Its the $22.5 M in the following 22 july announcment. I cant find how they can use it as capital towards the project. TO me it looks like the $22.5 M is exploration capitalised over time and then being used as an asset by the company. So it would be fictitius money as all ready spent on drilling etc. In other words they are putting up for security an asset in the way of drill hole exploration expenced The reference to a vanuatu holding company doesnt add confidance either
"The project will be financed by a US$35.0 million facility from Macquarie Bank Limited and a short term US$5.0 million loan from a Dominican Bank, which should only be required during the six month production ramp up. The EnviroGold Group will advance a total of US$25.0 million of project equity including capitalised holding costs. Of this amount, US$22.5 million has been provided to date. Negotiations are at an advanced stage for a major Australian investment group to contribute US$7.5 million for a 20% interest in the project. EnviroGold intends to reverse the transaction where it purchased the carried interest of a local partner, Grimston World Inc, in November 2008, so as to maintain high level commercial and government relations through a local partner in the Dominican Republic. EnviroGold’s economic interest in the project will then be 73% and Grimston World 7%."
DOM is a consistnat performer I have done well form it in the past. bought at $2.00 recently and sold north of $5.00 gods were good with me. Next door to DOM and holding many of DOMS prospective tenaments in a JV is SAU . SAU are moving drill rigs to DOM jv ground as soon as.
EVG Price at posting:
8.1¢ Sentiment: Buy Disclosure: Held
