing for PEA completion?
Alternatives to Equity Financing for PEA completion?Mike, was reading your post on SI related to the additional $2 million required, given the very positive prudent nature of PGD we have seen.
Given the current low share price, are there other plausible alternatives to financing at these low prices without immediate dilution to shareholders
1) Debt financing by wealthy individual, private equity or a bank (possibly partially or fully convertable to shares in the future) with deferred interest and principle repayment. I recall that Stornoway had a debt to equity ratio of around 0.25 prior to the major construction debt & equity financing (ie. pre construction and post FS)
2) What about auctioning off their current and future inventory of diamonds from exploration? Perhaps for debt interest payments or to partially subsidize 2016 spending. Any idea what range of dollar values of diamonds from current and estimated future (2015 drilling program diamonds) they could sell off in the new year and if this is even a practice used by other exploration companies?