RE:RE:Allana Potash’s Transformative Potash PartnershipAs per that interview jeremy, allana
hopes to have debt financing in place by end of 2014 and the equity portion completed by Q1 2015. They will not be able to clarify that until the fall. Long lead items for plant construction are unable to be purchased or ordered before all the financing is complete according to Farhad.
Could you tell me what you think the SP catalysts will be between now and April 2015? It seems to me that another 6 months to a year of pain is in store for shareholders until the market finds out how much dilution will occur under the equity offerings next April.
Can you comment on this.....and also do you see a share consolidation on the cards before the equity financings? I would think that it is a definite possibility.
PIN: Do you have an idea of when you’ll accomplish full financial closing? Or is that really just market dependent?
FA: We are targeting the end of the year. We are hoping that we’ll have more clarity on that towards autumn or the fourth quarter of this year. We’ll hopefully finalize debt by that time and then do equity right after that. So late this year, early 2015, we’re hoping to get all of the funding done so that we can actually launch full construction.
Now, having said that, quite a bit of pre-construction work is going to start in the next few months. We’ll have enough capital to start the process. But for us to order all the expensive, long-lead items, components and equipment for the plant, we’ll need to fully fund the project.