RE: 'How about this, when I bank £10mil plus from RRR, I will leave you to it?'28 Jun 2024 16:10
Talkie. Of course. Sit down with a pen and paper, use analytical/diagnostic tool. Comparative valuations, read across, peer review, inflection points etc. All standard stuff nothing Einstein level. All possible outcomes, no. Why? We because some of the possibilities are too small or too marginal.
A few possibilities that I have not considered but am aware of the remote possibility: SXG now know about RRAL and Kilmore; Rick Rule and Lassonde now know about RRAL and Kilmore and so on. All sorts of thing might or might not happen as a consequence. We are not talking about stupid people.
Probably anybody would want to see our satellite hydrogen analysis first. I expect we will hear about that next week at some point. Lets suppose, that we come out with data and analysis that indicates that we have high hydrogen shows contiguous with Sunday Creek along the whole of the Golden Dyke (it has a name) and the other minor dykes we have.
Suddenly, all bets would be off. Why would we want to want to do a deal with an ASX shell valuing RRAL at say AUD20mil when we have something lookielikey with Sunday Creek but bigger and across multiple dykes? According to the SXG CEO he expects to have something worth billions at Sunday Creek.
Mawson Gold spun out Southern Cross two years ago and they were wrong, hence why they are now looking to merge with SXG. Luckily, they retain enough of a stake that they have control. Imagine if RRR does a deal with a shell for AUD30Mil and it turns out it was worth billions?
As soon as RRAL updates on the hydrogen analysis and SXG updates on the IP, we might have a new game in town. Lets suppose that works out, why would raising capital be an issue? Not at the RRR level but at the RRAL level.
A lot to play for here and absolutely nothing certain. The most certain thing is that if the kit gets to Bilbale and production starts somewhere around the 15th then RRR suddenly holds five aces.
And this is the difference between the derampers wanting a lower price to make £250 and what I am holding for. If this works out (no guarantee that it will but heyho) then it is life changing.
But as always, DYOR. Investing in companies like RRR you have to accept that things can go wrong but if you have several positions for similar types of situations, you only need one or two to work out. No point taking this risk to make £250.
DYOR
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