About a year ago Chinese outfit bought half-share in MLX's Renison Bell tin mine. History shows Chinese bought at exactly right time and at bargain price. However, MLX used their cash astutely and bought a 19.2% share in JML. That investment has more than doubled and today's news re JML vindicates MLX's investment. Now we have a cashed-up MLX who are experts in mining/refining Tasmanian tin. Right next door is Venture Minerals (VMS) with a massive (and growing) rich tin deposit. Assuming the geology is similar... MLX have the infrastructure and cash to develop a new mine and process the ore via their plant at MLX. MLX management will know better than anyone else the cost of prod. and margins in mining tin (both open-cut and underground) in Tasmania. I can't imagine they are not running their ruler over VMS. Will they strike before VMS ann their PFS and while the VMS SP is stuck around 55c?? Time will tell but a TO bid would not surprise.
discl: I hold VMS.
MLX Price at posting:
39.0¢ Sentiment: Hold Disclosure: Not Held
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