That's exactly correct. Some people have been wondering why Frank would enter into a deal with CFE to mine their oxide and give CFE a royalty when CFE are doing nothing for it. The answer is what we know about the port use deal between CFE and African Minerals.
If Frank was only going to mine the London Mining Marampa site there is no agreement in place for him to use the African Minerals infrastructure for transport to Port and export the Oxide, there for no synergy. But there is that agreement there for CFE Marampa Ore, so African Minerals wis as an 18% holder of CFE, we win and Frank wins. Everyone is happy.
Hopefully we find out soon if it's all signed off and we get the go ahead so we can hear that cash register ticking over with regular dividends.
CFE Price at posting:
10.5¢ Sentiment: Buy Disclosure: Held
