An interesting question satori... Definitely likely to be further consolidation in the sector given strong prices and obvious infra issues for juniors in the pilbara (not something PLV has to worry about obviously).
Strong results could lead to a t/over offer but I think one of the barriers is that - prior to PLV - no-one was granted access to drill on the island. Tony and his team clearly have a great relationship with the Mayala people (one of the many reasons I bought in) and I have a sense from afar that they would definitely like his team to remain in charge.
From one of Tony's posts:
"Also we will be doing our pre-feasibility study this year, moving as quickly as possible into full feasibility studies.
To get approval for a mine on Irvine we will also need to conduct many environmental studies covering fauna, flora and marine. We also need to do surveys to see what size ships we can get into Irvine.
Also we will commence negotiations with the Mayala on a fair compensation package as a result of mining."
Lot going on and think t/over unlikely until at least after the PFS. However, if PLV can prove up the tonnage they expect, then we might have a cornerstone investor by year's end IMO.
Bottom line: we now have 100% of the project, iron ore is in demand, resource is getting bigger and we have cash on hand. In other words, Pluton will hold the aces in any negotiations.
PLV Price at posting:
54.0¢ Sentiment: LT Buy Disclosure: Held
