Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Been in here nearly 10years with a 16p average.
Most of that time, happily been sitting above it. quite nervous about this now. I'd personally snap up 40p a share.
Might show more about my own portfolio being too heavily sitting with Solg.
Ow well, I'm still in it for the long haul
I wonder if anyone has a 15p stop loss.
Industrial Metals (BHP, RIO, etc. etc.) having another solid day
Since August 15, that index is up 22%...
SOLG is down 35%...
You couldn't make it up...
No dave...2.5m and holding...not even trading at the margin...
Cheers
You still adding on the drop RK?
As well as what I've posted below, it is just possible that the finer details of the negotiations invlove the carving up of the assets other than Cascabel.
If a bidder buys SOLG rather than Cascabel, there are no tax consequences for the rump of SOLG, so...
The smart thing to do is for the bidder to buy SOLG and pre-agree a carve up of most, if not all, of the other 70+ projects (including Porvenir, Helipuerto, Rio, etc. maybe) between DGR Global and CGP 'Newco'...
So we get our hard earned cash and Nick and the rest sail on to a new future...
Just a theory...
Uncertain times with no communication from Solgold.
But, I do like your logic and argument at 09:28 today. What has been decided behind closed doors, we are not aware of?
Holding thumbs for "good news" soon! GLA
So heres a theory...
For those of us that are convinced that a bid(s) is coming, there may be two convergent questions...
Why is the merger taking so long and...
When will the first bid happen?
So just suppose the two are linked.
The 'Prospectus' that seems to be holding up the merger completion is a standard document, as I'm sure better informed posters on here will confirm. The rest is just routine (although listing authorities can be slow and cumbersome, not to mention FCA...)
So just supposing what is really happening is that the merger finalisation is being deliberately held up, while the first (and maybe final) takeover bid is agreed.
If you look at the Newmont bid for Newcrest the other day, it was clear that there was an earlier bid that we gdidn't hear about, because revised terms were mentioned.
So...and given that Nick had always insisted that SOLG would not be sold on the cheap (and he has said the bid should be driven by 'Asset Value' not 'Market Value"), if someone like Jiangxi has made an approach, the ideal for both parties would be to announce a deal that the Board can recommend. So maybe there is negotiation on that 'knockout' price.
Even then, as history shows, you can't rule out a counterbid...
Remember the Noront Board recommended a 75c bid from BHP before Wyloo trumped it with a 'knockout' 110c a share bid...representing a 380% premium on Noront's share price only 7 months previously, before it all started...
So SOLG could play out like this...
Merger completed RNS, immediatley followed by the announcememnt of a bid, most likely from Jiangxi...
If that happens it will be too late to buy in at 15p or even 16p...
Like everybody here I am frustrated by the prolonged silence and the slow SP decline but it's clear that we hold extremely important assets and that the Lasso government is very keen to see them contribute to the national economy.
This article was published last week, apologies if someone had posted it already..
https://www.bnamericas.com/en/news/ecuador-expects-us3bn-construction-of-2-mines-to-kick-off-next-year
"Ecuador expects pre-construction works to begin at the Cascabel and Curipamba mining projects by the end of the year, and construction to kick off in 2024, energy and mines minister Fernando Santos told BNamericas.
“There's very encouraging news. We're negotiating the move to the production stage of both Cascabel and Curipamba, which will begin construction of their mines next year," Santos said."
That's the minister of energy and mining talking. They can't afford to see this project to fail.
DG1 This the most ticked up post I have ever seen.
Kind of sums it all up realy
Hmm...I understand your frustration killjoy and apart from BHP's bid for SOLG/Cascabel back in the day, when they settled for an equity stake, we may never know how many havemade informal approaches.
What we do know is that Mitsui told the Vice President for mInes that they wanted a stake in Cascabel.
We also know that Jiangxi, a massive copper mining company owned by the Chinese State, bought a 6% stake only a couple of months ago. There is no way they would buy that on a whim as a speculative investment.
And we know not only that, post merger BHP and NCM will still have over 10% in a bigger SOLG that includes 100% of ENSS, but also when SOLG has taken streaming deals or share issues that weren't 'Rights' issues, they have complained publicly and nCM withdrew their Director, against his personal wishes.
So...in a world where the copper supply/demand balance is fgoing to get much tighter, would these companies have bought and/or retained a significant stake in SOLG with one of the biggest Tier 1 copper/gold prospects in the world and possibly others waiting to be exploited/discovered...
And yes it does look like prospective buyers are sat on the sidelines waiting to see what happens, because while Peru burns and Chile has created an unfavourable economic environment for miners, Ecuador looks stable and seems to be the next Chile.
And there are 20 or more 'players' that already have a footprint in Ecuador.
In fact you could make a credible case for BHP, NCM, Newmont, Fortescue, Lundin, Jiangxi, Mitsui, Ecuacorrientes and Explorcobre (both Chinese owned), Mitsubishi, Codelco, as well as Luminex, Solaris, Lumina, Dundee and a whole host of others...
Which is why I'm convinced that unless its a 'knockout bid' (110p or more?) the first bid will trigger a takeover battle.
Then the only decision you will have to make is when and how much to sell...
It looks like, don't call us, we 'll call you ! You got our votes - no more lip service please! Its year of hope, nonetheless!!!
GLA
I've sent Fawzi three emails in the last two days...not even the courtesy of an acknowledgement...
killjoy, I think you're living up to your moniker!
As its stands, we have no way of knowing whether what you say is true. The delivery of the SR should reveal the truth.
Oh dear, the end of days.
We seem to own something that no one wants. No one can disagree that whilst we have a vast and valuable rescource it is just too expensive to get out of the ground.
There is no incentive for any prospective buyer to put in the first bid, they are all happy to sit on the sidelines, watch the share price slide and will only react if any one else bids. There is no upside in being the first bidder.
Glad it's incoming, Fort. Where do you get this insight from? Very helpful if true. Have you got an inside person tipping you the wink?
orthern, what would qualify as bad news in your book?
For me it would be a jv accompanied by either a minor distribution, or none at all; a tinkering with the corporate structure i.e spinning off bits with no immediate upside; a sale of Cascabel at a bargain basement valuation; or some insipid statement about exploring all options. The very worse outcome would be some tosh about seeking funding to develop the mine.
But will it be Bad news? …. Or good news?
News next week from what I gather. So if true then only a few days over their end of Jan prediction.
Monte, bear in mind the CGP holders will have their options rolled-over into our company.
I was just reading back over some old RNS releases.
The things they award themselves for with options is laughable. Basically if they do the bare minimum of what they are payed to do, they get options awarded.
Nice work if you cam get it.
Why would you be in a rush? They might have to get e real job afterwards.
DG1, although I think some of the issues you mention have been addressed by the new management, I share your frustration.
Rightly or wrongly, I believe we will see something emerge which is completely transformational. I find it difficult to believe that our new masters have engineered the new regime with the intention of maintaining the status quo, particularly given everything that's gone before. There have been many clues and statements of intent and failure to deliver would lead to mass dissatisfaction on a grand scale. They've very noisily put their necks on the line and it's time for them to prove themselves.
Why do we show an ask of 26p +/- each day before trading starts. Any ideas folks.
Gazbag, that's the way I prefer it! I won't be influenced by the boiler room boys!
Come on DG1Investor, stop sitting on the fence & tell us how you really feel! ;)