Posters may be interested in the email response I received from BND after I enquired about the present status of the JV discussions. Ronn Bechler kindly replied and I am sure he would not mind me posting his reply here for BND investors to read.
"In terms of the JV discussions, we have kept the market as fully informed as possible as they have progressed, keeping in mind the conversations are confidential in nature and commercially sensitive.
The JV process is a key funding initiative for the company that entails finding long term equity partners that will also be major customers. Bandanna is currently in discussions with a targeted group of Asian based offtake partners. As such, it cannot be rushed as the agreement to be put in place will be a long term agreement – the mine currently has a 40 year life.
The time the current process has so far taken is not an indication that the company “has been unable to source any realistic partners for the project”. The process is being driven by management and JPMorgan’s appointment earlier this year should be an indication to you that the process had sufficiently progressed to a point that it was appropriate to appoint an investment bank."
I sent a follow-up email to see if he could provide an approximate time-frame for the negotiations to be completed and he responded as below.
"Hi Peter,
I can’t provide specific time frames, but hopefully the process will have concluded by some time in Q3 CY13.
Regards,
Ronn
I am quite comfortable with his explanation and with the state of the discussions.
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