FUNDING PROBLEM?I noticed a SCARY discrepancy about funding in the current Investor Presentation:
- slide 8 says $1.4M cash on hand.
- slide 17 headlines '2024 Exploration Strategy ($10M)' for the Nikolai project.
Doing some rough math, it looks to me like they'd be selling 50M shares at current price, to raise $10M.
Current float is about 86M shares, so that'd be like a 70% (?) dilution.
Unless (even if?) there's a strategic investor, the financing terms are likely to be poor.
I could see the SP dropping to $0.10 during the year.
Glencore owns 9.9%, so they likely won't buy any more.
Investor presentation says 60% is held by "new investors". I guess that small investors. That's a LOT of shares to be sold in dissappointment as we see our losses build.
I think the shareprice will begin to trend back upward in 1H 2025, after 2024 drill/assay results, metallurgy and updated MRE.