re: Ann: Appointment of Bruce McInnes as a No... Hi Wazz,
Yes did talk to Frank, but have been a bit busy to post all that I have wanted. As a first step I am trying to find a time to catch-up with Kori.
Clyde raises one of the points I need to take up further. To keep it brief; we all know LAOS represents a massive project. Dont assume others dont know about the asset (BAU/ABZ). Its big, which means complexity. In fact it may be too big for any small-mid tier australian mining company.
In my mind the realisation of ORDs other assets, and eventual farm-down could have brought the project to production. However, ORD doesnt have that luxury due to bad market conditions but primarily poor cash position - it has no bargaining chip. You often find that when 'partnering' discussions are held/due, a CR is conducted to ensure that the company is in a position of strength - i.e it has options. ORD cant do that, the raising would be too large. I always knew it would be large but it could have been limited if other assets were monetised. In summary you cant let this asset just sit there. A big marketing exercise needs to be initiated. This is an alternative if we cant source the funding or progress it in a reasonable timeframe. The marketing exercise needs a big firm with connections. It would be 6-12mth exercise, involving agreement with our partners. Dont assume NFC/CNMIM dont want to sell; remember they are not a straight mining company. Note; NFC has spent 20-30M on the asset over the years, any sale proceeds due to ORD will need to fairly compensate all parties.
There are many iterations of the alternate-option (sell LAOS). All need to be scoped and then commited to conclusion. I would say that by June-end we can expect a decision on next steps. In its current form I believe the project is worth $200M (high-case), and $7M (low-case). The range is ridiculous.
Its worth billions if brought to production. I will provide a breakdown at some stage.
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