There was no need to mention Au Mining, MRC has already announced that they are willing to provide $800k to cover the payment required to Gold Terrance and the resolution has been forward for approval at the AGM which is expected to be held later this month.
I do agree with you, Gold Terrance wouldn't want to lose the project for only $800k payment of 30mil shares valued at 2.2 cents ($660k)
The agreement also states MRC can secure the additional 10% for only 10mil additional shares ($220k)
Considering the project's NPV was US$111mil (based on higher graphite prices than the current spot price) I don't blame Gold Terrance for trying to put up a fight when the project's only requirement left is obtaining the final EPA approval from the WA department.
BTW, you should also note the NPV was based on the 14-year mine life plan, this was determined before MRC conducted additional aerial surveys and I believe additional drilling, which should increase the mine life.
Anyway, Securing the additional 49% of the Munglinup project based on the previous agreement is only $1.68mil AUD.
MRC Price at posting:
2.2¢ Sentiment: Buy Disclosure: Held
(20min delay)