Banter and general comments, page-30019

Yellowbunny, I don’t think PLS would even run the ruler over CXO unless it was substantially lower in price.

PLS have just completed a 153 hole 46902m major resource development drilling campaign to drill test down dip extensions of key pegmatite domains within the current mine footprint and other near mine targets. IMO, that will probably increase the resource by more than the current total CXO resource. For another $500M, they could increase the plant capacity by another 300kt on top of the already planned P1000 project (1Mt). They are currently making profit of approx $500M a quarter so it’s a drop in the bucket for them and CXO still has a $1.227B MC, without a TO premium.

In other words, it ain’t worth it at the current MC. Also, take into account the plant will need considerable $s to upgrade with flotation etc. and more on the pit. A bit like they had to do to the old Altura process plant.