This isn't a PP, this is a loan secured by a possible issue of shares & warrants in lieu of repayment. There are three main probable uses for this cash -

1) ongoing expenses

2) exploration/drilling to satisfy the conditions of the option from FNC/Bold

3) large scale test of the chromite reduction technology

There is some possibility that cash is needed to acquire some of the claims between the north end of the esker claims and the Black Horse claims.