food for thought, page-21

IMHO, a take over bid from CST (China Sci-Tech) is highly unlikely. CST just had a huge cap raise to pay for Lady Annie and a Peruvian mine. I doubt its shareholders are keen to fork out more money. And one might ask a question: why paid for Lady Annie individually while a full take-over was considered.

However, looking at the way CST raise capital to buy the mining assets, I reckon CFE can consider to float some of the assets (Marampa etc.) in HONG KONG, because:

1. It seems there is a big appetite for mining IPO's and cap raising there.
2. It's close to China (the biggest mineral consumer), and the likelihood of getting Chinese funds in the IPO.
3. Smart money in Hong Kong is moving out of the property market, which is considered as a big bubble at the moment, the rich and the not too rich need a sound and interesting sector to park their money.
4. No RSPT shadow there. Even the assets are out side of Australia, but can you imagine floating Marampa and not getting hit by the mining bears in the Aussie market now?

Cheers and DYOR.

Snowfree