why nst might want axm, page-17

plough,

there are two things you have brought up.

The second,exploration success and grades i have no issue with.

given the research i did on NST before buying my first share there and then the reducing grades and then mining of areas further up,when they were no longer subject to royalty,to enhance returns,i would call that an example of highgrading ore mined.i.e. leaving less economic ore until later.Expanding resources to reduce royalty payments per ounce also making some of that ore more cash flow positive and reducing costs per ounce also kept shareholders happy.Great stuff.good reading NST announcements,i highly recommend it and still do so myself.

NEVER disputed Bill is a good operator and NST a great company,with a great growing resource,i would never have been an EARLY NST shareholder,if it wasn't written on the wall,so to speak, if i didn't see what was ahead and done quite well as a result.Believe me no insult to NST or BILL.Great operator.I see things differently to many others and express that divergent opinion often.

However,i now choose to have those ex NST resources elsewhere,to reassure you,those funds are other than here.

The funds here are from a different pool,with a different reason for being here.
The realisation of this asset likely soon to start to occur,by one means or another.That is still being resolved,by the look of it.I don't have to be right often with this pool.

To buy control here,something of value will be given to existing holders to get their vote.That may just be exceptional management,buying in on a financial bargain.The spoils will ultimately be shared with existing shareholders,even if they end up only owning around half of the company as a result,or getting offered shares in a far superior company(with no cash changing hands),if an even sharper operator such as NST.

I would personally prefer to see it reinvigorated with suitable stand alone management(as good as Bill),for a better ultimate return,than it be taken over,but the case for NST is financially compelling,with no financial downside for NST and considerable upside considering NST's skills and need for future plant of a similar nature.Obviously NST could get it for shares,so the only cash outlay would be oustanding debt and the cost of making it mine ore,not bad for $100m worth of tax paid credits(300m loss)and over 50koz production upfront.

You see things differently-so be it.

DYOR+DYODD Predators always go for weaker prey.The weaker the better.The less effort required the better.Forget the animals broken leg,LOOK AT THE MEAT,not the broken bones,or the howls of distress.
The purchase of Paulsens was from a very very very weak vendor who's own shareholders were up in revolt about the deal-hence the price increase at the time,if you remember.