Ann: Diggers & Dealers Presentation, page-51

The funds and others just drive down stocks for a cheaper placement. Good way to average in when your position is larger than most and if your time line is longer than a few weeks.
Its going to work here unless they get a couple of cornerstone funds to eat the paper above the current price. Then everyone will be caught off guard. Probably wont happen because the market is not that interested in resources at the moment.
EAR may want to try and get the highest component of debt and minimize the placement size as they can. The pay back is quick anyway. I would do that even if the interest rate was higher simply to limit unwarranted dilution. This is looking compelling but i still want to see the numbers.