Osborne may be a relatively high cost Cu-Au mine with a short mine life, but the rest of the package is OK. A$160m for the lot doesn't seem outrageous.
Would diversify OZL away from South Australia, and give them a strategic position in the Mt Isa Inlier.
BHP Pinto Valley - acquired by Capstone Northparkes - OZL were outbid (by the Chinese) Inova - looks like it has gone to the Chinese
So OZL has not stood up to the plate for these 3 copper assets in 2013, or cannot see the value that others can (has been outbid)
So what are OZL going to do - they have stopped exploring around Prominent Hill, retrenched some of their exploration team - are they just going to stay focused on the remaining life at PH and hope that all goes well at Carapateena (which is still a significant technical risk, and will be a A$1-2bn project).
Dammed if they do - dammed if they don't.
OZL Price at posting:
$4.04 Sentiment: None Disclosure: Not Held
