Timing is everything, I believe once Mt Bevan is in production the value of HAW and HAW 40% will be much much more than what it is today. LCY gave commitment for this to happen before Dec 2012, so its not that far away.
The Indians would now know they need to own Mt Bevan 100% or buy HAW 40% at todays value, rather than within the next 12-18 months.
My Guess is the Indians have thought this through after seeing the numbers and have gone away to work the numbers on how they can get HAW or Mt Bevan now.
This is not only about Mt Bevan, HAW will have Gold in production as well by the end of 2012.
The Indians have cash and to get the ROI, the smart money tells me they need to buy it now.
I would say more going on with this extention than we all know.
I am not sure what this means for us, but it all comes to the valuation they put on it.
You would be stupid to say HAW is over valued today. There is corporate play activity at the moment. The value is what they will pay for it. And nobody knows this yet.
Interesting two weeks ahead.
HAW Price at posting:
34.0¢ Sentiment: ST Buy Disclosure: Held
