CDV 0.00% $1.08 cardinal resources limited

You had me until "possibly another year". The A$35M Sprott loan...

  1. 2ic
    5,926 Posts.
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    You had me until "possibly another year". The A$35M Sprott loan is due in another year plus they would have run out of funds by that time. Looking to close a deal with that sort of existential pressure hanging over the stock would be crazy imo. Now is the right time, the gold price and sentiment is right, the DD must be close to finished by now. Maybe another 3 months tops assuming the EPA permit keeps dragging but isn't stalled. For all we know the Ghana EPA might see the high gold price as an opportunity to extract more community compensation and remedial work etc from CDV before releasing a permit they know is crucial?

    If this sale process drags on for too long I would be concerned why and what the market will read into it (the market would probably know and not have to read anything if history is any guide. I accept that strategic sale negotiations can and do take up to 6 months (it doesn't matter what countries partners are based out of, a few plane trips only add a few days). The process started pretty much beginning of November when the DD room was opened post DFS.
 
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