And why would you accept again? (Contact ASIC) From today's...

And why would you accept again? (Contact ASIC)

From today's Financial Review...

"Emerging iron ore miner Brockman Resources is in talks with Chinese and Japanese steel mills to help fund its $1.9 billion Marillana project in the Pilbara and is prepared to back a breakaway QR National rail line to get its ore to port.

Brockman’s project has long been viewed as pivotal to a new rail line in the Pilbara that would allow companies such as Gina Rinehart’s Hancock Prospecting, Atlas Iron and Brockman to break the dominance in the area of big miners such as BHP Billiton and Rio Tinto.

Mr Beckwith said while Brockman was in “constructive” negotiations with Hancock, it was feasible Brockman and Atlas with their planned expansions could go it alone on a rail line built by QR National."

Wow. Financing and a rail access in the pipeline. A new CEO starting soon and a potentially massive new body of ore. Make you want to hold those BRM shares close to your chest, especially being 100% leveraged to Marillana.

"Mr Norgard said Brockman’s exploration opportunities could see it produce up to 40 million tonnes of ore, up from 15 to 25 million a year targeted at Marillana, potentially underpinning a line with Atlas."

Just wait a second, Norgard. You're urging us to accept a $1.50 takeover with some Wah Nam confetti tossed in and give up our right to be fully exposed to a major project potentially producing 40 million tonnes of ore a year, we were told to reject a higher offer on lower output.

"Mr Beckwith said Brockman was in talks with potential minority equity partners including Chinese and Japanese steel mills.

“Early discussion with parties from both China and Japan confirm that [favourable financing terms] would be the case,” he said."

Again, things are going on in the background that are going to seriously rerate Brockman Resources. Why would you accept this takeover on these insulting terms?

One wonders though, will the magical 80% be reached through any actual acceptances from long term shareholders, or just 'associates' buying and tipping into the takeover?

"They were confident this would rise to more than 80 per cent by the March 19 bid deadline, allowing the takeover to become unconditional and the focus of the company to switch to its Marillana mine."

You can switch your focus to the Marillana mine any time you like. We'd hate to see you delaying while you wait to shake off minority shareholders. Further...

"Mr Norgard dismissed criticism regulators had not investigated allegations of related-party buying during the takeover, saying ASIC had done a “thorough job”."

Now, if you want to remain as satisfied with ASIC's thorough work as Ross Norgard is, I'd urge you to contact those currently investigating Wah Nam, Brockman and Ross Norgard in relation to this takeover.

Any concerns you have with Ross Norgard's change of heart, especially as this project continues to expand in size yet shareholders are offered less than a year ago, or concerns with trading in Brockman shares, please contact ASIC.

Misconduct & Breach Reporting Stakeholder Services

[email protected] (08) 9261 4141

[email protected] (08) 9261 4108

http://brmcollective.blogspot.com.au/2012/02/and-why-would-you-accept-again.html