SolGold Share Chat (SOLG)

Can you explain why CGP will fail to find its share of CAPEX should it come to that?
I think a Newcrest/BHP JV is most likely.
SOLG has done a great job and Porvenir is a fantactic discovery.
I'll take anything north of 75p!
But a bid better come soon because those holes at Porvenir could add another billion to the MC!

" I suspect the second possibility would work better for us, because as soon as anyone buys CGP our price will rocket."

Isn't that exactly the reason that nobody will buy CGP! Better by far to go for the lion's share directly.

Correct colonel and cgp along with having to fund their share of production costs they will also have to keep cgp funded for the next 6-8 years.
Imo if Bhp do take over solg cornerstone will be in a precarious position with very few options (ncm?)

Strange that no RNS but who lnows still time for that.

Sorry, I should clarify my comment.
There are two separate issues/approaches with regard to CGP. 1) an offer is made for SOLG by a third party and that offer would have to be made for the CGP shares in SOLG. It would not be an offer for CGP as a whole and therefore their holding in ENSA would still be in their ownership. 2) If this is the route, the bidder would either have to come to an arrangement with CGP to buy their ENSA shares or, leave them in situ and wait for them to fall when they struggle to find the required funding.
The other approach is that someone buys all of CGP in advance of a bid for SOLG and therefore avoids a separate discussion with them about ENSA. I suspect the second possibility would work better for us, because as soon as anyone buys CGP our price will rocket.

Pretty disgusting what has gone on over there with DGR. Trading halt just as the price was taking off and the placing at the same price as prior to any SOLG related rise. Sick - not surprised that NM has gone in heavy. I thought the guy had more integrity than that.

Colonel Drake. Solg catagoricaly do not have a rofr on cgp.

Perhaps NM was just being decent (&strategic), here’s a fair & decent offer, it tidies things up for me & we can push ahead as a team with funding already in the bag. You’ve declined that but in the meantime I’ve got other options available now including forcing you to give it all up. If I’m so minded.

CD - first rate analysis

Colonel, I agree - it was a good deal for them (but not us), but they clearly feel they can do better.
As to the point that a buyer of SOLG can simply ignore CGP, it doesn't work like that. An offer has to be made to all shareholders on equal terms.

well that went well...lol

Resource company incubator DGR Global is raising A$10.2 million at 8c under an accelerated entitlement offer that is fully underwritten by Bizzell Capital Partners, and sub-underwritten by DGR director Nick Mather's Samuel Holdings for $1.9 million.

An additional offer for third party investors for a further $6 million is not underwritten, but DGR said it has secured firm commitments for the whole amount.

https://www.miningnews.net/capital-markets/news/1397277/capital-watch-dgr-prospect-and-more

Pinot

:0)

Totally agree with that statement, why have your eggs in one chicken shed when you could have had free range in Ecuador. Hell of a mistake to make if they haven’t taken the offer from NM.

I think that headline might come back to haunt them. Success defence yes. Stupid defence yes. Time will tell. As I have said before, whoever buys SOLG can simply ignore CGP and get the 15% ensa for $3.5m unless CGP find $350m under the sofa. Whoever buys SOLG, also buys the right to First refusal on CGP. Whoever buys SOLG effectively buys CGP but on a timeline that suits them eg... post DFS for $3.5m. Now Porvenir is looking like being bigger and better than Alpala, CGP's 15% in Alpala suddenly looks less precious. It's potentially a 15% stake in 1 of 5 or 6 Tier one projects across ecuador and it might well turn out to be the most expensive one. The one that the majors are less interested in. CGP had a chance to have a stake in 14 x Alpala's and instead they chose to have a stake in 1. Successful? I say stuipd.

Morning all.....might be of interest...Resource company incubator DGR Global is raising A$10.2 million at 8c under an accelerated entitlement offer that is fully underwritten by Bizzell Capital Partners, and sub-underwritten by DGR director Nick Mather's Samuel Holdings for $1.9 million.An additional offer for third party investors for a further $6 million is not underwritten, but DGR said it has secured firm commitments for the whole amount.https://www.miningnews.net/capital-markets/news/1397277/capital-watch-dgr-prospect-and-morePinot:0)

Hell of a post yesterday theiceberg what ever happens it can only be good for us in the future, doesn’t always need to happen straight away, as per your excellent post yesterday, where’s the downside?

We 're all wondering what the next moves will be:
Exploration?
Corporate?
Financial?
Internal or external?
Nice to see a blue day yesterday though.

Morning solgers,onwards and upwards !!,may get an rns today..l

People keep omitting the importance of the Ecuadorian government in all of this. NM has not stopped banding BHP's name round of late. The like's of "we're going to be the BHP of Ecuador" and "were going to do for Ecuador what BHP did for Australia" My money is on a 'done' deal between Solg and BHP with the blessings of the government!

GLA

The first thing to say is, thank heavens for that - it was a terrible deal for us, and the outcome was never in doubt.
I don't buy the argument which says it was a deliberate ploy by NM and he knew he'd fail. No one wastes a significant amount of time and money doing that. If it was deliberate, his judgement certainly comes into question.
What is obvious is that the CGP holders believe a much better offer will be on the table soon, one which suits better their short term ambitions.
Anyway, all bets are now off and we're in for a very interesting period. If I were BHP/NCM or anyone else, the first thing I'd do is attempt to buy the CGP holding, or at least reach an agreement with them prior to any discussions with NM. If BHP gave NM a call and opened the conversation with the statement that they had CGP onside, NM would be forced to take it seriously.

Why you ask? They are wealthy, they have the knowledge and leverage to move this at pace which would suit Ecuador. They have been looking at future demands and starting to address this in their business plans, Security for the company is in gold and copper mining as weakness in the dollar will need backing up with something. Copper is the new gold as well, electricity is clean and the main power of the future.
Also Nick would never be allowed back home or his Sheila, they would cut off his goolies lol.
IMO

"I'm convinced he's cooked something up with BHP "

If this was the case why wait till the stand still ends. BHP could have made a friendly at bid any time. Also why none of the others have bid so far. it all leads me to believe that it is either BHP hostile bid or off to production.

I believe this is all a well constructed bud defence, which will either avert a bid or more likely ensure the highest price possible...

Nick made the bid for Cornerstone as a diversion tactic, knowing it wouldn't succeed, but buying him time right up to the BHP expiry date, so that he could have the maximum time possible to drill all four targets.

The last few RNSs have been timed and planned to get the SP up as far as possible before the expiry date.

Whether or not there is a bid immediately, Nick now has the ammunition to blitz the market and either get the maximum bid price or get the SP to a level where it makes suitors think twice. After all, look what happened to GGP in a short space of time with a fraction of the prospective news we have here.

The fact is, he doesn't have to RNS drill news that hasn't been independently assayed.

So he can release it to suit the necessary timing. My guess is Blanca and La Hueva first and or second. Then initial exciting news from Rio. Then the PFS and finally the blockbuster from Porvenir.

After that, if he hasn't had to suspend the SP because of a formal approach he can keep the drill news coming until he has 4 more Tier 1s.

And meanwhile BHP may not be the only suitor. Eg Barrick may be waiting to see what BHP does and how Newcrest reacts.

Buckle up guys...ready for lift off and the ride of your lives...

AIMHO as usual....

There must be some purpose or value to BHP for signing up to a 2 year standstill. Otherwise why do it?
Maybe we’ll all soon find out.

CGP fairly static at $5.9 but looking decidedly toppy - wouldn't be surprised if their share price takes a royal dive in the coming days, especially as they have a placing due. What were their shareholders thinking?

Was going to say the same thing Schlem - so what was the point of all that then? Surely, NM must have anticipated that this outcome had a high probability...what's the next move? Is there a next move? Has the find at Porvenir changed NM's strategy in this regard at all? It's all rather opaque as it has been from the day it was first put forward.