for people who think we "gave away to much"Remember that a year ago we had half the land size we do now. So making a deal in the end if there's mines on the property we will get a minimum of 20%. With the land size doubled this deal is like giving up only 60% and keeping 40% a year ago. And what happens with these agreements is we are involved with ownership as well if further staking occurs. So what if they double the size again ? From 25km last year to 50km today to maybe 100km in the future. With 20% of 100 km would mean in the END in a few years we would essentially own what we already had only a year ago and would have someone else pay for the whole exploration which on a site this size is going to wind up into the 9 figures in the coming years. The area is enormous to big for us to just go at it alone. 1 million or 2 millions seasons aren't going to cut it. We need 10-15 million dollar exploration seasons with big machinery in there to move this baby forward.
With the Confidentiality agreements they get access to all the data and info that we the public don't have. They obviously know things we don't and obviously saw the potential. If anyone has a link to a major producer investing more than this in a small junior this early please post it as I don't recall this anything like this happening recently.
At the end of September the company had 5 million so let's say as of today it's down to 4.5 million.
The private placement gives the company an additional 6 million dollars. The agreement states newmont will give GSR 8 million more in payments. If/when they exercise their warrants at .75 cents that will be another 9.5 million in funds. Plus with the warrants/options still to exercise there's probably another 10 million left of other funds.
So 4.5 + 6 + 8 +9.5 + 10 million = 38 million dollars to put into BRC/Lucky strike. There will be no more private placement offerings to the public for many years, if at all, so if the big institutions want in, they will have to buy in the market. And they know they have a limited amount of time to keep the price down and accumulate before news start flowing and the ramp up to this season starts. Worst time to try and keep the price down is when good news comes out. They have to back off but in between news releases is the best time to shake the tree and get those scared shares in their pocket. I just maxed out my lines of credit backing the truck up while i can which I don't like doing but when opportunity knocks, you answer.
Basically we own 40% of what we owned a year ago and were free riding on the entire exploration. As well Newmont just paid for a huge chunk of our lucky strike drilling campaign and they don't own any of it, we own it 100% and their paying for it. The company is on sale at the moment but won't be for long. Looking back this will be the good old days when you could buy this company for cheap when it was a no brainer and make utter fortunes. GLTA and see you in May when this is the hottest junior on the market