Yes, things should proceed to completion now that the re-instatement cp has been removed. The release looks like it has been written by lawyers for the ASX not the shareholders. On the positive side, SDL shareholders get to retain 40% of a company with no debt and $4M in the bank and 4 large SOEs as partners as well as the coordinator AustSino. The SOEs are large - the biggest steel maker in China, largest stainless steel maker in the World, largest rail construction in China and the third largest port owner and operator in the World. The other positive is the iron ore price at US$110-120/ tonne when all up project costs $40/ tonne. On my calculations that’s an operating surplus of US$3 billion a year.
Well done SDL. It’s not easy to fund a US$6 billion project in the jungles of Cameroon. And not much financial support from its shareholders over the last 3 years.
SDL Price at posting:
0.6¢ Sentiment: None Disclosure: Not Held
