Maybe we should change the name from "Extract Resources" to "Elevator Resources". - No only joking! lol
Anyway, I think much of the issues concerning the mining license and the intentions of CGNPC have now been resolved. (See previous EXT posts on this.)
It is clear that KAH & CGNPC agreed to do a takeover proposal at 270p for KAH shares, but were unable to do so because of the Hearings Committee ruling.
Based on CGNPC's statement they intend to comply with the ruling and postpone the agreed takeover offer for the required 3 months.
If RIO or someone else makes a takeover offer for KAH or EXT before the 3 months is up, CGNPC will put forward a bid at 290p or above. At 290p for KAH shares, the see through value for EXT is about $9.32. (see here)
Consequently, at today's price, EXT represents a minimum 26% gain for a 3 month investment. If a bid for KAH or EXT is made by RIO or someone else the gain will be considerably more.
EXT Price at posting:
$7.40 Sentiment: Hold Disclosure: Held
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