RE: Junior firms must drill deep for capital in an We will have to see where they are according to the upcoming NR with respect to cash flow and drilling plans. But, keep in mind that, so far, they have been "piggybacking" on wells drilled by a private co. (can't recall the name) so I would suspect if money is needed, they will probably go to this "big brother" company for advice.
However, if drilling has continued to be successful, they might just drill as the cash comes in and simply use a line of credit secured by their income flow to provide any short term cash needs. If they want to buy more land or claims, they could sell some of what they have to redeploy in areas where they want to concentrate or come up with a JV such as the Sandstorm deals or issue new stock.
Frankly, dilution really won't be a problem for them for awhile, but I am just personally against issuing more shares at prices that are a small fraction of their liquidation value. It makes no business sense regardless of how many or few shares are presently outstanding.
Hoping for a NR by tomorrow or Thursday.
Rip