So, from today’s half yearly report... these points seem relevant:
“The next steps in the approvals process will include the submission of documentation relating to the Mining Concession and construction permits. Highfield is preparing for these, as well as for onsite construction activities, and remains confident of receiving the DIA, Mining Concession and constructions permits.”
“The Company has continued to update the Project Finance syndicate on project development with respect to the financing facility for Muga. Highfield remains confident of putting in place its debt and equity financing following receipt of all approvals to support a final investment decision and the commencement of construction.”
Glad to see there will be a combination of debt and equity raising. Seems to me that DIA approval is the main kickstarter. They’’ve previously stated the Mining Concession and constructions permits are formalities that can be completed swiftly (month or two?), so I would expect the SP only to gather pace in that period. Do we know yet who is running any cap raising for them? They will be doing their bit to maximise the SP at this point. So I am thinking the SP peaks by the time the debt facility is announced in the lead up to any cap raising. That will be a time for me to take some off the table - who knows, I think it could run hard enough to take my entire original stake off table and be free carried thereafter. I certainly won’t be selling it all, it might be a bit of a grind for the 2 years of construction, but then there is the distinct possibility of being taken over before the mine springs to life and I wouldn’t want to miss out on that premium.
(20min delay)
