PRX 16.7% 0.3¢ prodigy gold nl

Comparison btw OBS & ABU

  1. 990 Posts.
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    What a change when a possible take over is involved. OBS, a week ago the shares were around 30c and now sitting on 40+c, is likely to go gangbusters with a possible take over bid on the table. Has a resource of some 5mozs of gold at a 3.4gm per tonne in NW Africa. ABU has some 2mozs at much higher grades per tonne with lots more to be discovered. It has all the infrastructure basically in place with final approvals and start up just around the corner. How does ABU stack up with OBS which still has to bring together all the infrastructure to commence mining. What would be the price of shares in ABU be if a take over was to placed on the board. Any thoughts?
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    "p16 AFR (14 October)

    "Orbis CEO Peter Spiers said the company is in dialogue with a number of parties that represent the "who's who" of the global gold industry".

    OBS shouldn't be sold for anything less than $1.

    -----------------------------------------------------------

    Orbis Gold (ASX:OBS) has rejected a conditional, nonbinding and indicative proposal of between $0.62 and $0.65 from Canada’s SEMAFO (TSE:SMF) that valued the company at up to $162.44 million.

    Its board unanimously said the offer undervalues the company both in terms of its existing assets, and the potential value it expects to deliver in the near future.

    The offer is interesting in light of the $615 million takeover of Papillon Resources (ASXIR) by B2Gold Corporation (TSE:BTO, NYSE:BTG) that was completed earlier this month.

    In September, Norton Gold Fields (ASX:NGF) closed its off-market takeover offer for Bullabulling Gold (ASX:BAB) with more than 90% take up of its offer and is proceeding with compulsory acquisition of the remaining shares.

    Orbis is currently updating its Scoping Study for the Natougou Project on its updated Resource of 18 million tonnes at 3.4 grams per tonne gold for 2 million ounces.

    Key takeaways include an NPV of US$446 million, IRR of 60%, payback of 1.4 years and free cashflow of US$560 million.
 
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