They will need money @edgescape - and Bill doesn't like using debt much - so you could be right.

@Bear77 Woodlawn? surely that can't be woodlawn mine near Lake George, i was looking at it in the 1980'S. lol. quite problematic back then, hopefully, the owners can weave some magic, that mine has got more lives than a cat!

@Solvetheriddle

Spot on. Think we are all suckers for punishment on Woodlawn. I'm holding off topping up here as I see better value elsewhere until my CR theory is proven true.

@Solvetheriddle and @edgescape - I was a Herron shareholder back when they were building a plant at Woodlawn five or six years ago and got into some major arguments with the builders, Sedgman, owned by CIMIC at that time - see here: Heron Resources battles CIMIC's Sedgman over cost blow-outs (afr.com)

I got out when that argy-bargy started up, however I did follow them and it was really just a case of the whole thing costing significantly more than they expected, and running out of money eventually. The went into Administration in 2021 - Woodlawn Mine company, Heron Resources, enters voluntary administration | Goulburn Post | Goulburn, NSW

And here: Heron holds Woodlawn hope as administrators called in - Australian Mining

They were hit with those cost blow-outs, legal disputes with Sedgman, ramp-up issues at the plant, Covid-19 issues, and the mine was placed on care and maintenance in 2020 before they went into VA in 2021. They also had a strategy that wasn't working at that time and with those zinc prices; Herron were trying to create cashflow from reprocessing old tailings to repay debt and to also fund exploration to find fresh zinc because everybody agreed the area had been under-drilled and there was more zinc there. However, Herron couldn't even generate positive cashflow from the tailings reprocessing because of all of those other issues I've just listed.

Here is something from a little earlier:

Contractors chosen for Woodlawn tailings reprocessing (miningmagazine.com) [22-May-2018]

In summary, it didn't work for Herron but they weren't well funded and they didn't have a good business model - or a business model that ultimately worked for what they had there - whereas Bill Beament has a better plan IMO and is a lot better funded - and he's after fresh zinc, he's not basing the business case around successful reprocessing of old tailings to extract the zinc that previous miners didn't manage to capture. But in the end... it's zinc, and zinc still stinks as far as the market is concerned, so Woodlawn is not considered to be Bill's BEST project at Develop - however it's likely one of the ones that he'll get up and running first, just because there is so much infrastructure there already in place, so the spend will be lower than at some of the other projects they have.

Found something interesting in the most recent Cannacord report (9th April 2024 PT 4.65 down from 5.00)

Selling an interest has a potential the dilute the ownership. The other question is will this be done by equity or debt. I'm thinking it could be equity and if so then we could see a lower share price.

Also from the Woodlawn DFS, price forecast and average could be optimistic into the future.

CG thinks traditional financing will be done.

I think all those acquisitions are starting to bite. BTW: I'm not against acquisitions as long as they are done right. Look at Telix for example although that has been a long grind.

It's also interesting now that my holding in Clarity Pharmaceuticals (which I've spent less on) has now surpassed Develop!