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it might benefit glen more than zioc, which is already the case with the new structure, but on the other hand I think zioc shareholders would be happy with a BO of 1-1. 2B and get 2GBP/share. I believe most of existing shareholders are in at below 15-20P price, so 200P would be OK in my view.
Mitch. I think with the new setup, it is much more likely to have someone take over the project. even if Glen has a marketing fee agreement (my guess is 1-1.5%), it is easy for an investor to build this into the simulation. On the other hand I think the price will be more attractive this way as Glen will get recurrent installment for the lifetime of the mine, and probably will base the income on this and let the mine go for a more attractive price. Zanaga could be worth minimum 5 B GBP, and in the past agreement I think GLEN would ask a very high take over price to even consider to sell. Now I would guess if someone bid 1.2B B GPB, that GLEN would sell, as they will be able to book a fee for the next 30-40 years of the output from the mine and much more interesting for them in their future income statement. For the investor it is also beneficial as you lower the finance cost alot by only paying 1 B upfront in stead of 5+ B, and instead pay a fee based on future output production. I see this as a win win situation. ZIOC shareholder would probably sell at any time for 1.2B, but I am sure in the past GLEN would not have been interested as for them to get 600M as a one off is really peanuts, compared to perhaps 1.5% of all future production for many years ahead. Just my view
agree this is coming. I hope plans already there and it is details being worked on now. In my view probably alot is already planned at the november RNS, as the change in November really surprised me, and I cant see other reason for doing that, unless there is a bigger picture planned already
Great find MM. I am fully aligned with you. This will be the year where the destiny of zanaga will be defined. After many years waiting, so much is happening in the industry, that means it will be impossible not to include one of the largest mines in the world with the highest grade FE. I believe a full BO will be most likely scenario. Price very difficult to say. I would guess in the range of 2 GBP
my feeling is they cant really update us as investors, in my view probably because they are in discussions with third parts already, and they dont want a lot of speculations around a potential deal, and probably GLEN also wants silence around a sell off or JV. Honestly why should they also update us, until they have a real steak on the table and details done. As they mentioned in last RNS. They will update us later when more news
yes for me unbelievable we are at 6p with all the huge investments being done from miners to secure supply for future. And on top the new structure with all shares in 1 company, easy to take over. Glen would not have done this move unless something is going to happen
I think you are missing the point. This case is not about historical profitability. It is an asset in the ground with giant potential once a partner decide to start miming it. If/when someone start, the yearly profit at 30 M ton is in the level of 2.5B USD yearly, so forget looking at current yearly reports.