MinRes dramas will have consequences for WC8

I am surprised and disappointed by all the drama unfolding in the MinRes camp … and it must have implications in the way that company is viewed and operates going forward.

Big changes will need to be made

I wouldn’t be at all surprised to see rigorous scrutiny now by regulators across all areas of their past business practises and the past gun slinging type approach to business development opportunities is not going to go down too well with institutions and their advisors.

There will surely be Board structure and management changes.

MinRes currently has too much debt, lenders will be nervous and MinRes need to sell things and focus on their core game, namely, mining services, lithium business and that new iron ore business.

Probably everything else should be sold, like the North Perth Basin energy division and the minority stakes in other entities not close to generating revenues.

WildCat fits into that … and I have no doubt there will be interested parties willing to purchase the ~20% held by MinRes.

most likely candidates imho being SQM, PLS, WES, Gina

Hopefully WildCat has opened their data room to enable such groups to make an informed assessment of the Tabba Tabba project worth.

anything could happen at anytime from here, because you would expect a buyer of that 20% stake would also want control.

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below is the chart of a stock that looks a hot BUY to me