Precisely what SPA needsI take it all back, I'm eating crow. By "inviting" Eric Sprott aboard SPA has clearly has made the right move where the SPA project can reach its full potential. One sensed back in April with the gold price stready at $1,700 that the board was starting to realise "now's the time". They reconfigured the working capital outlays, took soundings on the PP, and from the press release you could tell that the management was starting to get enthusiastic about the prospects.
The move to double the PP seemed to be a last minute thing, coming as it did 2 days before the close. How Sprott became aware of SPA and its prospects we don't know, but some credit should go to the contributors of this board, and in particular Mack and Early.
Larry makes the point SPA have placed the shares exclusively with long term supporters of the project. With Sprott taking 20m units, they will have 40m shares, about 11.5% of the company, and be a substantial influence on the direction SPA will take.
What now? You will have seen the valuations put about. This bulk/ long lived asset is precisely what the majors look for, and right now they are awash with cash. The Can $ is weak against the US$, and the asset is in good old safe BC, and not in an obscure location either.
I was annoyed at the Board on the doubling up, but clearly no announcement on the reason could be made prior to the close. All is forgiven Larry, you made the right move.