Hi JohnPaul.
Omagine won't be trying to raise financing with 10 year old information.
From a recent SEC filing: "Management plans to obtain third party verification of its assumptions and beliefs by engaging well known professional real estate, tourism, marketing and financial consultants to update and assess LLC’s market feasibility study for the Omagine Project. It is presently planned that one or a combination of such consultants will also perform a full third-party financial feasibility assessment to update LLC’s underlying assumptions in its financial model for the Omagine Project. These studies and assessments will then be utilized by LLC to fine tune its development plans, and by LLC’s designated Financial Adviser in arranging the necessary Construction Financing and other financing for LLC as may be required."
As for hiring CCC, Omagine said in the same SEC filing: "The Company presently expects that the CCC-Oman Contract will be finalized and approved by the LLC shareholders during the first quarter of 2015."
It looks like this contract will only specify pricing for the Initial Design Period, "during which LLC's engineers, architects and designers will be undertaking the master-planning, engineering and initial architectural design work for the Omagine Project" - and for the initial construction activities via a "bill-of-quantities" specifying unit pricing for each of the Initial Construction Activities.
The second part of the contract (The Fixed-Price Period) "will commence immediately subsequent to that time when the percentage of completed Design Work is such that design criteria and specifications are established and in a form that is clear enough for LLC and CCC-Oman to agree on a fixed lump-sum price for the Remaining Construction Activities."
I don't see any Catch-22. As milestones are achieved, it allows Omagine to move on to the next milestone.
I imagine Omagine is already working on the initial financing for its Phase One Activities. But I'd think any potential investor would want to see three things: 1) The appraisal (done); 2) Ratification of the DA (supposedly done); and 3) Signing and registration of the Usufruct Agreement (land rights). So we're 2/3 of the way there.
Once Omagine can raise the initial financing, that triggers the $70 million payment (assuming the contract with CCC has been finalized).
Once Omagine has the $70 million, that should be a big help in raising the construction financing for The Omagine Project.
I think the completion of the initial financing and the receipt of the $70 million should be two of the big drivers of the stock price this year. And if they can arrange the construction financing this year, that will be huge as well!
