Quick reality check before unwarranted exuberance takee over...

Quick reality check before unwarranted exuberance takee over this forumm again.

Majors DO NOT buy out juniors until permitting is in place. We may be appraoched prior to the completion of construction but not before we have an unencumbered SML in hand. That means any T/O offer is 18 to 24 months away depending on the time frame of the court proceedings that will follow the SML issuance. At that time you may not be so quick to feel 10, 12 or 15 cents is a reasonable price. That figure only looks attractive now with production so far away and the SP languishing close to 3 cents. I mean who wouldn't take triple the current price for their shares in anything.

By the way, as I've said in the past, don't hold your breath for the PTM or financing news. You don't get financing without permits in place which is one reason the company obvioulsy felt that the shocking deal of spending $475,000 to recoup $100,000 odd in options take-up was a worthwhile insurance that all option would be taken up. That money is needed to do some preliminary construction tasks (if they do intend making a head start with the DDW, etc) and take care of overheads whilst permitting progresses sufficiently to allow financing talks to become serious. Additionally with the SML so far off there's precious little point in handing over bond money (or premiums on a bond guarentee) until it is required.

I expect this to be a very quiet 2H2012 with drilling at Karoo likely to be the only significant source of news.