If a junior explorercan raise 6.000.000 $ of working capital for drilling an undrilled deposit, something is going on behind the scenes.
Normally (for junior explorers) private placements of this value are being placed after putting out a very good hole.
After thinking over...for the company it is a good move. They have to secure further operations in the case that we don't hit some good grades at rio zarza. Because in this case the company would hardly get a pp for 6million dollar.
So let's hope the next pp will be at around 3-4$. Of course we have a bit more dilution because of the pp, but with 60.000.000 shares outstanding it is ok.
AND if smart institutional investors buy shares at 0,38, it would be stupid to sell at this price.
So let's wait for this f****** drilling rigs hitting the ground.
For all the board: Just write an e-mail to them and put the answers in this board. Would really be interesting why they make a pp now. Imo it would still be a better move to make a pp after drilling starts and the sp is a lot higher.
On the other hand: If you would be in ec management and would know that you will hit good grades, why not making a pp and let your familymembers all around the world take part.
Nobody of us knows whats really going on...