Yes it is a binding agreement and it was awaiting the judge decision. The company said in their update before that the money is in the bank earning interest and the judge decision is just a formality. It is about saying the the judge signed the release of the tenements as per previous announcement that it would be in February.
so why management elected to go for trading halt. In my opinion for the following reasons: - Argentina is a corrupt country and stopping the leaking of the news and insider trading is a smart thing to do while preparing a statement to the market. - Anthony would like to teach shorters a big lesson when it was apparent there is a covering of short position with 10 percent rise in two days secondary to leaking of the news
By asking for trading halt, it allows time to prepare a statement, prevent shorters who hurt the company ‘s share price, to cover their positions and this way they can take him seriously when he said in one interview, I am afraid shorters are on the wrong side of the trade.
If there is any further update. IMHO, it will be to discuss the latest negotiations with the strategic partners to develop the southern mine.
It will be a smart move from management to declare special dividends to win the long term holders confidence and deliver on their promises and also a share buyback to get rid of the shorters forever.
thete were plenty of time for POSCO to vary the agreement and that didn’t happen and if it were, the company would have updated the market well before the money went into escrow account and well before transfer of 95 percent of the tenements .
All I know, coming Monday or Tuesday and we will be very happy.
My thoughts only.
cheers, Sydney
GXY Price at posting:
$2.12 Sentiment: Buy Disclosure: Held
