The following post is purely speculation on my part. I have no info just gut feel.
IF IF IF sinosteel want mmx then they will probably move before 30 June when the WA Govt makes its decision on the winning infrastructure bid.
If sino wait and mmx win the bid the sp would be beyond their expectations. Sino clearly want the infrastructure deal but without mmx under their belt they have no guarantees.
Sino might be accumulating right now. I say "might" because the mmx sp seems to be showing the same fluctuations that mis did just before the t/o of mis was announced.
The sp continues to show strength and gradually climbs then there are substantial sell offs that don't seem to accord with the general trend of the mmx market. Notably on Thursday when the sp gradually climber to about 4.26 then dumped to a close of 4.05. Similar to the push down from the recent high of 4.90 and similar signs today.
I might be imagining it but it looks to me like the mmx sp is showing similar sp fluctuations that occurred in the mis price just before the t/o when the mis sp was pushed down to allow cheap accumulation but more importantly it provided a low s/p base for t/o.
So a move before 30 June would have to see them make a bid very very very soon because they would want the t/o completed before the infrastructure is announced and it will take time to get a t/o finalised.
I would expect a sino bid to exceed $10 due to mmx cash reserves and reasonably advanced stage of development of mine and for the possibility of the infrastructure win.
Lets see what happens in 2-3 weeks.
MMX Price at posting:
0.0¢ Sentiment: LT Buy Disclosure: Held
