ESBC President buys 1 million Bougainville Copper shares more.
The President of the European Shareholders of Bougainville Copper (ESBC), Mr. Axel G. Sturm, announced on Monday that he intends to double his investment in Bougainville Copper Limited (BCL) from 1 million to 2 million shares within the next weeks. Mr. Sturm who recently met BCL chairman Peter Taylor in London is extremely bullish in BOC shares as he found out that the Rio Tinto subsidiary BCL will not need to dilute the share price buy emitting new shares to shoulder the re-opening of the giant Panguna mine in Central Bougainville. The cost of this operation is estimated 3 billion US$. Furthermore: Mr. Sturm appreciates a lot that Bougainville Copper Limited is in contact with Rothschild Bankers. Rothschild’s are linked worldwide and well known for discreet brokerage in joint-ventures, mergers or buy-outs. “The involvement of Rothschild bankers in BCL may be a first evidence for serious Chinese interest in our company,” says Mr. Sturm, “I wouldn’t be surprised if Chinalco or any other huge Chinese company would soon make a bid on BCL. That makes sense as Chinalco already holds a stake of round about 10 percent in Rio Tinto.” Just recently a first-class delegation from China has visited the mine-site on Bougainville. Mr. Sturm estimates a realistic buy offer “not less than AUD 10 per share.” This could be an interesting deal for the Chinese as the fair value of Bougainville Copper shares are estimated AUD 30 to AUD 50 once the mine is in operation again.
BOC Price at posting:
90.0¢ Sentiment: ST Buy Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)