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Thats a sound post SM...white knights are usually used to defend a company against a bid. However...
I see four possible scenarios:
SOLG already talking to a prospective bidder(s)
Somebody, such as BHP, launches an insulting bid at, say 40/45p...Sangha has a party lined up to counter...a bidding war ensues with possibly others entering the fray until we do a Noront (23c to 110c)
A bid emerges from a likely successful bidder which would be followed by a bidding war IMO unless it was a knockout bd, which for me would have to be 100/200p to take SOLG out of play.
No such bid emerges as potential suitors hold their fire to see what happens (after all BHP have waited more than 2 years after they were released from their covenant), so Sangha brings a 'friendly' bidder to the table knwoing that it will trigger a bidding war.
All I can say is, I've twice woken up to find that the vale of my SOLG holding has at least doubled...this time I'm hoping for much more even than that...
Majors CANNOT keep talking about massive copper shortages down the road without finally doin g something about it...I still think there's a big game of 'chicken' being played between majors with enough firepower to take us out with 'petty cash'...
Day after day...
Market Quote 18.54/18.72
Actual dealing prices in NMS 18.57/18.59
Bid for 300,000 at 18.42...
I have to assume there is still a big buyer there...adding to the stake they are about to buy from CGP, or building a stake as a foundation for a bid...?
The vast majority of today's trades are Autobots, so I still think there is something going on behind scenes in the market.
I hope you're right red. I think the bravado on display by Sangha and Irwin either implies they are highly confident of lining up a bidder or JV partner for Cascabel (or the whole lot) or they are desperately trying to call BHP's bluff to coax out an offer from them.
If we can find a 'white knight' who is willing to table an offer around the 40p mark, BHP then have a binary choice of countering or walking away and looking at the other projects in their portfolio they've taken a stake in. At that point, I imagine the CGP lot will be urging shareholders to take the offer on the table so they can move on. Not sure the same could be said of Mather, but he might not have many options to turn to by that point.
"create companis...and then ultimately majors eeem to take them over"
Just look at Atlantic Lithium...
Lunch...if you want to put that interpretation on it then fine, but to me, taking Nick's statement and Sangha's irreverent comment I believe we are on the verge of something big...maybe life changing for some of us...and it sure as h**l aint a J/V...
At 2.55 he says "the basic idea and the model we have been following successcfully for some years is to create companis arpund very very large resource projects and then ultimately majors eeem to take them over and thats certainly the plan in respect of Solgold..."
Which means we are NOT going to production and if he said that 3 months ago, together with the CGP merger, you can bet your life that we aren't far off the big payday...
At 2.55 he says "the basic idea and the model we have been following successcfully for some years is to create companis arpund very very large resource projects and then ultimately majors eeem to take them over and thats certainly the plan in respect of Solgold..."
Which means we are NOT going to production and if he said that 3 months ago, together with the CGP merger, you can bet your life that we aren't far off the big payday...
Orthern, the logic seems eminently simple to me...
Bob Dangha IS Maxit Capital.
Maxit's business is M&A
Maxit has been retained to advise BOTH companies, not just CGP
"Pursuant to the Agreement, SolGold is pursuing a strategic review process with the goal of maximizing value for all shareholders (the "Strategic Review Process"). Accordingly, SolGold has appointed Citigroup Global Markets Inc. ("Citi") and Maxit Capital LP ("Maxit Capital") to act as financial advisors to assist with exploring value creating alternatives for the Combined Group. "
If Sangha very publicly gives a considered view for an article in which he features large, that BHP and NCM can go "f*** themselves" it does NOT suggest a sale of Cascabel because that would surely raise the SP significantly and BHP and NCM would be direct beneficiaries, making a handsome profit on their shares should they wish to take it. And why wouldn't they, as the 'jewel in the crown' would have gone...
The article would have been drafted beforehand and Sangha have an opportunity to proof read it. It strongly suggested to me that there is something big coming which won't please BHP and NCM...
Fromm3 minutes
No he said that.
Hi Lunch
In the Business Activity RNS on July 28 SOLG said:
"Porvenir is the Company's second priority after Cascabel and SolGold has engaged M3 to progress the Porvenir project Pre-Economic Assessment ("PEA") that is on track for completion by year-end."
Whch accords with your quote:
""On July 28, 2022, the Company provided an update on the progress of activities within its exploration portfolio and
the Cascabel Project and, among other things, advised that Porvenir is on track for Pre-Economic Assessment
completion by year-end"
The FY started on June 30 so it sounds like the Porvenir process began early in the new FY, so I don't see why it can't be completed by 31 Dec, unless...something else intervenes...
Lunch I was trying to work when placement of cgp shares myself I'll go with you on end of November another book closed as dbw said this morning tidying up their books for a reason imho
Lunch...at Noosa only a few months ago, Nick made clear SOLG will be sold...
Autobots haven't started yet watch this go lol!!:)
Comon copperpot big news coming before Xmas and that's not quady or Tesla telling us we going to production ...
Lunchmoney - wind your neck in mate. Yesterdays exceptional increase in price and volume was not down to this morning's annual yawnfest. That was my point if you'd read my post properly.
Tesla1 - you clearly see yourself as the new Slug. You can be as nasty as him, but you ain't as smart as him. He occasionally makes some spot on predictions and accurate assessments. youare just an irritant - clearly not invested here.
Copperpot - another long termer who tells people to be patient, to go away and chill BUT ARE ON THIS BOARD EVERY SINGLE DAY THEMSELVES.
There we go boys. Sorted.
I suspect those standing outside William Hill are better dressed and don’t have as big an ego…..
Jaysus, talk about clutching at straws!!!!!!!!!!!
I think a few need to take a break from here.
Lunch ,oh yes
Sean yep big bounce on news coming leaky ship
Insiders clearly knew there was an RNS on the way. What a leaky company.
However, all that buying couldn't have been for this mornings nothing burger.
Starting pistol went off too soon.
I expect a good news RNS later this week.
I try not to wade in here too often, but I agree with you on this one, and we have to start looking a lot closer at reality.
At the moment we have a valuable asset, that is not in dispute.
However, what we do not have is a plan or a board willing to deliver a plan to realise the asset.
Founder (NM) is quite clearly of the opinion that we can go it alone and develop the asset, but there is very little reason for anyone to support us in doing so - they would be stumping up the cash and the mining expertise whilst leaving a lot of the profit in the hands of SOLG that will not be contributing anything going forward.
So the obvious solution would be either a full sale of the asset (maybe just Cascabel in the first instance) so that the buyer can exploit it, or possibly a JV where SOLG are a very junior partner. The alternative is to carry on business as usual until we can find no more 'easy' money to keep us going and then trigger a fire sale.
Obviously I don't want the latter, and for me the former would be best for holders - we'd see a decent chunk of cash returned to shareholders and no longer have to support a board that seems to have lost it's way in the last three years.
Looking at the official news flow, I feel that this is what is being prepared for at the moment (I know that contradicts me saying that the board has lost it's way, but I think that they are to some degree making plans again now); getting full ownership of the resource is one step; the royalty deal is a small stepping stone to allow us to continue operating long enough to create a sale agreement, it is not long term funding and does not actually enable us to exploit anything, anyone that thinks otherwise is following a red herring in my view. The next step came this morning, with a very clear statement that we have enough money to run for another few months, but are not planning to do anything other than keep it ticking over.
I don't know what the final value of this will be - copper is currently in high demand, and that is likely to continue throughout the coming recession; gold will piggy back that copper demand as a circuitry component, so the value of the asset is not going to diminish anytime soon, but whoever takes it will need deep pockets to exploit it within the constraints that the local govt are imposing, so the value in the ground is not a good indicator as to what may be realised.
Just my opinions, got too much time on my hands this morning!
T
Bob indicates in the article that these studies are a waste of money and that a sale or partner at asset level is achievable without these studies. So do not wet the bed. This is from another investor: "We are not going to be building this mine and anybody who is will take our $60 million study and throw it in the garbage. To [complete a feasibility study] DC will dilute [...] and weaken SolGold [....] "
Dbw, this is where I would suggest that the equity SOLG has built up amongst communities & w/ government would be the only value-add we could bring to the table in a JV situation.
Mister a JV makes the company less valuable IMO and too be honest what have we got to bring to the party once deal is done ?