We will know shortly whether they have wasted the cash in WA.UK...

We will know shortly whether they have wasted the cash in WA.

UK has certainly been problematic and the Lidsey well success is critical to cover costs over there. There is no denying they are in a bit of a hole.

But I always keep an eye on the best way out of any situation, and if :
1) the intention is to keep KEY operating
2) I am still interested in owning the shares (which I am as I think the assets have been discounted heavily by the market due to recent management mistakes)

and considering the three basic methods of raising capital (excl debt) outlined above, then this is the FAIREST of all the options, and that is all I ask for. I doubt they would have undertaken this placement at this low price if there hadn't been a shareholder revolt at the ~5c soph raising.

Sure many will give up on this and try to make money elsewhere. But I don't think the company is unsalvageable yet.

I am so used to being entitled to SPP's in pumped up overpriced shares, and being heavily diluted at market bottoms, that believe me, this is a pleasant change.