big chomp, page-70

Thanks flurnt,

That provision had not escaped my notice, but I put it down to the need (primarily) to have something in there to cover people saying well what happens if they strike copper or oil or anything else.... while drilling for iron. Covering their bases, while getting on with what it is all about ... iron ore.

What TP said wasn't so much that the provision was incorrect because if by any long shot they struck copper instead of iron then by all means we talk again, but in the event that the tenement was sold (hopefully at a brilliant price) for its iron, it would go with the lot.

If (later on!) Vale found copper/gold there well, no comebacks by AVB. AVB takes the cash and walks away completely. That is what I meant. Some posts were suggesting AVB could go back later and claim copper etc..... nope.

Will they go over and drill at the copper anomaly? IMO no! If Vale are paying the bill and they want to look for iron, then iron it is. They would call the shots, even if AVB originally elected to take some management role in the drilling program. Why complicate things now with some (unwanted by Vale) little copper deposit there?

I had the impression the Vale drilling was very successful. Clearly the more they drill the more reserve could be proved up.. ad infinitum. So what is it worth? $10m, the cost of the Vale Annual Office Party.. or more towards the $40m which would be useful to little AVB.

The geos must surely have a pretty good idea of some sort of inferred figure at least.?

Like everyone I am hoping for a fair (elastic term!) walk-away price... i.e. $40m!

RE: TN Sale. Nobody is saying anything, least of all that any negotiations are under way at all... silence.... but to me they are acting like Greece/Italy and spending money is not a problem. Talk is centred around actual production, another drilling round to bring up 100km has been mooted on a post, a trial mining licence that might require some ore extraction soon..... and now as you say an aquisition to provide feed-stock for what must be going to be a sizeable mining operation. It all costs!!

... so where is the big CASH coming from???? one guess. (No, not us shareholders...)

As for that new project at an advanced stage? NO Idea! :) maybe someone has knocked on their door and said you guys are about to start production.. well so are we.... why duplicate. Let's do a deal. Time will tell.

What you highlight about absorbing another advanced copper project adds Yet Another possible announcement to the MANY that could occur... anytime now!

YES... As you would know, avanco IS advancement in Portuguese! better than retreat I suppose.. :))

cheers. PP