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Damers
Not a surprise as they are all pretty poor stocks. Plenty of better stocks out there.
CD, I just don't see Sandeep Biswas as in a position with his own shareholders to take a speculative punt at SOLG at 45p. Imagine if BHP didn't counter and SOLG shareholders accepted the offer. He's just bought himself into a relatively high-risk jurisdiction requiring considerable capex, though admittedly he would have picked up a strong portfolio for a song. It's just not something I see a major miner doing, particularly one under such pressure and that stated over the last 48 hours it would be focusing on assets and exploration closer to home.
Your Noront point is fair though, volume was low and the bid came out of nowhere. SOLG a bit of a different beast both size and risk wise.
Several mining stocks on my watch list getting a battering today (Cora -5.1% / XTR -4.1% / GGP -6.5%), so we need to understand the wider market a wee bit more before throwing all our angst at the BOD.
Damers.
What absolutely tosh ColonelDrake, NCM and BHP have made clear statements and they are the polar opposite of what you say.
BHP have said that they will not overpay for any asset.
NCM have said they are not selling and wish to add in the future.
Baldrick : M'lord.
Blackadder : Yes, Baldrick.
Baldrick : I have a cunning plan, m'lud.
Blackadder : Well ...... Out with it.
Baldrick : We should run the clock down on our world-class folio of tenements in the hope we have to relinquish them in the near future.
Blackadder : Yes, yes ..... and ?
Baldrick : Polish a turd and try to sell it off .
Blackadder : Don't you mean put lipstick on the pig.
Baldrick : No. I mean lipo, full silicone tits'n'ass, makeover and promo clip on Xhamster.
Blackadder : Brilliant, just brilliant!
Question: as per the (2 sources required) article in media a few months back... who believes NCM and BHP got together to discuss lining up a bid for SOLG??? Was it a made up story? Or a genuine one? Did NCM instigate it or BHP? Does NCM want out? Or does NCM want in?
Norges in a rush to buy themselves up toward the 4% level. Blackrock in a rush to rebalance their 5.3% holding with buying up a quick 1% (from 4.3% holding level) which pushed the sp to 35p recently. Why are the big players all buying if they knew they would be getting a decent wedge in an equity raise cheaper? They are not beginners. Blackrock know what they are doing. Look for the buyers (weeks ago) and not now. Be aware of those that get themselves nicely positioned well ahead of the 'main event'. The smart guys know what's coming.
SharketMare, I didn't say BHP would make a move for SOLG did I? I said if NCM want to get the ball rolling and significantly increase their 13.6% holding worth, then all they have to do is chuck in a low ball 45p bid and watch BHP come in and counter it as my point being.... BHP can sit and wait but eventually if someone else bids then BHP has to make a move assuming they want it. Ask yourself this... why are NCM still here? Why are BHP still here? What are they invested in SOLG for? BHP is the worlds greatest miner by size and talk of them having a dart at the huge Glencore empire. And here we are little old SOLG with BHP holding a 13.6% stake and seemingly frustrated when they see 1% royalty on the asset go to someone else.
Lets not play games here. Lets try and understand NCM's mentality. Are they in this for long run? Remember, NCM were here first and BHP followed. Both have holdings near 32p+ averages I believe.
Remember, Noront was trading at 23 cents and nothing volume weeks and days before BHP slapped in a 55 cent offer. That's fact. Some people conveniently like to ignore the facts. Noront eventually went to Wyloo for 110 cents leaving BHP tail between legs and looking rather weak.
Cat amongst the pigeons is will be on the way soon. BHP might be on the losing end yet again.
if PIs are not happy with the "progress" so far, what about Lasso and what are the risks?
New exploration company, under the clock and in the market fundraise, all to be spent on fast-track exploration with the explicit support of the government and an investor base looking for a high risk, high return. Any success will put additional pressure on all parties as the potential of the region is discovered. JV partnering is an obvious bonus for all. All execs and workforce trim pay and expenses to reflect we are a junior explorer; commit to this new model, or can faaaaaaark off.
Freeze all further spend on Cascabel, put on care and maintenance, fire some relevant workers etc. No rush here, as legal requirements already been fulfilled. No way we are going to develop it, so don't let it drag us down. Molon labe, but not central to our existence and we can carry on with the rest of the folio Could just do a Dutch auction, after all.
That's right Kat the licenses go back and guess what they probably won't be given back out again as it's to difficult to hand out new licenses without the country removing the government.
So we miss out and guess what, so do Bhp and Ncm.
Dangerous game imo.
Time to cough up Bhp
CD, why would BHP make a move now when they can wait another 4 months and rip another few chunks out of the company, through publicly and privately lobbying against its BoD?
SOLG is in a mess of its own making, if I were in BHP's shoes I'd be happy to let the clowns in charge keep at it for a while longer. We've just gone through a failed fundraise, lost our key money-man of the last few years and our metallurgy manager.
I see a few options:
1) Fundraising through royalty deal with the likes of Boliden (I would not be surprised if this led to BHP doing something drastic and counter to our interests) - money would probably have to go towards Cascabel and none of the regionals
2) A white knight taking us out (not something we can control)
3) Fundraising via placement at god knows what price (market conditions are tough and the company may well be lacking credibility given Ingo's departure)
4. Agreed sale of the company at a price BHP is willing to pay (not going to be the riches we've dreamed of)
5. Sale of Cascabel to BHP (probably the best we can reasonably hope for at this stage)
I expect things to be resolved one way or the other before the end of Q3, but fine dandy things are not.
( but unlikely to happen as it upsets the applecart for the insiders. )
Let me explain the last sentence. Cascabel is the incontinent golden goose which never quite lays the egg, but is the collateral which allows all the fun and games, fundraising to pay generous salaries and fiefdoms, and insider trading to continue.
"Ignore the low volume nonsense share price and just focus on how bids arrive and come from Super Majors other entities."
No you shouldn't ignore the low volume, if by what you say "an imminent bid is in the offering" the low volume should tell you an imminent bid is unlikely for obvious reasons.
Split the co into two or more entities. Let those of us who want to get back to exploring invest in the potential, and let those who want to fanny around with Cascabel post-discovery development invest in that albatross.
Simples.
( but unlikely to happen as it upsets the applecart for the insiders. )
Christ on a bike, Fort. Heard this spin about the tactics and rationale for an offer for SOLG since I fell off my dinosaur.
Stop all drilling in January in order so save funds, whilst the clock is ticking on the plethora of licences which we have to use or lose.
Brilliant, just brilliant...........
Sentiment low and investors fed up (well a handful or so on here) but nonetheless, it's perfect bid pitch time. You don't want to bid when investors are bullish and happy clapping. You want bid when investors are using terms like 'car crash' and generally doing the opposite of ramping.
That's when you want to slap in a bid. Remember, there's at least 50%+ of shares out there that are not in 'tight hands'.
Like Noront, when it starts it will be fast and many will be scrambling about paying 40p or 50p+ just to get a look in. Everything set up perfectly and looking great from where I am sitting. Ignore the noise... ignore the low volume nonsense share price and just focus on how bids arrive and come from Super Majors other entities. For instance, if NCM really wanted top price on SOLG, all they'd have to do is launch a take-over bid at 45p and just watch BHP come drawing out with a higher number. No one wants to start the gun because all want time to see if they can strengthen their current positions. And that includes SOLG BoD's who incidentally... got their share option awards out before they apparently sought cash raising via markets or strategic partners. Tick tock... it's coming. Without a doubt it's coming very soon.
orthern, indeed. People appeared to misunderstand the CGP situation and turned their ire on them, despite the fact it was us who launched a hostile bid.
In fact I think that bid was when the rot started to set in. It marked the high point of Mather's hubris and was a thoroughly awful deal from our point of view. Having to wait 18 months, or whatever it was, for a so-called translator made us look pitiably stupid. I actually ended feeling sorry for the PR girl who was tasked with defending that blatant lie. What a raging disaster it was.
Ortherncopper, we have to stick to facts, and that is nothing has changed, we have done the PEA and PFS, next is DFS. To many people on here said we are expecting a bid. Even when Solgold said they were not in discussions with anyone.
The things Solgold are talking about are the DFS, raising a CFP and construction of Alpala. Also talking about the other tenements, just no news yet.
Nothing else.
So we are on a long time schedule. Lots of patience required.
Montecristo:
I'll correct my earlier comment to: It's the slowest Gravy Train in history......
Lunch I agreed and fully supported the Franco deal, it was a great choice at the time… the important part being the buy back clause… but as you highlight, going down this route again, potentially with Bolli, cedes more.. making the IRR even lower for any majors out there, that may be interested in Cascabel.
Realistically we only have Mathers past bluster that there are many super majors circling around us… as far as I know, and the only evidence, is it’s just BHP? Anyone can correct me if I have missed evidence otherwise. Where are they if we are priced so low and so vulnerable?
A credible finance plan has been out of solgolds reach for too long..
I could go on, But I will leave it here, as I am aware quite a few of my recent posts have just been me complaining about the clear lack of any progress or achievement from our board…
I do believe in the asset, just have no belief in our board to capitalise on it
Add, I remember a few years ago, people gloating on here about how cornerstone were about to be ruined by our contractual agreements, how they couldn’t afford to contribute…. How we had the best side of the contract, how screwed they were… how they would have to capitulate to lord Mather…
I then saw an interview around that time from Irwin… who was totally at ease with it… as he explained, very clearly that Mather was talking nonsense, that Solg investors would be diluted to high heaven before they get to any Full feasibility, where Cornerstones investment will not be… they keep their 15% regardless of how many shares Solg have to create to try to prove it all up.. all the time adding value to Cornerstones 15%….
And here we are with an extra circa 500 million shares in existence, about to run out of funds again, and our management clearly failing to progress..
Now at a 19 month low...next support at 21.75...then 20 or so...then the COVID bottom (but we won't get that far...)
Come Oct / Nov miraculously and historically, SP will spike and same old dielema ! I'm pd off - fuse blown !
GLA