Black Iron Inc T.BKI

Offtake

[wallywagon]

Hope its a good day BKI Shareholders.
Your thoughts: No Dilution??
advise Thanks
GLTA

[IRONHANDS]

No dilution and a floating market price at delivery makes this a home run. Cargill is a trusted name and big player. Selling it at the 65% price instead of the 68% price is no big deal. 4 million tonnes at $200USD for 4 years is a $3B+ purchase order. That offtake may change with the iron ore price moving forward. Discount all you want for time value, BKI is wildly undervalued. Maybe less so after

[Porsche993]

Selling at 65% + splitting the additional 3% premium.....not sure of % split...50/50? Sounds like a solid decision.  It's  a home run for BKI, assuming binding agreements done soon. Cargill has a huge global footprint and knows its way around the Ukraine from many years. 

[DanGSstocks]

very good morning to everyone Very good news. $65M from construction company + $75M oftake + $100M facility = $240M towards $430 capex.  Therefore $430M - $240M = $190M needed in equity raise = 271,428,571 share dilution  currently 333,114,948 shares issued and outstanding, so will be left with 604,543,519. Likely share price much higher when FS comes out showing NPV north of $3B.

[SomeFromNone]

as stated on page 9 of the investor presentation, the other 60% is coming from bank debt, not share dilution. They already have "expressions of interest from European banks and export credit agencies to provide US$250 to 300 million of debt" as noted here: https://www.yahoo.com/now/black-iron-project-construction-financing-123000468.html

[BKIalltheway]

Great news this morning !!! Although I don't quite understand the market response. It's like people don't get how good this is. Or perhaps the market anticipation had already taken into account this need coming through. I just thought once this was announced that we would get another solid spike in the SP 

[DanGSstocks]

Hi SomeFromNone Though the article is from Dec 2019, you are right, I forgot that there will be debt financing that Matt also talked about in the recent podcast.  So there may not be any share dilution, which would be unheard of but great for us.  In any case, things are looking great, time to plan retirement :-) cheers GLTO

[nodice7777]

Agree with your points. Cargil is a very big player. Adds clout to this deal. Given where ore prices are, even when they inevitably cool off, it seems clear to me that there's going to be no more false starts with this project. Plenty of catalysts this year to bring this stock closer to full value. Matt, don't drop the f'n ball!