One down. Nine to go In October last year DME raised C$13.1m (not including costs) at $1.60 per share. This cash-raising included the issue of 8,203,062 warrants, worth C$2/share, which the company could trigger if the share price remained above C$3.50/share for ten consecutive days. We have now passed day one--if we get to day ten, the company can trigger the warrants and raise C$16.4m*, with no associated costs or fees. That is sufficient to take the company to first production, with no need for further dilution. For a resources company to achieve this with fewer than 80m shares in issue is outstanding, and highly unusual. Nine days and counting....
* Just on a side note, the ".4m" in the C$16.4m that will be raised if the warrants are triggered may seem like little more than a rounding error. However, it's worth noting that that amount (C$0.4m) is actually roughly equivalent to the cost of one exploration well, which puts into context the amounts we're talking about here and how well-financed the company currently is (it presently has over C$13m in the bank, before any warrants are triggered).