“”“Our strong cash position compared to juniors coincides with a once-in-20-years mergers and acquisitions market, with distressed sellers continuing to bring assets to market, exploration potential can be obtained for very low value on the back of producing asset acquisitions, and there are opportunities to assist cash-strapped minors with development funding,” he said.
Several opportunities were being assessed, and one was likely to be finalised in the first half of next year.
Accepting the offer would allow it to decommissions and rehabilitate the remaining two wells near Casino, shut down its field office and terminate the employment of associated staff who are no longer required.
Legal costs would also be reduced, and the company could complete a strategic review.
Failure to accept the bid would mean the government’s offer would lapse, and there was no certainty that the government is prepared to reopen negotiations or that an improved offer or, even any offer, would result, Gill warned.
Shareholders will meet in Sydney on December 12 in what is likely to be one of the most fractious junior company meetings in recent times.
Last week Keybridge Capital increased its interest in Metgasco from 6.42% to 7.65%, ahead of a vote by Metgasco shareholders on whether or not to accept a $25 million offer for the company’s three New South Wales licences.
Keybridge became a substantial shareholder last month, around the time ERM Power sold down. Keybridge is also a substantial holder in cashbox Molopo Energy.””
Now, this was written about 12 months ago, but guess what, nothing has actually eventuated and we can put it down to no more than hot air talk from our Chairman so that they could get the votes to get them through the agreement which they'd made with our dearly beloved State Government cronies.
""(Several opportunities were being assessed, and one was likely to be finalised in the first half of next year.)""
Now which one of those "SEVERAL OPPORTUNITIES" came to fruition in the first half of this year.?? I WONDER!!
And one more thing if I may............can anyone here clarify the following.??
""(Is Len Gill Chairman of MEL the Chairman of AGL as well.??)""
Just asking for curiosity's sake.
MEL Price at posting:
5.6¢ Sentiment: None Disclosure: Held
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