RE: Reagrdless - geeraf + DonPlease help me with my DD. I hope you will understand why I am asking these questions. I have done a lot of reading but can't put this puzzle together.
EV has done 24 PP's since 2000. What have they done with all that money? I believe this is a legitimate question to ask. This last PP "Erin Ventures to raise $749,000 for debt redemption" will pay for what debts? The $300+k left over after bills are paid won't go very far. As per December 31, 2004 financials EV still had a $317,539 working capital deficiency. This last PP will only net about $749,000. How will they pay for the contracts with the Serbian government and finance the actual mining operation plus finance the Macedonian lead-zinc mine, should they be successful?
When adding up all the PP shares plus poss. warrants, how many shares are really outstanding? The 10K says they have a skeleton staff. Who are they and what are they doing. Why spend money on staff while waiting years to be able to get going? Blake is said to be doing accounts payable. I read here and see from the PR that he does IR, but he is not mentioned on the web site Corporate Info.
You say the company should soon be cash flow positive. Can you give me more details on how this is possible when the company has no revenues to date and no forseeable future revenues?
You say EV has a joint venture partner.
I would like to know who that partner is and what their participation will be and why don't they put up capital?
Will there be many more PP's needed?
Don said:
"The expected share price that we are all
hoping for, is $2plus, which could happen at any moment, with
the release of a positive NR. The potential is a share price of
$3-10, once the expected deals are in operation. And the
long-term figures that have been banteed about go as high as
$60 (not bad for a 30 cent stock)
Several of our members hold more than 100k shares, and we are
long on EV. (I for one am in this category)
The risk/reward is just too good to pass up!
But the danger is always there, that none of this will come
to fruition, after all, nothing is a "sure thing"..."
How realistic is this, if at all? It seems too good to be true and I hope to get some more answers from you.
Thanks for your time in advance,
bl