Cheers for the reply loki, though to be fair, you sort of seem to imply that SPRs major shareholders will ask too much, and WGX shareholders would not accept their demands... which is sort of in the middle of what I said, but I take your point. Though, like Wassa, I don't view WGX shareholders as being not open to such a deal. I imagine that many holders view the MD and the board in a very different light to 2-3 years ago.
I think SPRs two biggest holders are likely very willing to miss some 'upside' in the short term, to be able to increase the likelihood of a longer term, less risky return, after already having made some seriously good returns (particularly Tempo). Bigger... begets bigger. Bigger equals more liquidity, which leads to more optionality.
I again disagree with you about WGX shareholders not seeing value in such a deal. They would potentially be adding in a new... mining camp which could eventually rival Mt Magnet (SL.. postulated that... in the fullness of time, it could happen - yes I paraphrased him). As I posted, a 500k p.a producer would hopefully enable all shareholders to see further substantial gains. But fair enough if you disagree. I think WGX is continuing to change it's spots as we speak and... whilst it does take time, it is basically doing what it said it would do.
I think WGX can and likely will do deals with some of its smaller neighbors, but... it will hopefully not need to T/O any of them, because.... they will be unlikely to even actually get to build their own plant. GMD continues to do deals which... remove the requirement for T/O, which likely makes the small cap boards/management like KIN happy, as they keep their jobs for longer, and likely keep shareholders happy enough. I believe such deals have and are in the works though of course, WGX is keeping quiet about them.
I am sure SL and the team will indeed undertake everything that is needed to future proof a production restart at Dalgaranga, even if it hopefully undergoes many iterations (growing bigger etc) into the future.
Not sure I am overly fond of your example of SBM and Atlantic! As SPR is a different beast. I think something closer to when SAR picked up Thunderbox (though... this time it won't be for $30 an ounce!). Saracen buys unloved Thunderbox mine
Which proved a spectacular buy.
WGX continues to trade a huge discount to the likes of RMS... in some ways, this is potentially an advantage when compared to, ah... less discounted script. We will see how it all plays out.
WGX Price at posting:
$2.22 Sentiment: Hold Disclosure: Held
As SPR is a different beast.
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