It's an interesting arrangement, for sure. The change of control clause and the 12 month notice period as stated in the contract particulars are certainly of some intrigue, but I recall these accruals being converted to shares at some point in the past. So I don't really think it's fair to say that half of the money will end up in any one person's pockets, since the debts will likely either accrue forever or be converted to equity.
Of most interest is the statements: The process of MMP preparations is complex and in addition to the design of the start-up quarry, requires addressing issues relating to potential future expansion of the project and its related logistics and infrastructure. ... In essence, the mine, site infrastructure, and plant layout would be very simple and rudimentary if Winchester project was to be operated as a DSO quarry which does not require any on-site mineral processing (other than crushing, screening, and sorting).
So it's not hard to see how you can get confused about this super complex, yet super simple quarry, that the company no longer needs an NOI for, but a MMP, and since there isn't a concrete plan on what to actually do, you've got to keep your options open at all times, by never deciding to do anything which would force you to crystallise your plans around one outcome. Heaven forfend, you might end up with bills to pay!
KOR Price at posting:
6.0¢ Sentiment: None Disclosure: Not Held
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