Well I would not want to walk a mile in the shoes of the directors this week. More than a few doors will be closed to capital raisings in the current market for guys with a track record like this.
Exploration is one thing - you can turn off the taps and drip feed a company. Production/development especially in another country just means that the "true" picture of the balance sheet is hard to define (made worse if you have doubts about management) and in a risk averse environment, options are getting more and more limited by the day.
Maybe not end game (Administrators) but I sense any raising now will be so dilutive it could be a "step change" for SH.
My opinion - When directors make loans to a company, new investors often, and one may argue fairly, expect that this money is not sent straight back to the directors. The directors often have a different view and would prefer not to exchange this for equity. A classic road block in situations like this.
HAZ Price at posting:
6.4¢ Sentiment: Sell Disclosure: Not Held
