RE: Gold12 May 2024 10:27
News, this is a long answer. I am not interested in what other people did or didn't do or how much they have made or lost or when or why. What has that got to do with RRR's assets and whether they can be monetised? Nothing, is the answer.
People who are down on RRR fall into two groups: people investing at the top of a metals super-cycle in 2010/2012 and those post 2018 (lets say). I understand RRR went from 0.25 to the equivalent of 40p: you would have to be remarkably stupid to invest into RRR when you should have been getting out. I see this all the time, a share has done up and the retail investor therefore thinks it will continue to go up. The same with, it has gone down and so it will continue to go down. Reversion to the mean. Investors should rotate out over overvalued stock into undervalued stock. There is also sectoral rotation as we go through the business cycle. No sympathy whatsoever from me for this group. You made a choice, grow up.
Post 2018 to date is largely about Musonoi and the other two licences being stolen and sold for $430mil. Why people cannot see the connection is beyond me. Those licences belonged to a JV where RRR was the operator and had 51%, as had been shown in commercial court in Lubumbashi. There can be no dispute as to the status of the assets, from anyone. If there were a possible dispute, then wouldn't be waiting on the arbitration: VUP would be going to court.
RRR had an accelerated pathway to bringing a JORC in and bringing Musonoi into production. It was stopped by VUP trying to do a deal behind our backs otherwise Musonoi would have been in production years ago.
Therefore, what has happened subsequent to the theft of the licences has resulted largely from that action. What would RRR be valued at with a JORC of 400,000 tonnes of copper and 24,0000 tonnes of cobalt and in production? Remember the $420mil was for a backdoor deal.
When RRR starts the legal process it will need advice on the quantum loss resulting from the theft of the licences: it will include all costs incurred by RRR as a result of the theft.
IMHO the potential claim is over$4bn. Before the bedwetters start going on about drivel, partly because of their agenda and partly because of their limited english: claim is not settlement.
DYOR
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