Thanks Skiline... here's a one-off =)My personal opinions on why...

Thanks Skiline... here's a one-off =)

My personal opinions on why I like the Westgold-Karora merger:

1. Westgold Resources has been looking around for something the past three years, and had been beaten to the line (Musgrave Minerals) or decided to not proceed (Gascoyne Resources). This merger comes at a good time as gold makes yet another all time high, where operating margins could really go nuts in a good way.

2. The merger will bring some costs down. Karora is listed on the TSX though most of its operations are in Australia. That should shrink the Canadian offices even though it'll be a dual listing. While it boasts synergies of just below $500 million, the details aren't apparent but Westgold Resources does its mining in-house and the suspension of Paddy's Flat frees up some resources to move to Beta Hunt if need be (my guess).

3. Westgold Resources has significant cash and want another operations. Karora Resources want more liquidity to grow. Sounds like they are a good match.

4. Karora Resources owns the Lakewood mill which is in the Kalgoorlie "Golden Mile". Gives the merged company the firepower to get their foot in the door to snap up assets in that area, or even just get in the action.

Westgold Resources copped a belting after coming out with a less-than-flattering preliminary March quarter operating result. Not entirely their fault. Merger might not have come at the best time, right after the sell-off. And paying a 25% premium to Karora Resources now feels like a smack in the face of Westgold Resources shareholders. But, taking it long-term, this is a strategic move. Well worth it when shareholders look back.

Ok... that's it from me.

You know where to find me.

Gold's making all-time highs. The ASX Gold Index is breaking out of the three-year highs. Could be the dawn of another 2011, 2016 or 2020... or better.

Best wishes to all with your investing.

God bless,
Brian