Let's call a spade a spade, PAC haven't been incentivised properly here and the elephant in the room is a potential looming CR
PAC are entitled to 75K * 20c options per month, meaning after 12 months they will have vested 900K options. If the stock is sitting at 40c, that is worth $180K to them ... hardly a huge windfall
Assume (wild theory), for example should PAC receive a $2-3M raise around current levels, the 6% fee would be $120-180K alone, they'd get a huge sit in the stock and right before becoming CF+. We've seen them have things like CAN and TTT trade in the hundreds of $M's, AGH opening up at 60c from a 20c float etc, they have firepower. Once set for a few $M, they could easily have this parabolic IMO
SP3 shouldn't need cash, but as others have eluded to, $2-3M next year in Q2 would provide some flexibility in pursuing other business opportunities, pipelines deals etc. My concern is PAC are happy to leave management to their own devices in marketing the stock and Q4 results, and see whether SP3 approach them for a CR early next year
I am waiting to see the Q4 results, how they are presented, whether or not PAC promote them at the time and give them some love, how the price responds etc. Should tell a lot
Personally I'd prefer to see SP3 just go hard, issue them 1-2M 25c options expiring Dec 2019 and tell them kick this into gear. Say there is a $3-4M raise at 40c to fund US expansion etc.
