Use of proceeds - CCEI would be curious to know what are the work that remain to be performed on the Ashram deposit. How much more money CCE needs to move this project further?
Pre-consolidation, the share price would be below $0.03...
How long will the shareholders be able to inject more funds to sustain exploration works?
For example, please read about what happen with the last financing of UCU. Ucore proceeded with a right offering, meaning that existing shareholders were able to chip in to buy more shares of the company in order to finance it. The price of the stock went from over $0.20 to $0.12. And UCU may double its shares count.
The point is, do we know how much more is needed to explore Ashram? If I am not mistaken, the purpose of raising capital was the exploration of the Ashram deposit and for general corporate purposes. I think that the last indication of it would be in the final form of the short term prospectus of 2016 but I might be wrong. At some point, raising capital might become more difficult. So bottom line, can we know approximately how much more is needed to go to the next step? And how long?
Could CCE decrease even more its expenses in order to limit dilution? Leaving the executive compensation aside, I noted an expense of 360K in p.9 of the last MD&A:
Commitments
On May 1, 2008, the Company entered into a Management & Administration Agreement (“Agreement”) with Zimtu Capital Corp. (“Zimtu”). Under the terms of the agreement, Zimtu will provide the Company with administrative and managerial services, including corporate maintenance, continuous disclosure services, rent, and office space, over a period of 12 months. The agreement has been renewed in prior years and on December 1, 2018, the Company renewed the agreement for another period of 12 months at $30,000 per month
That is just an example, and this expense might be 100% justified. But CCE will need financing sooner than later. I wish I could understand what remain to be done on Ashram and how much more CCE will need to complete or go to the next stage whatever it could be.
And I asked this question before: what happen to the sample sent to Ucore in June 2017 ? It is still mentioned in the MD&A of September 2019. If it is good enough to include in the MD&A that a sample was sent, can we know what transpired of this?
Moulouk