great result but what's doing?, page-10

My understanding is that the clawback works like this:
WestGold announces an initial resource of 500K + of Gold equivalent (Done)
Westgold owns the deposit 100%
If AngloGold want in they have 6 months to notify Westgold (on that deposit - Rover 1 only) and undertake the following:
(a) Anglogold pay 3 x times the drilling cost (current $36M and counting as any money further spent on drilling is included)
(b) They drill the the resource to 2M ozs within 2 years at their own expense and they complete a full mine feasibility at their own expense
If the 6 months passes or they indicate no interest WGR owns it 100% forever - also this happens if they drill and it doesn't realise 2M ounces or if they decide to drop it at anytime WGR stills owns it 100%.

The kicker is that the Managing Director of WGR - Andy Beckwith - wrote the clawback agreement when he worked for AngloGold a couple of years back.

This is a great resource and a great deal. WGR's plan is to keep drilling (the more they drill the more the cost of the clawback) meanwhile they will negotiate with Anglo and get them to make a statement one way or another ASAP. It is possible that Anglo are looking for significantly larger deposits (ie greater than 5m ozs) so they may walk. That being the case they probably wont do it until the day before they have to and they'll watch the drilling results with interest.

What I don't know is whether the claw back would be a full 100% or whether WGR would retain a %. Anyone?

It looks to me like the weakness is coming from the fact that people simply don't understand it and/or can't deal with a potential 6 month time frame.

DYOR but it seems to me like a good deal when the minimum WGR gets is $36m in cash (and increasing)plus they keep their other nearby leases and the current market cap is $77m.