Cuzo, my reply"The fact is it is hard to see those majors being...

Cuzo, my reply

"The fact is it is hard to see those majors being interested while the JVA exists with HNC - The JV docs are complex and subject to confidentiality agreements so can't comment further except to say it makes it too hard and to risky for a major."

Exactly, there is little or no incentive for anyone not directly involved to take it on, complex JV, complex metallurgy and a Plant that would be better described as a weed.


"The impass is that our corporate laws make it so hard for shareholders to save a company once administrators are appointed"

Shareholders can and have always been able to save the company, just need to come up with the money to satisfy creditors.
If shareholders collectively came up with $100 million it would be game on but who's going to throw any more money at it. I personally wouldn't throw another cent at it...


Unlike the stock market administrators value a company on exacting things and give no value to the "speculative worth" or future worth of a company so they end up with ridiculously low vlations- and that's why they NEVER return 100 cents in the dollar to creditors.

The Adminstrators valuation is irrelevant, if you have more than one bidder that wants the project and they're prepared to pay a premium for it then the market will dictate its worth. Same rules apply whether it be realestate, antiques, unique cars etc. If no-one wants it it aint worth sh&t.
The Administrators prime function is to ensure those supplying goods/services etc in good faith, with no intention of taking on risk, are paid out.



"The difficulty also is that HNC have no real motive to talk or work with anyone - they can if they chose just string this along as much as they want - eventually the company will be liquidted and they pick the assets up for tuppence."

IF THIS IS THE CASE THEN HOW SMART ARE THEY.


"The most logical way out of this is for a shareholder driven solution where arrangements are made to pay creditors out - and returnt he company to the control of shareholders - appoint a new board - have the company readmitted as non defaulting JV partner."


At this stage this would require Alchemy with regard to the lead sulphides.................


"the difficulty is our corporat elaws make it so hard for sharheolders to participate in the solution"


Agreed but would you pour any more of your money into it still not knowing the amount of capital required on top of the creditor payments etc????..

If shareholders end up with anything now, it will be a miracle...

Without prejudice....