Hey Nord, cheers for the reply.
Firstly regarding RMS, I have a strong hunch that Karora was just Stage 1 for RMS (with a likely tie up of PNR afterwards), giving RMS a rough production profile of 500-600k p.a. In any case, it seems that RMS has accepted that WGX have the deal done, if only because, after listening to the KRR management, they are 100% all in on WGX being the only company that suits them, particularly with WB as the helm.
Perhaps I am getting sentimental, but when the CEO and Chairman mentioned he has adopted two disabled children and that is basically what he wants to focus on, yet he also tied this with having full trust in Wayne to do well with his large holding of KRR. I feel that speaks volumes as to why there a lot more to do this deal than simply $$.
I also found it interesting that RMS do not run their U/G, but Karora at Beta Hunt does... so WGX have a strong rationale for combining.
May I ask if you have any thoughts on who RMS should actually aim for, versus Karora?
Regarding newer, I think Beta Hunt is new... as a gold mine. The Higginsville plant is actually not that old in the scheme of things either.
Fair enough about mergers taking time, though I note this one seems to be occurring at a fairly quick pace. Both companies have a lot going on, but... we will see if your pessimism proves the wiser approach (knowing you, it probably will be!).
I do agree with you about RMS, they are after a step change in production and asset quality, but... few to be had!
Interesting thought on Mungari
@Joelstar but EVN says it's.. a cornerstone asset, so....?
I do think the asset looks like a step up on Edna May, albeit, it will require some serious capital to bring it up to 200k p.a.
Perhaps not quite a fit for RMS and it's hub and spoke operations though? Which is perhaps why RMS also looked favourably upon Karora, which is literally that. I really would love to know what the RMS board are thinking right now... as MZ has been spouting the 3rd hub for years now.... they have undoubtably done a huge amount of tyre kicking, but... still no result.
@youwishfood - It does make for some interesting speculation.
@wassa - early days mate. Just remember how the market reacted to SLR making the offer on RED
Basically went 20% over the next few weeks, yet... now... the share price is higher.
(20min delay)