RE:RE:RE:RE:Why doesnt Lassonde front some more cash?This is exactly the situation that I have talked about in one of my previous posts. In the ferocious bull market that we had for 6-7 years many butchers, bakers and candle stick makers (like Rick Rule famously says) have started companies to profit of innocent unsuspecting investors so the bad went up with good. Now we are seeing a real bear market in which the good is coming down with bad. Infact famed geologist/newsletter writer John Kaiser says about 600-700 junior companies started by former BBCs are going to go under for want of funds to stay alive. But if you listen to Lassonde's interview in KWN recently he stated 2 things that stands out for me. #1 he says OLV will not go under for want of funds (eg. LIND deal where they have option to fund themselves) #2 There has got to be diamonds in HOAM crater. I listened to this statement 4/5 times and i could believe the conviction in his voice.
Right now the share price is depressed so any funding at these prices will dilute the shares to a great extent to the peril of existing share holders but the company needs money to drill. This is the exact catch22 situation many companies are caught in. This is what happens when good comes down with bad. But when the bad goes bankrupt this one will rise. I am heartened by the tremendous strength OLV is showing around 0.2. I think we have shaken out many weak hands in the last 6 months and it could be a matter of time before we bottom and that could be 0.15, I don't know its a long winter up there in canada approaching :-)