Ann: Mutual Extension to Potential HPA JV Exclusivity Agreement, page-98

Wise Owl
Today’s news is positive, demonstrating both parties’ commitment to the exclusivity arrangement as they progress JV discussions further.
Importantly, there is alignment on commercial terms — the most crucial element to these negotiations — and that the extra time is required in order to incorporate “value-add initiatives that could enhance and strengthen the position of the JV in the market”.
As long term investors, we support FYI management taking more time to advance negotiations, especially if the result is a superior JV arrangement incorporating multiple growth opportunities, which appears to be what both parties are working towards.
That said, we can understand that punters would like to have seen all the details today — or even a month ago — and that impatience could drive them to trading out before October 5 arrives. But we view it to be a short-term mindset.
But in the grand scheme of things, as long term investors, what’s another month before delivery?
FYI’s project is at an advanced stage of development and has strong economics, as confirmed by its updated Definitive Feasibility Study demonstrating a project Net Present Value of over US$1BN (A$1.3BN).