GlobalBlock Digital Asset Trading Ltd V.BLOK.H

RE: Belvedere Issues Shares Under Convertible Loan

[DetVicMackey]

This recent news on further dilution is not really news at all since it was a given that Investec Bank would convert their loan into shares which are deep in the money. What happened was that management tried to pay off the outstanding principal with funds from the private placement, but Investec obviously said, "no we would rather have the shares which are worth double."

On a positive note, Belvedere is debt free and flush with cash that it can now use for more drilling and/or getting Kopsa into production. The price of nickel is around 30% higher since the company restarted production, yet the SP has kind of lagged this move. Assuming the PON remains at $13/lb and the operation continues to sustain last quarters numbers, then I think a 1.50 target is quite reasonable without taking Kopsa or the other gold projects into context.