comments on goldoz report., page-5

Regarding the stockoz report.

It’s pretty simple to understand that an injection of a qtr billion dollars is going to project any company forward in a major way. What the question is and always has been about is the cost of the money. If it is too dear, well you wait for a better offer, simple. It’s not as though FML is one of those countless iron ore developers of past that had a deposit and no cash to develop. (Some of which I may add achieved similar equity for cash deals.) The choice in reality is - This deal or wait for a better one. There is ALWAYS a deal for a good company.

Focus used timing of the markets to the negative. Instead of waiting it out while the gold sector improved further, which was very much happening at the time, it struck the deal at the very bottom of the market. Don’s Bottom if you like. ‘Always deal from a position of …weakness?’ Sun Tzu in reverse.
So it comes down to incompetence or we are being played to ram the deal through. (I can hear the music from here.)

I’m not saying that the deal will ultimately turn out bad for us, as my intention is to stick around, but it could have been better from the beginning, While I support Goldoz analysis on many of the potential benefits it still does require a bucket load of trust by us towards our future partners and regulators. Well I don’t like our chances on the second front so it’s down to the first.

I’d rather wait for a better offer when the gold price is a bit higher, gold equities are the flavour and China becomes a little more desperate to unload US Treasuries for real metal. Lets not forget it’s the metal that’s rare not their QEx cash. By then even Mr Don will be able to pull off a better deal.

$10m here $10m there, you can analyse the deal all you like but how do we know they won’t go and blow $200M on a takeover as soon as they get the money. Deja vu anyone?