Surely you can't be serious about SFMI having a "huge amount of debt". Last I looked it was around $4M- a piddling amount for a junior that has reached production. Most projects cost 10s or 100s of millions and by the time the companies get to production they either have huge debt or many multiples of the number of shares of SFMI or both. Look at it this way- SFMI is planning at least a couple of shipments of 1500 oz bars of 2/3 Au dore by the end of the year. Two shipments are most of the debt, three will just about equal it. Of course there will be other expenses in the meantime (including expanding production to produce even more dore), but characterizing SFMI as having "huge debt" is just silly.

As far as SFMI's investors turning on SFMI, most of the big investors are also large shareholders, not just a faceless bank looking to foreclose. They are truly "invested" in the success of SFMI, as are any of the holders of convertible debt. PQ has potential investors lined up, and he has a real choice as to whom he ALLOWS to invest in SFMI. He's not desperate, and hasn't had to resort to any loan shark deals. He has also issued shares in return for goods and services, an approach that is much more efficient than having some hedge fund scalp a percentage off the top to sell the shares. SFMI doesn't have to have anybody "sell" their shares, there are plenty of people asking for them.