chameleon news, page-25

From the smell of this whole thing (no way am I an expert), I think Chameleon went into the whole deal with CFE knowing full well that it would be a deal breaker with IPL... So too obviously TS. If you look at it this way then it makes perfect sense and perhaps IPL were a hindrance. It wouldn't even be included in Company Management 101 when dealing in contracts between 2 parties that you outline the 'risks' associated with it. TS would have been all over this before risking our cash. The number 1 condition (or pretty close to it) would have been a contractual clause between Chameleon and ILP would be no further dilution / entering agreement with any 3rd parties in relation to the asset base.....Clearly the CFE deal does this, hence ILP's action. ILP's sort of personal attacks on management of Chameleon seem a pretty negative (and somewhat desperate) attempt also. Attacking on disclosure of confidential info also hints at they had something to hide. I think TS would be a great ally in all this as he is pretty tough in relation to stoushes like this haha.

I would also say that ILP were real pains to deal with...And, it seems that they probably want more of the pie that agreed should success be gained when they knew Chameleon had no real other options at the time ? hence the judge?s remarks possibly. TS with CFE's money bags to step in to fill the gap and help out past this issue. While it seems like quite a risky play from CFE's point of view, the amount in my opinion ($5-10 million) is not compared to the $130m in the bank. Some more cash maybe required from here. I think TS has done extremely well with the money so far so deserves the chance for a small failure at worse that has way way more upside. With regards to the other case what this thing is all about, I have no real understanding on that either. CFE look set to walk away with a pretty good stake in Chameleon at worst.

I think in part what I have outlined here also has weight in relation to contracts goes towards the $80m due also. If the other party has issues out of our control in relation to achieving milestones then it is not our problem. The BRR by Mr3t states this that they were focused on another project also. Agreed that a fair bit of water under the bridge since then but unless they want to hand the asset back (very unlikely) then the money is due. Pure and simple. It doesn't matter if there have been any issues since late 2008 in relation to financing another project with cost blow outs or anything, the deal was done and contract has been pretty clearly outlined. I think we have to give it some time (i.e. in the Sept Qtr like the Marampa resource, Sappes etc) so have a little more patience guys. Don't let CDU's hit affect your thinking re CFE also. A separate trade mentality is required.

Technically speaking on the SP, it is looking oversold to me right now. The run from 32 up to 39 and now pull back to 34.5 resistance is not finding many chasers now. Buy dept is much lower to the sellers who have been lined up much higher generally so at worst some more sideways action and possible dips to that large 34 buy, but 35 looks a good buy to me. Another surge is brewing and i think the catalyst that kicks it on is possible good news due (i mentioned TS last buy a few weeks back now in another post so good news can come now). 200 day MA is up at 45.5 so long term oversold also. Will have plenty of resistance to get then in the short term to me though. Do you own research though of course!

Good luck all