I believe data rooms at Arafura headquarters is busy at the moment. Our CEO in his interview around May mentioned the company has advanced terms sheet, a step required to generate a preliminary document that form the basis for negotiation of binding off take agreement or equity investment in the company. The negotiators including lawyers from each side go through the document and modify things that satisfy both sides.
That process has been concluded in my personal opinion when our former Chief financial officer Peter Sherrington said with confidence at Bloomberg interview in September that binding off take agreement by end of the year is likely as negotiations are advanced
Volkeswagon has business partner due diligence process and protocol in place, they would have employed a third party in Australia to do the due diligence and spend sometimes at Arafura’s headquarters to examine the Nolans project. That process takes around 45 days and in some cases up to three months. The opening of the international border to overseas travelers on 8 th of November would have facilitated a team from Volkswagen ( most likely in my humble opinion) or other European manufacturers to visit Arafura
I strongly believe the due diligence process is near the end within the next couple of weeks. The employee that converted the options to shares would have witnessed the corporate activities at the data rooms
An announcement of binding off take agreement could come sometimes this month or the early next month and hopefully that could be the Christmas present for shareholders who believed in Arafura huge potential , done their homework and took substantial position to reap the rewards
This is my speculative analysis, so please do your own research, not a financial advice to invest
Cheers
ARU Price at posting:
24.0¢ Sentiment: Buy Disclosure: Held
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