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Skeena Resources Ltd T.SKE

Alternate Symbol(s):  SKE

Skeena Resources Limited is a Canadian mining exploration and development company. The Company is focused on revitalizing the Eskay Creek and Snip Projects, two past-producing mines located in Tahltan Territory in the Golden Triangle of northwest British Columbia, Canada. The Eskay Creek portal consists of eight mineral leases, two surface leases and various unpatented mining claims totaling 6,151 hectares. The Snip Property consists of one mining lease and eight mineral claims totaling approximately 4,546 hectares in the Liard Mining Division. The Snip Property’s indicated resources include 823,000 ounces hosted within 2.74 million tons at an average grade of 9.35 g/t Au.


TSX:SKE - Post by User

Post by templetooth2on Jun 09, 2023 1:45pm
285 Views
Post# 35488856

Calculating further dilution

Calculating further dilutionRough calculations only. 
Skeena had about $10 million uncommitted cash as of March 31. Co. will have netted almost $70 million from new issue at $7.35 thus giving a new balance of about $80 mm. Knock off $14 million for Q2 expenses and we should expect cash of $66 mm as of June30. Assume that amount will keep the company going  until sometime in the first Q of '24.

Some of the available cash is to be spent on early earthworks, so part of total capex. Assume that whatever the $ amount spent this year offsets inflation, making no dent in the expected $600 million capex budget.

Assume the financing package requires 1/3 equity. Therefore $200 million (Cdn). After commissions, assume the company nets $5.85 per share from an issue price of $6.25. So 34.2 million new shares.
Call it 35 or more likely 40 million new shares to fund capex and pay Walter for next 2 years.

Current shares outstanding amount to 95 million fully diluted. So expect total outstanding at production of 135 million. 
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