Terresainte, the company plans to be very cashflow positive from this acquisition and I hope they can soon release their objectives for 2009 and maybe give us some idea on how profitable they expect to be. I expect the 2 operating mills should produce at least $15-$20 million per year in profit which will hopefully mean no more financings.

I would have preferred debt financing but from what I understand the debt markets are still to tight so equity was the only option. Although the deal is sweeter than I would like to see, I am glad to see a bought deal completed so the company can get on with making money, building the one billion ounce resource we all know is there and increasing shareholder value.

It seems this is the price of money for large amounts of money for a company at our stage of development versus those already producing aggressively like Alamos (AGI) or Silver Wheaton (SLW). This is soon to be the category we will be in but with larger resource potential than either.