DYL 5.82% $1.30 deep yellow limited

you see the glass half empty, .... where as I see the glass half...

  1. 3,467 Posts.
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    you see the glass half empty, .... where as I see the glass half full

    you may be able to change my mind if you can provide better answers to the following: -

    1. what other teams are out there which are capable of developing and building uranium mines ? not just say they can, but actually have done it before?

    Answer: No others that I know of in the junior exploration space

    2. so if there are not that many uranium mine builder teams out there why then should JB be in such a hurry ?

    Answer: He shouldn't be in any hurry, he can afford to wait. During the last uranium boom it was about 5 or 6 mines that juniors attempted to develop from deposits, and only 2 of those mines made it into production - Langer Heinrich’ in Namibia, and ‘Kayelekera’ in Malawi, both developed into operating mines by JB and his team.

    3. my view is JB has done everything right in relation to M&A by not paying any price “ransom money” in order to make it happen.

    Answer: The risk of uranium mine development failure is high - it means time is on JB's side

    4. why then does JB have to hurry, and pay ransom money to secure a project now "at any cost"


    Answer: He doesn't, he can afford to sit back and wait for them to fail

    5. if the Tumas Definitive Feasibility Study will be completed by the end of this year and JB has Deep Yellow with everything in place for development/ production (long term contracts, funding etc) then it's reasonable to expect Deep Yelllow's share price to be re-rated significantly higher, and trade at many more multiples than many of it's peers - thus providing Deep Yellow a significant competitive advantage in any M&A play

    Answer: If that's the likely outcome of a favourable Definitive Feasibility Study then we wait, or alternatively if a deal is struck it;s done at a reasonable price - no ransom money and no bidding war, simply an agreement of minds

    Observation: You sound desperate for some sort of take over to happen at any price which could be highly dilutive to existing Deep Yellow shareholders - now why is that ?

    In JB I trust

    Enjoy your weekend



    Last edited by 92electrons: 12/02/22
 
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