Hi TP,I follow your posts on GDY with interest (I Hold both GDY...

Hi TP,

I follow your posts on GDY with interest (I Hold both GDY & GDYO)

Interesting move today by these companies. Lets see if I got this right.

ORG get 30% of the SA tenements plus 30% of the drill rig for 96M (10% more if the concept is proven before 31 March 08)

Shareholders get to vote on the proposal sometime in December

Any LETD Fund grants prior to 15 December 07 to be GDY property.

The GDY options (GDYO) expire on 31 January 08

So - future development costs will be shared by ORG and GDY on a 30/70 basis. Meaning that ORG will effectively pay up to 30M more before the GDY shareholders have to put in any more cash. (or borrow it from some one else) And if the LETD Fund grants happen pre mid December, ORG may need to stump up another 20M

Does anyone know how much the exercise of the options is worth ? Now we can add an extra 30% on top thanks to ORG.

I wasn't really expecting the proof of concept before the end off the year - But now the pressure (pardon the pun) must really be on to get the HAB-3 down to depth as soon as possible. It could be worth a lot of $$$$ to GDY to do so.

The timelines and timing make this an extremly interesting move, esp given that ORG is a blue chip with lots of reputation to protect.

Also interesting to note that GDY want to buy more drilling rigs to complete the drill program.

14esc