Question James - you have opined that the best course of action for PEM in its current financial condition would be to go on maintenance, conserve cash, until the market improves and it can get adequate financing on better terms to do a more comprehensive drill program. The current cash position of the company of roughly $1M dollars, which includes the $650K just raised, isn't enough to do much. I tend to agree with this approach.
However, Christine Kopr in her interview with Al Korelin a week ago on kereport.com referred to PEM's past success in significantly expanding the resource calculation with only a $500K finance for drilling, and implied that PEM would do so again with money just raised. So my question: is it your understanding that PEM will spend this money intelligently to drill as much as they can this summer to continue delineation of the resource, and seek another round of financing when they run out, market be damned? Or do they lay low, conserve cash, and wait for better times to finance and drill? Do you know? Thanks much ....
BSM |
