todays announcement

OK, well i'll be the first to admit that i've been skeptical about chinese investment in Burraga as RAU hasn't released any results to market to date that suggest it's feasible. Obviously if this were the case then the Chinese would not be talking seriously to RAU.

Today's announcement talked about a co-op between RAU and the Chinese mining company, and as far as I know a ming company is only interested in one thing and that's mining. So i'm also making an assumption that Burraga has shown something that we don't know about yet.

Yesterdays announcement about securing a drilling rig is insightful as well because the drilling rig is not going to Burraga but to Tregoora. Now if the Chinese deal involved proving up a resource then you'd think the drilling rig would be put straight into Burraga. But it isn't. So the resource must already be proved?

Common sense seems to say that there is a resource at Burraga and that the Chinese want to mine it.

Now the question for us is - how will the Chinese take a cut? Will it be through a share issue (God forbid!) or will the ownership of Burraga be restructured so that the Chinese become part owners? If you can suggest there is another scenario then please put forward as i'm trying to work out how each scenario affects the share price.