On 25/3/06 Post 581 I stated the following:-
"Further to my previous post regarding the contract amendment dispute - I received further confirmation last evening that WPL is very close to a settlement with Mauritiania Govt. Should hear something very soon. Will see extra 25 to 30 cents (at least) on HDR share price once announcement is made."
The settlement that will be announced is a good outcome for all parties and provides closure and certainty to move on. There was always going to be a cost but it is in line with expectations and will not unduly impact on the bottom line. It was important to gain a settlement quickly to ensure certainty for the forthcoming Tiof & gas development decisions.
The govt in it's posturing has to ensure to it's people that they have gained a good outcome for the country. Don't worry WPL wouldn't agree on the settlement if it was to unreasonable.
Market should treat this outcome as positive once full details are announced.
HDR
hardman resources limited
