Member Info for SharketMare

Quady, that post at 16.47 yesterday is one of the most stupid things I have ever read on this BB, and that is really saying something.

Addicknt, it is very rare you post something I disagree with and I've learned a lot from reading your posts on here. Wishing you all the best.

Thanks Bozi for that clear explanation.

Stukey, I thought I read that the merger was to be completed 'late Q4'.

I added to mine this morning Everyonesawinner, am now maxed out and not planning on selling any until we are in the 16p-20p range.

Thanks Jerry, I did wonder whether I was going mad, but it's very clear that we are less diverse off the back of this merger.

Hi Quady, I don't really understand your latest post on the diverse book argument and I suspect not many others do either.

As for "keeping my worldview alive" (this did make me laugh)...

We have just appointed a company (Maxit) to assist with a strategic review of SOLG. Maxit Capital is run by Bob Sangha, who has an 11% interest in Cornerstone. Cornerstone have been very open about wanting the company to be sold. Warren Irwin also claims the latest merger puts us closer to a sale.

Given the above facts, what do you think the outcome of the strategic review is going to be?

I will leave it there as I know we could go tit-for-tat all day long and there is better discussion to be had!

LunchMoney, that's a fair point, I think I see where he's coming from a bit more now. I guess it depends how you define diversity - whether by number of interests (i.e. more companies holding = more diverse) or number of desired outcomes (i.e. you could have 20 companies on the register, but if 19 of them want the same thing, it's not very 'diverse').

I would suggest that post this merger, the book has become less diverse (by the second definition) as there are a greater number of shares held by companies/individuals wanting the same outcome. I would suggest (as you do) that the strategic investor(s) CGP will place their shares with are most likely going to want the same outcome as CGP, funnily enough :)

Hi Quady, we are never going to agree on the Mather point. In my mind his goal was to prove up the asset and sell it to a major whilst he was in charge of SOLG.

I agree Boliden weren't there to force a bid, but by the same token, they've been on site and we've PR'd it (in a lowkey way), and nothing has come from it. So what really was the point of that visit? As per DC we're not doing anymore offtake agreements until after the DFS, which is over a year away.

I feel like you are half agreeing with the point I make on the CGP deal, whilst totally ignoring the strategic review, and the fact that there's no way they would have agreed unless the business was being sold.

Quady, because we have been engaged in a long game of cat and mouse with our potential buyers. This has been clear as day for a long time for the majority of us on here, yet even with events of the last few weeks you somehow still can't see it.

Our former CEO, Nick Mather, literally said that the plan for SOLG was to sell it to a major. This exposes all of his "we're going to build a mine and turn SOLG into a producer" shpiel whilst he was CEO to be total nonsense. It was brinkmanship.

Posting tweets and LinkedIn messages when Boliden came on site to visit are signs to both us in the market, and majors who want to buy us, that we are willing to sell-off more of the profits from Alpala to fund the business, so the longer you wait, the less attractive the asset you want becomes.

The Cornerstone deal is the clearest sign yet that we have absolutely no intention to take Alpala to production. The outcome of the strategic review will have the company publicly state that to maximize shareholder value it will either sell the business in its entirety, or put Cascabel up for sale. There is no way Cornerstone would have agreed to the deal otherwise - they want out and Irwin has stated that this is a step closer to that.

Redknight's post above (Maxit and Sangha) is further evidence that we are heading for a sale.

You also appear to not understand the word 'diverse', as you've claimed that through REMOVING CGP from the register (and them becoming SOLG holders) that the book has somehow become MORE diverse. This is just nonsense.

I'm going to buy more tomorrow if the share price dips a bit more. Today's presentation was pretty clear that they expect to bring in at least $30m USD for the 157.1m shares, which translates to 17p/share. CGP are already speaking to several potential investors and the message was loud and clear today that funding will be resolved shortly.

The strategic review is a formality, let's be honest. There is no way in hell that Cornerstone have agreed to this merger, only for the outcome of the strategic review to be pressing ahead to production.

I think we will either 1) sell Cascabel, return funds to shareholders as a special dividend and fund regional exploration or 2) put the whole company up for sale.

Once we secure short term funding, the SP will start to return back the 20s, then head into the 30s when the strategic review is complete. Then it's a matter of time.

Quady, bless your cotton socks. Warren Irwin, who knows more than you, me and anyone else on here, said just yesterday:

"I signed a lock up. The merger moves us closer to a sale. Then we can all take our dough and invest in new opportunities, of which there are many."

He is not signing a lock up agreement only to wait 7+ years for a return on his investment.

The production dream is well and truly over, but worry not, you'll still make a killing with your huge holding at 4.6p or whatever it is, only you won't have to wait 7 years for it!

Looks like we are seriously taking on the two majors then. Citi finally earning their fees.

When asked about their reaction to the deal, Darryl said:

"I'm not going to talk on their behalf, I'd like to think that all shareholders appreciate the value of the transaction"

Subtext: they ain't happy.

Me too Bubble, me too!

redknight, whilst I share your renewed optimism for the mid-term prospects of this share, I think your timeframes are way off. It has taken ~6 months for us to have agreed this friendly merger with Cornerstone. It hasn't yet been formally approved. Save BHP panicking (which I don't think they will be doing), I am not expecting anything to happen here until Q1 next year.

In this order:

1. CGP will place their SOLG shares with a new entity (or several new entities)
2. We will release the PFS addendum and the Porvenir PEA
3. We will complete the friendly merger
4. We will sell the company

SOLG isn't exactly the most agile or fast moving of companies, is it... And they'll all want Xmas off after the AGM for all the graft this year (ha!).

I would love to have been a fly on the wall when the M&A team at BHP were dragged into Mike Henry's office to be grilled on how the hell they have been blindsided by this.

So let's say Cornerstone place their shares with an entity they know has an interest in buying out SOLG. What would the resulting combined shareholding be of the New Entity + Mather + Blackrock + Norges (the last two I am speculating would be onside). That combined group would be in a stronger position to turn around to the likes of NCM and say - listen, either you are here to take control of the lot or you aren't, and if it's the latter, name your price. That could form the basis for an agreed bid, with NCM's ~10% added to the takeover group's combined holding, and push BHP into irrelevance.

It would be brilliant if after all this BHP lost out after trying for years to destabilise this company and shaft all us PIs out of a meaningful return.

I have to say slide 5 is borderline insulting for long term holders of this share. Talking about 'meaningful rerating potential' from what is essentially a 5 year low.

$30,000,000 / 157,100,000 = $0.19 USD
Which equates to £0.17

Appreciate they say 'in excess of' but is it implied that we'd be looking at a placing those shares with a value of around 17p?

POTENTIAL SOURCES OF FUNDS

? Cornerstone holds 6.84% of SolGold shares
• 157.1 million shares with potential to raise in excess of US$30 million
• Potential for Cornerstone to place these shares to strategic investors
• Proceeds would be loaned to SolGold ahead of transaction closing on terms to be agreed

? SolGold is well progressed on a number of alternative funding options
• Strong interest in SolGold assets remains despite challenging short-term market dynamics
• Copper’s medium/long-term fundamentals intact
• Cascabel is well positioned to supply into an emerging structural deficit amid a weak broader project pipeline

From slide 8 of the deck. Looks like Option 1 is what LunchMoney has been saying since news of the merger was announced. Let's get that done ASAP, release the two catalysts and then get the lot sold off in the new year, please.