RE:RE:RE:Galane Gold Completes Financing for Summit Mine Purchase Agree, should start the slow grind up now.
A very slow grind up. Still quite disatisfied with the amount of total dilution this acquistion is costing shareholders for potential additional annual production of 16,000 ounces of gold
and 1 million ounces of silver. If gold and silver prices remain strong and improve from here, then the acquisition should have quite a positive impact on free cash flow eventually ...
I did add quite a few shares at $0.215 - $0.23 to the collection over the past few weeks.
Let's see what the Q4 and YE financials look like ... they should be issued in the not too distant future ......
Just throwing out some numbers .......
As of the announcements of the purchase of the Summit Mine and Banner Mill, Galane had
254,964,760 - shares issued and outstanding
44,028,700 - issued in the financing for cash portion of purchase
16,000,000 - share to be issued for share portion of the purchase 314,993,460 - shares issued and outsatnding after purcahse
44,028,700 - warrants at $0.30 for 3 years attached to financing shares
16,000,000 - warrants at $0.30 for 3 years for shares issued for purchase of assets 70,028,700 - warrant exercisable at $0.30 = $21,008,610 potential cash for treasury
12,700,000 - current stocks options
7,170,076 - deferred shares 19,870,076 - other potential shares to be issued
Fully diluted, Galane Gold would have approximately 404,892,236 shares
Sharehiolders are going to have to sit very patiently as the market wades through all of this
additional paper in the coming months or year or two.
From previous guidance Galane is projecting
30,000 - 35,000 oz from Mupane
26,700 ounces of annual production from Galaxy in Stage I, then:
43,000 oz of production from Galaxy after completion of stage II
16,000 oz gold and 1 million oz silver per annum whenever the timeline unfolds for Summit Mine / Banner Mill .
So maybe 94,000 oz of gold production and 1 million ounces of silver within the next year or 18 months ...
Galane has approximately :
634,000 gold ounces of Measured and Indicated resources at Galaxy and Mupane
2,380,664 gold ounces of Inferred resources at Galaxy and Mupane
25,768 gold ounces of Indicated resources at Summit
74,002 gold ounces of Inferred resources at Summit 3,114,434 gold ounce resources in all categories corporately
6,521,371 ounces of silver in Indicated and Inferred resources at Summit.
Company outlook appears to be good ..... just going to have to watch as we wade through all the new paper ....
_________________________________________________________________
GLTA !