RE:Losing gains. Not losing initial investment.Goatburner,
You seem a reasonable and well-informed person and your location provides opportunity for useful updates on plant associated activities, which are appreciated.
Perhaps in return, you could find useful a small encouragement when you write "no matter how much news you throw at this stock it goes down". You are, no doubt, well aware of the various First Cobalt news announcements but recall also that this stock was in general below $0.15 from most of year 2020 until the activity last mid-December. It has increased a significant amount (X 2) in less than 6 months. Yes increase in o/s shares can look like dilution,and both of us see that as a (somewhat) "necessary process" for most juniors. Real dilution, considering cash flow into treasury, occurs when issue price is below basic value(whatever that may be these days).:
- Shares issued to Glencore to repay loan of approx. $5.5 Million US = approx. $6.875 Cdn seemed to me to be at about $0.29 per share
- The 5.6 million of accelerated warrants were at $0.21 per share
- The $10 million at the market (ATM) initiative is currently open, but I have no visibility on progress of this
- The $45 million CIBC Capital lead debt financing initiative is obviously critical and associated on-going due diligence can be "assisted" by these equity contributions to First Cobalt's financial structure.
A solid "core holdings" strategy on this investment is probably at a 3 years horizon, in my opinion, with trading opportunity in steps or at milestones such as debt financing announcement; Idaho mine significant updates; Flow Sheet significant efficiency updates; Refinary commissioning; Quartly 2023 operations performance updates, etc...
Those late 2017 and early 2018 peaks are surely still quite a long way off, but climate change green technologies focus are a tailwind,
Peace,
Good Decision-making to All,
ElJ