RE:RE:RE:RE:RE:Expansion of Friendly ProspectThanks Nick...i agree with you about the "500,000,000" shares fully diluted...but i have recently become less concerned about such a bloated share structure, when I see that other notable junior miners out there have a similar share structure, or an even greater number of shares outstanding. If we have not been adding value to the Company with the money raised over the past few years, then I would be deeply concerned, and would have likely already sold all my shares. In retrospect, it has been extremely challenging for junior miners to raise money over these past few years. Goldsource Mines has demonstrated the ability to successfully raise money even during the most challenging times.
With regard to "1.3 to 1.6 million ozs"...it's much better to under-promise and over-deliver, than the other way around. Again, I personally believe that the new resource estimate will be higher than 1.6 million ozs. I'll just leave it at that :)
Seeing things from a "half full" perspective, there are currently just over 100,000,000 warrants exercisable between $0.09 and $0.20, with an expiry of Aug 10, 2020 to Sep 24, 2022. Thankfully, the $0.09 warrants represent a smaller number of these outstanding warrants - the majority of them are priced at $0.16 and $0.20. I believe that all of these outstanding warrants will eventually be in the money, and that all of them will be exercised, potentially adding an additional +$14,000,000 to our treasury.
Given the above mentioned potential to add a significant amount of money to our treasury through exercise of warrants, I personally don't expect any further dilution from the Company - off course, you just never know. The only consolation would be that any potential further financings would be presumably done at much higher prices, resulting in less dilution. I believe that we will use debt financing, when the time comes to going into production.
Also remember that we currently have over 4,000 ozs of gold sitting in our tailings pond. At today's gold price of over $1700USD / oz, this translates to nearly $7,000,000USD of value for Goldsource Mines!!! Bottom line: like i said at the beginning of this post, if value is not being added to the Company with the money raised, then it's time to sell and move on. Clearly though, this is not the case with Goldsource Mines.
One last thing. The recent drill results from Friendly were much more impressive than what some investors believe. 9 out of the 10 drill holes intersected economic gold mineralization, and were well over the 0.30 gpt Au cut-off.
Have a great weekend everyone. I know I will.
GLTA