A Reminder of Callum Baxter's Views on Greatland/Havieron/Telfer from February 202317 Aug 2023 10:18
I thought it would be useful to post, what was an extensive viewpoint, from Callum Baxter back in February 2023.
With thanks of course to Liam, as this was his GGPHelp interview, and i believe transcribed by Dip...
"So, Newmont's just trying to get in front of that and I think it's great. Now if Newmont, Newmont, hang on, want to hang onto Telfer and the Paterson assets. That's fantastic. And potentially that want to buy Greatland’s or Greatland’s portion of Havieron in that process. So that's a win for Greatland. Alternatively, if Newcrest sorry, if Newmont don't want to pursue the Paterson assets and that's an unlikely scenario, but nonetheless I'd say Greatland would throw its hat in the ring to try and purchase those assets.
Well, a scenario is that Greenland would purchase those assets from Newmont and Telfer would become a central processing hub for Greatland and it would make Greatland a mid-tier gold and copper producer. So, a much larger entity which is again a win for Greatland. So really for Greenland, the scenario at the moment is win win...
...Liam: Yes. I mean if you're if, if you're shown there and the team and you there's an opportunity that you could end up owning a 100% of Havieron, you'd probably bite the hands off of that wouldn't you?
Callum: Definitely. That's right. Yeah. Smaller companies can often run an operation much more efficiently than a larger company. But that said, Newmont is still fantastic at running their operations. They run the Boddington goldmine here in Western Australia and they ran the Jundee operation in Western Australia for many years and they're just renowned as being the premier operators...
Liam: Yeah. Now, I think since last time we spoke, Andrew Forrest has waded into the ring with Wyloo and his investment companies. Do you think he's going to have something to say about the Paterson region? And if Newmont turn up?
Callum: Yeah, well, Andrew Forrest, again, a very good operator. And as you can see with his track record of Fortescue
Metals Group, which has been very successful and he invests in operations that can definitely be scaled up. And if you look at Greatland as a 30% producer from Havieron, there's a significant prize there, particularly when it goes into production, because generally when companies are going through this development phase, their share prices are somewhat depressed, but when production kicks in, you get a significantly high uplift in the share price.
You know, from that initial investment point of view for Andrew Forrest, that's very, be very rewarding for him, however, is a several bigger pictures here where if for whatever reason Newcrest may decide not to continue in the Paterson, then there's nothing holding Greatland back from purchasing all the Paterson assets from Newcrest and becoming a standalone 100% producer from Telfer and Havieron itself....
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