costs - dont forget that the $94 p.t. figure includes amortisated CAPEX. this will be retired very quickly. I dont think it is fair to judge the project on an ongoing cost of $94. Also, we are talking about port access freeing up, with lower costs associated.
TRF participation - TRF wont take up all their entitlement. Who will take them? I think we will find some significant interest by a few big investors. We will see.
TRF selling ROL - they will not do this. Ian has already reiterated that TRF is an investment company and explorer. they are not going to sell ROL and cannot afford to maintain 50% of IFE.
When it comes to incentives to participate, i think it's worth remembering why you invest in a company/project in the first place. if you only care about the buying and selling price of the stock, ie trading, then yeah, there is no arbitrage opportunity at current levels. BUT, if you are in for the long haul, in for the longer term rewards of participating in the project, then there is every reason to participate. the company needs our investment in order to make us multiples of gains. Pretty simple.
We can say, raise $22mill at 75c, or $22mill at 60c. Why change the price and force the SP to drop to 60c? seems like a ridiculous management decision to me. 75c is a bargain as it is.
Also, ASX has the prospectus, and has done for a few weeks now. not much IFE can do if they are on holidays. Fair to say?
I agree with you Paul that we need to see some continuity with our timelines from here to production in sept. I fully appreciate that nothing can be guaranteed, but we need to see steady progress, and an approval process run smoothly.
i do find this 'it's all bad' talk and sentiment quite difficult to understand or believe, but i guess that's what the market is all about :)
cheers Split
TYX Price at posting:
76.0¢ Sentiment: Buy Disclosure: Held
