Karnalyte Resources Inc T.KRN

The bigger picture for shareholders may be getting lost!

[mdjbrown]

Krn Financials -

September 30, 2018   -                            Cash                  $ 9,437
December 31, 2018        Cash and cash equivalents        $ 10,504
March 31, 2019               Cash and cash equivalents        $ 9,242
June 30, 2019                                             Cash               $ 8,646
September 30, 2019                                  Cash                $ 8,190
December 31, 2019         Cash and cash equivalents        $ 7,520
March 31, 2020                Cash and cash equivalents        $ 7,292
June 30, 2020                   Cash and cash equivalents        $ 6,416
September 30, 2020        Cash and cash equivalents         $ 5,940
December 31, 2020         Cash and cash equivalents         $ 4,821
March 31, 2021                Cash and cash equivalents         $ 3,324

June 30, 2021                                      ???????
 
 
The Company is considering strategic alternatives as the ability of the Company to continue as a going concern will require further equity issuances or other forms of financings.
There is no assurance that the Company will be successful in obtaining required funding at an acceptable cost as and when needed or at all. Failure to obtain additional funding on a timely basis may cause the Company to postpone development plans, forfeit rights in its properties or reduce or terminate its operations.
 
The second and third quarters of 2019 were impacted by a significant increase in the decommissioning liability recorded due to a change in the estimate of this liability made during the fourth quarter of 2018.

[AriW16o]

the cash situation looks very ugly. It may not survive 2021 at all! How many lawsuits still coming with how much cost will drain the remaining cash. In the mean time, they want to increase the BoD numbers? It really doesn't make any sense.  GSFC and some greedy people / fake csg bring this company to the ground.

[mdjbrown]

Ari, a financing of some kind will be required at some point, but the question being - at what cost to shareholders? The company is likely not in a position of strength from a bargaining stand point based on many of the things you point out.  The bar was set very low with the last .17 cent Rights Offering that carried with it a 50% dilution for $2.4 million. Anyone deep pockets coming in

[patospower]

They said they would be giving a strategic update in the next few weeks, we are around the "next few weeks" mark right now, so there should be some public comments coming out soon. I don't know why we talk about recapitalizing (again) a melting cube, when we could just sign the contract and make shovels bite dirt. It fixes all the problems.

[mdjbrown]

patos, unfortunately there is one small problem with getting shovels in the ground. And that small problem is secucuring the billion dollar investment required to get Wynyard dirt flying.  With the recent increases in just about everything lately that billion dollar estimate is likely 30% higher now.