I'm interested on your thoughts on how you think ARE intend to finance their share of the Torrens exploration campaign. An 18 month campaign drilling to depths of 1200m is going to cost several millions,10s of millions most likely.. I know Lindsay has said once approval is given, people will be lining up to finance the project. Maybe they will do what TAS did in 2011 with RIO. See below:
But will that mean giving away the farm and diluting their share ( 25%) of the project? Raising funds through another CR or placement would be highly dilutive too and not ideal.
AIS are still a bit of a basket case and can't see them stumping up the cash. They might need to JV with someone and give up a % of their stake,
Seems like until the finance issue is sorted out the share price might stay around current levels.
Interested to get your thoughts
Cheers
RUR
ARE Price at posting:
2.0¢ Sentiment: Buy Disclosure: Held
