Morila SA existed when Randgold operated the mine. MLL(FFX) purchased the Jersey company that owned the 80% interest in Morila SA.
It doesn't look like the two intermediary companies are stopping the contractor going after FFX. It would be interesting to know what an expert international trade lawyer thought of this. With Anderson bull$hitting about the billion dollar gold company it's very easy to see why the contractor has its sights set on West Perth. Agree, it can't be oneway traffic, at least to us lay public. Perhaps the legal argument is far more complex. Anderson didn't set up the structure (which isn't that sophisticated) but he was responsible for oversight or possibly significant lack of. Presumably seats on the board of Morila SA, occupied by FFX have been vacant since Anderson left. If this is the case was it a clever move relinquishing all corporate responsibility, even if insolvent. Why didn't FFX retain an interest in Morilla SA and direct the company towards insolvency in Mali? Perhaps this wasn't an option with the junta holding 20%. The WA potash companies are a recent example of what happens in Australia if a company is insolvent. Kalium Lakes plant and infrastructure is currently with Pickles auctioneers. How did Morilla SA continue to trade after FFX pulled out? Fraser hasn't really explained any of this imo.
FFX Price at posting:
20.0¢ Sentiment: None Disclosure: Held
