One way or other AKK will need to get funding either by equity or finance , as it is cashflow negative , but if by finance and if we include Convertible notes as finance then often C notes are converted into shares which also dilutes the shares on issue or if a straight loan the financier will use as security the companies assets and if payment is not made takes control of the assets as is happening to BLY currently, a 150 year old company .
What ever scenario dilution or total loss occurs if the company is unable to service its loans
Therefore the company will need to drill a series of wells where the revenue returned to AKK is greater than all the OPEX , CAPEX , exploration costs , admin, interest ,
If the last 4 wells failed to achieve even a return on OPEX and CAPEX let alone taking into account the other costs what hope is there it achieve a financially viable project going forward ???
Serious question on my part !
TO date I can not think where it has succeeded to achieve that
DO not understand why you include me in down rampers as am just stating my opinions prefer if you showed a constructive argument to counter rather than getting personal .
AKK Price at posting:
0.4¢ Sentiment: Sell Disclosure: Not Held
