Hi Rod,That is an interesting read, in that it allows us to see...

Hi Rod,
That is an interesting read, in that it allows us to see another form of investment, that could be made by a major, into MHM.

I originally thought that MHM would turn out to be a text book takeover target, if things went to plan, because in that situation, it will be producing huge, predictable revenues under contract.

I also thought it would be an even more obvious takeover target for Alcoa, under the assumption that if MHM makes a profit and Alcoa makes a profit from the waste recycling, then Alcoa would be a in a position to make double gains by buying out MHM, because, they'd keep their own margin and capture MHM's, or Alreco's actually. The division set up within the company also lends itself to buyouts of those divisions, while keeping the others.

The partnership with SSC has caused me to rethink that theory, though not rule it out.

This article shows another potential model, of Alcoa taking a stake in the company, which if it happened would presumably be through a share placement. It would allow Alcoa to share in the benefits of MHM, even while it pays for the service. Sort of like getting it for nothing.

Definitely all speculation and some way off, but interesting stuff.