This is from the Cannacord broker report on ZYL in April...

This is from the Cannacord broker report on ZYL in April 2012:

"ZYL will achieve 74% of the Mbila Project with some capital dilution and a Phase 2 expansion is being investigated. It has been assumed for the purposes of the NPV that capex will be funded by debt. In reality, ZYL will require equity capital to support a debt/equity ratio acceptable to lenders."

These companies have to do equity raisings to go along with debt. Usual ration is 60:40 debt:equity. This loan is a bridging type of loan. Equity raising comes later.