Correct me if my research is out of date, but as I read it the announcement on 24th September stated that EVG would increase their stake in the LL project to 92.5%.
Instead of sourcing the final $7.5 mill to fund the project through an equity partner they had secured:
"additional project funding and mezzanine finance from a major Dominican bank."
I read this to mean that they are fully funded to production for LL, and what's better they own more of the project with gold and silver prices being much higher than when their financial models were constructed.
Reading the announcement, I would assume that the mezzanine finance will be short term and at a relatively higher interest rate and the additional project funding will be allocated over the life of their project as per the existing funding.
I hold a lot of EVG shares and like the gold sector itself.
I would like to invest in gold more, but feel that I am well exposed to EVG on a single-company risk basis.
Can anybody suggest some other small, near-term production gold companies that are possibly travelling under the radar.
Cheers John
EVG Price at posting:
8.1¢ Sentiment: Buy Disclosure: Held
