Ann: $1,000,000 Investment in Austpac Resources NL, page-13

"In my eyes a good deal.
Much better than a loan secured with interest and payments leaving the company venerable.
The risk is all taken by the US company"

I do agree this is a good deal for the company. Although it shows a complete lack of faith from you that they are going to complete the plant and sign those contracts worth millions and millions, because paying back the million and some interest in a year or 2 would be chicken feed.

But my reading is that their is very little risk for the US company.
They have been given 16.5 million shares up front for free. The maximum price they pay over the 24 months is capped at circa 1 cent even if the price is multiples of current price and below they get to convert at 90% rounded down. E.G if the VWAP for the 5 days is .0077 they pay .006.