Independent Expert says Cape Lambert Iron Ore bid for Corvette Resources "not reasonable"
In the battle for Corvette Resources (ASX: COV), release of an independent valuation has shifted some momentum to Patrick McManus and his team at Corvette.
The Independent expert has found the offer from Cape Lambert (ASX: CFE) is "not fair and not reasonable".
Cape Lambert had pitched an offer for Corvette, offering 0.417 shares in CFE for each Corvette share.
Cape Lambert inherited its 19.99% holding in Corvette, when CFE acquired all the debt owed by CopperCo. However, there is a further 14.5% stake in Corvette owned by a subsidiary of CopperCo, MSL.
The Independent expert supports his claim based on Corvette's potential world class Plumridge gold project, in close proximity to the 5 million ounce Tropicana/Havana gold deposit. Since then, AngloGold Ashanti/Independence Group JV has indicated a pre-feasility study into development of the deposit has been positive. Which shines Corvette's Plumridge deposit in a new light.
Corvette has defined targets at Plumridge, at Corvette prospect, high grade gold intersections were encountered from RC drilling. And at Stingray, an intersection of 8 metres at 10g/t Au was defined.
At any rate, shareholders in Corvette have a right to be pleased, the share price has risen from 5 cents in April to 14.5 cents in August. End Quote
You gotta love "Independant Expert", was that the name his mother gave him at birth? Why can't they just say who he is?
Anyway, I wonder if Tony & the lads will raise their bid?
Could be some nice action today in both CFE & COV!
CFE Price at posting:
40.0¢ Sentiment: Buy Disclosure: Held
