nkp imminent jv and other updates

Been a lot of rumours on “imminent” JV and that “payday” is coming.

Spoke to my mate to get his opinion and gossip in the West. Basically my mate said that NKP has been talking to different parties since last year but told me to not jump the gun on “sealed deal”.
The only positive to date is that NKP has managed to attract a partner that helped them lay down the deposit for the mining right. Since the deposit was paid but no binding agreement announced to the market indicates that there are still issues to be resolved before any deal becomes binding.

On the “Optimised BFS” or “DFS” as others would call it, the release of the document is most likely only one of the points that is conditional to make the JV binding. Essentially my mate is saying that NKP most likely already has a non-binding MOU in the background. My mate also assume that the official signing (certification) of the mining license is going to be another trigger point. While the release of the Optimised BFS or DFS may not directly have a massive influence on the share price but it’s a piece that needs to align for everything to fall into place. Remember that the Xstrata deal is based upon “within 3 months of the release of the BFS”. Most likely this “JV” will have a similar condition as well.

There is rumour in Perth that Pete Landau is visiting Beijing but my mate told me that it’s probably best that “not too much emphasis” on a single event. For a deal of this size to be done, especially with a Chinese State Owned Enterprise (even if a deal is done with a private Chinese company the money will essentially going to be State funded ... look at SDL). If it’s a Chinese partner then just take note that there are approval processes that these guys have to go through. Chinese definition of “imminent and soon” can be similar to that of NKP.

My mate and I did agree that since the deal is likely to include Genorah, NKP, DRA, DMR, JV partner, Lawyers for all these parties, so there is going to be more than one point for a leak. If this is the case then NKP share price and volume would most likely get a “magical” run when things become imminent defined by a normal person.

Let’s just all hope that the share price will continue to be in the green day to day. This is all shareholders best indication that something is on. If there is a run in the share price that is maintained for at least 4-6 days then you can say that it’s really “imminent”.

My honest opinion is that if a sealed deal is 2-4 weeks away (pending timing of certain clauses to be ticked off) then the share price will not be at 14cents. Mostly likely the share price would be well above 30cents if the deal is in fact just 2 weeks away.

As for NKP management words alone ... problem is that they have not delivered on their “talk the talk” even once.
All the people can claim about what is being said by management ... me I just watch the share price and volume.