Member Info for addicknt

Pbow, there's one more - land acquisition, which PS defined as being the most complex issue.

MissG, you're right, I wasn't undervaluing the business and in fact, I wasn't even offering an opinion. I was merely imagining a possible outcome of discussions with our major shareholders. Indeed, the scenario I presented is one which has been talked about on here for years and many people have found it an attractive option.

The problem with any discussion on here which mentions possible values is that it immediately provokes high emotions, and that's fair enough. We've all been in here for a very long time and have been through the wringer, so now we have some action, people are expecting a very strong outcome, and let's hope we get one.

It's not about mindset, it's about the reality we face. And I have absolutely no doubt that DV and PS will be working to achieve the very best for all of us.

Smick, do you honestly believe we will influence the outcome? We won't.

And who said 30p? I didn't. Read my post again. The first point made is that the current offer is completely unacceptable. I suggested 2bn and that does not equate to 30p.

Smick, is it? What we as private investors think is of little relevance. This will be decided by our main shareholders. And what is 'full value' and when will it be achieved? Will it come after several years of production when we actually have free cash flow i.e sometime in the mid-2030s?

I'm not negative about this stock and never have been, but some of the stuff about current valuation being tossed around on here is, in my opinion, for the fairies.

Fair enough, that's your opinion. Others may take a different line. Actually, I do agree with you about a jv. I believe it would be the worst possible outcome.

I said it was idle speculation, but bear in mind, over the years this has been a popular outcome for quite few posters on here. And btw, you don't 'know' any of things you claim to.

In order to understand their opinion of the approach, Dan and Paul will be in discussions with our significant shareholders. What if the message they receive is as follows:

1) We will not support an offer at this level as it fundamentally undervalues the company.

2) We don't believe the company is able to take Cascabel to production as there's too much technical, financial and political risk and we're not big enough to deliver successfully. Rising costs will make this even more difficult.

3) The company should revert to what it's good at - exploration.

4) We want to see some return on our investment.

5) How about doing a deal with JCC whereby we split the company and sell them ENSA but retain everything else?

6) We'd accept something around $1.5/2bn for the project.

7) The company can retain circa $250m of the proceeds, but the rest must be distributed to shareholders.

Over the years, many of us have thought something like this was a good idea. Is this the moment to make it happen?

Don't bite my head off, I'm simply indulging in idle speculation.

PS, I agree. I only put it out there as being more or less the only circumstance I can envisage someone bidding before JCC put something on the table.

PS, I can't see why anyone would bid until JCC have revealed their hand. The exception being if our management are working on a White Knight deal with a preferred bidder.

Stubby, the rule requires all holders of more than 1% to disclose their holdings.

It's interesting to see who owns what, but beyond that it's nothing to get concerned about and we'll be seeing many more of them in the coming days.

Q, as recently as last week you were telling us no one would bid for the company. Now that plank of your argument has gone up in smoke, you're clinging to the diverse book as if it were the last lifebouy on a sinking ship.

It will offer a degree of protection against a stupidly low offer, but it too will crumble the moment a reasonable offer has been tabled. The 'fair value' argument is meaningless as everyone will have different views and reasons for accepting an offer.

Sh4, I totally agree.

From what I've been told, Newmont aren't interested in owning the company, but are interested in ExCo, so they may find themselves in an interesting situation if someone else looks as if they'll get their hands on the whole thing. Will they enter the fray to ensure they get their hands on ExCo, or will they shrug their shoulders and move on?

Years ago I thought BHP were the obvious buyer, then I changed my mind for the simple reason that they didn't seem to care about being diluted and could have already bid whilst we were hovering around the 7/8p level. However, the huge emphasis they're placing on copper, combined with their failure to get anywhere with Anglo, may have changed things. (listen to the MoM podcast I mentioned earlier) But these are not the only players in the world and by publicising JCC's approach, we've given a gentle nudge to all other interested parties. And the message is; we're willing to sell, but don't have to and don't expect to get anywhere with a daft offer.

Interesting times!

Sh4, money talks. If the right price is tabled they'll all fall into line. This will be particularly true if neither BHP or New show any interest in buying over the next month.

The one good thing about having several players with reasonable percentage holdings is that they can put pressure on our management to get a decent price, although I'm of the opinion both PS and DV have been around in the M&A long enough to know what they've got to do to extract value. This will not be sold for a song.

RT, interesting, but I'm afraid I haven't got a clue.

Having said that, and given they're major institutions, I'd have thought if they were linked they'd have said so.

SH, if you'd bothered to look more carefully I think you'll find I was suggesting Q's assertion that they were buying more was incorrect. Their reduced percentage is due to dilution, which is what I said.

So, thanks for your guidance, but as ever you're way behind.

SH, if you have a genuine interest in this subject, scroll down a bit. RT's post at 9:28 explains matters.

Jerry S has pointed me in the direction of an interesting MoM podcast relating to the BHP/Anglo situation. The first 11/12 minutes are worth listening to.

RT, thanks.

NMM, so it's dilution then.