tell them what you think, page-3

Hi Gripper,

Whilst there was still threats of administration hanging over OZs head, on the 11 march, I spoke to MF and asked him about what offers were received for all of the assets that were up for sale, after trying do dodge this question with the likes of we cant disclose offers and the likes, when pushed and not disclosing individual assets, from memory he said something like this....the best outcome (apart from the 82.5cMM offer) was 55c per share, and that this price would probably not be achieved if OZ went to admin, as then bidders would want things cheaper.

If that was the case then we obviously had to have seen offers for all our major assets.

These offers were made when commodity prices were significantly lower than present, and when some of these assets were in fact cash flow negative, that all has changed, what prices would these assets now attract?

This is straight from the new offer doc.



2.4 If the Transaction does not proceed
If the resolution is not approved, then the Transaction will not be implemented and OZ M inerals will
be required to pay:
a break fee of US $12.06 million (exclusive of GST ), representing 1% of the US $1,206 –– million Transaction
value, to Minmetals; and
–– transaction costs in relation to the Transaction and outstanding bank fees and incremental interest
charges in connection with the prior extensions of certain of the OZ M inerals Facilities totalling
approximately A$54 million (this amount will also be payable if the Transaction proceeds).
Most critically, if the Transaction does not proceed, in the absence of any viable alternative proposal
to the Transaction that comprehensively deals with refinancing of the OZ M inerals Facilities and if the
OZ M inerals financiers do not grant a further extension of the relevant OZ M inerals Facilities by 30 June
2009 or, if earlier, the date these OZ Minerals Facilities become due and payable, OZ M inerals will need
to immediately refinance approximately A$1.2 billion of outstanding debt and bank guarantee facilities at
that time and may also require supplementary funding for its ongoing cash flow requirements that are not
met by operational cash flows. In addition, a cross-default under the Convertible Bonds in respect of which
an amount of US $105 million is outstanding may also be triggered. It is highly likely that, in this situation,
OZ M inerals would be required to attempt to sell a number of its assets as a matter of urgency and would
therefore be unlikely to achieve sale prices that reflect fair value.



The last sentence is intriguing, isnt that we are already being asked to do, so whats the difference.
At least AM would have a job if it went to admin.

cheers grant

the above are my thought only and written without prejudice