Leyshon Resources (LRL) is dual-listed on the Australian Stock Exchange and Alternative Investment Market (AIM). The stock is currently at support, and given its gold-zinc exposure we can expect this company to attrack some support in coming weeks. LRL is developing a gold-zinc mine in China. The project has not yet been approved, but critical plant components have already been ordered anf negotiations for financing are already underway. The plant will cost $US45 million to develop. The company has cash reserves of $A12.9 million ($US11mil), which will be required for working capital. I would suggest finalisation of the debt financing is imminent. A roughly $15-20mil equity raising could not be far off, with a good share going to institutions. For Paul Atherley's sake I hope the bankers have short memories - one is reminded of the Murchison United (MUR) attempted acquisition of a project in Europe years ago. It didn't quite get there. The company was buried by a currency hedge for its Renison tin project, now controlled by Metals X. Well I guess they all know him :)Andrew Sheldon www.sheldonthinks.com
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