Callum Baxter - Basically, whatever happens it's a win-win for Greatland15 May 2023 14:38
Just a reminder, under the latest situation, that Callum Baxter essentially believes that whatever the outcome, it's a win-win for us. There are few people in the industry whose views I always listen to, and Callum Baxter is definitely one...
"...in my 30 plus 30 years in the industry, everything that I've seen Newmont do is exceptional. They're brilliant explorers, they're fantastic at production and they're very focused on their shareholders, and management is always focused on running an efficient, safe operation.
And as for them to buy Newcrest and come under the Newmont banner would be transformational for the Newcrest management team, and their workers, and their assets. So, for Greatland to be part of that process is very exciting, very positive news.
I was also looking at some comments by trying to understand why Newmont made this bid at this particular point in time, and you can sort of see that, potentially, there's a bit of a softening in the US dollar coming through this year and that means, you know, it's all good news for gold price. So, I think Newmont's looking at it as, you know, there's a bit of a tailwind here. If we can get these assets at these prices now, then, you know, we're going to turn them around and
make them worth a lot more in the future. So, but, you know, Morgan Stanley is forecasting a $2160 US gold during the course of this year, so Newmont's just trying to get in front of that, and I think it's great.
Now if Newmont want to hang onto Telfer and the Paterson assets, that's fantastic. And potentially they'd want to buy Greatland’s or Greatland’s portion of Havieron in that process. So that's a win for Greatland. Alternatively, 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."
(Dips' Notes from GGPHelp Interview with Callum Baxter - 06 Feb 2023)
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