Columbia coal was certainly an unexpected move. Hoping it's a good one.
Can understand your point Guidos but figure they wouldnt have bothered spinning off iron ore just yet if that was the case. Couldn't just abandon potash straight after going to a potash-only company could they? :)
My feeling is they want to have a few big projects that present a big opp for major players in the sector to buy once we've come up with JORC-compliant resource. Getting the potash project up on our own would be incredibly difficult. However, if we have two big projects then one could be sold a year or two down the track and the funds used to go it alone for the second? Who knows? Wouldnt mind some +ve news in Utah tho ;)
It's also interesting that if you type Corvus Coal into google you get practically nothing. And certainly nothing relating to Columbia - even tried Google Columbia (nor do you find anything if you type in Callaghan's company 'Interminco'). Obviously Corvus isnt a major player and one can hope it was a bit of a fire sale. It's a reasonably costly project ($2.8m/year just for holding the land) and if Corvus is really small - which seems to be the case - they mightn't have had access to the funds needed to keep it alive.
Will be interesting to see impact on SP.
TRH Price at posting:
19.5¢ Sentiment: LT Buy Disclosure: Held
