new orders, page-203

I realise this may be a coincidence but the surname of the new director is wang and the general manager,director of rizhao port is jianbo wang (its a listed shanghai company so you can see the senior management). Rizhao port prefunded the 20mil ore sales so guessing miss wang is mr wangs daughter/relative may not be a long stretch given the chinese modus operandi for putting assets in their childrens name. as such i consider voting no against WEG owning 50% of cockatoo a bad idea for 2 reasons, 1) the company would be in liquidation without the pre funded ore sales and shares would be at 0 so to think PLV wont need WEG in the future is crazy so don't screw them over (tony could easily miss ore shipments or some other cash flow induced life threatening event in the next 12mths) and 2) PLV bought it for 0 (well 20mil bond plus some extras) so selling 1/2 it for 0 seems to be buying and selling it at the same price and not giving away value. cliffs valued it at zero and they are not morons. if you PV back the expected ore sales from stage 3, then subtract the capex to do stage 4 and then ore sales from stage 4 at $100 per ton, then back out the enviro clean up cpsts of 20mil then you roughly come up with 0-10mil as the valuation. its only a steal at that price if the underground goes ahead.
cheers