what to do with $600 mill???, page-28

If my memory serves me correctly, OXR spun TORO off during the yellowcake boom. I must admit, that I have come round to thinking (after many suggestions from HC posters) that maybe buying out TORO and reincorporating it back into OZL would be good. It is relatively cheap currently and OZL could certainly finance the mine.

I have done no numbers on this t/o. It would need to make commercial sense ie the use of OZL capital in acquisition would need to generate a return better than cash in the bank. ie the NPV would need to make sense. Maybe it has been looked at and rejected because the NPV does not stack up. Remember, they cannot make a wrong move here. They need to get it right and probably only have one more chance. The analysts would be all over them if they got it wrong.

HT1