Hey Cashed,
I agree overall, though.. SL does not really get a say, when we already know that some of the GCY largest holders were willing to accept WGX script not so long ago. The lynchpin is of course GCYs largest holder, but... just because they have backed the company so strongly, does not mean they cannot see the benefits of having Dalgaranga fed high grade ore from already running U/G mines. Plus... they may be less interested in pushing even more capital in GCY, with all the cost issues facing producers in Western Australia.
I am pretty sure if the writing was on the way, SL would be happy enough to part ways with GCY, if.... he could spin off Glenburgh is a nice pile of cash. Wayne def not going to be giving SL the top job is there was any sort of corporate deal, he has fought hard to get to where he is.
@albatrosss - If you are talking about the E/V, then the difference is much less than the market cap. GCY is sitting at perhaps $82m, versus WGX with its $200m. So... ratio of 2.5:1. If you look at the market caps, the ratio is closer to 4:1. I think that if... WGX did make a somewhat reasonable offer (no one is really going to be happy... of course), then the market would probably reward WGX. As the synergies are about as clear as can be.
I mean... WGX have the capital required to pay for going U/G at Never Never, and GCY have the cheap processing. We all know this, but.... perhaps Wayne is good at chess and running a gold mining company.
@Joelstar - of the two companies, I view WGX as having the stronger position, at least currently. Cash is king right now, though... profitability would help
I agree with you about catalysts for WGX. Hard to know what would move the dial right now. Though I wonder if we get a good update mid Nov showing things are humming... that the market might finally take notice?
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