AVZ 0.00% 78.0¢ avz minerals limited

Good point ACGM, yes I imagine a full or partial TO would result...

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  1. 354 Posts.
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    Good point ACGM, yes I imagine a full or partial TO would result in AVZ Power being part of that transaction.

    However, just shooting the breeze here;

    Should there be any JV's on the ground between AVZ and third parties for scaling processing or plant in the future e.g. a Hydroxide Plant, or should AVZ sell off of the Carriere de L'Este resource or JV that dirt, then there is an argument AVZ would have a relatively "powerful" position should they be holding the keys to the Hydro Plant. There would certainly be revenues of course for providing electricity in the region as indicated.

    Yet, as Spiderman's Uncle Ben used to say, with great power comes great responsibility, as I'm quite sure there would be supply guarantees provided from AVZ Power to the communities, industries or JV's that purchase electricity. Fortunately, Hydro (in my humble opinion and assuming a quality built or refurbishment), generally only has one major performance issue or constraint, being ample water supply of course.

    The picture of the river behind the plant in one of the recent happy snaps, looks to be running at near capacity, if that is the case year round, then as long as there is a quality refurbishment, then performance or supply guarantees are nothing to be concerned about IMO, they are standard fair.

    In saying all that, I think the signing of the MOU in relation to the Hydro Plant speaks more in volume term of trust and relationship between Government and AVZ, more than anything else I have seen recently.

    Certain nationalities are well known to take up a BOT (but they never get transferred) Hydro project in developing countries to thereafter strangle hold or leverage Government, industries and communities in several different ways to said certain nationalities benefit.

    The DRC Government could have easily given this opportunity to a foreign entity that specialises in Hydro construction and operation, let's say, I don't know, a Chinese based company for example?

    How would AVZ holders feel about that, someone else holding the keys to what is likely the cheapest energy available to Roche Dure? Talk about dogging a potential bullet.

    Well done AVZ !!! M



 
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