Its not about the share price only......in my opinion
1. SK Conduct due diligence
2. SK determine CURRENT Sconi JORC sufficient for 7+6yr off take Pilot plant proves concept, in fact more than proves it, it exceeded expectations, brilliant move BB.
3. SK need said ore to feed their battery plants globally
4. SK determined with feed back from BB and Co that $80m was required to begin construction, .12c sp which also equated to 19.99% of the equity and worked back from there "in my opinion"
5. SK also get commercial in confidence discount on said ore for the term of the off take agreement, I'd bet the discount in the long run will be greater than their initial $80m buy in price. It will look damn cheap in 10 years time
6. SK also get place on the board to protect their $80m and possibly have a say on AL:L the other resource we MAY have.
In short all the talk of "buying on market" letting it lapse and for a new agreement etc. is short sighted.....or deviant bear speak.
19.99% also means no review by the foreign investment board.
Again its not about the damn .12c sp, that, in my view, would have been one of the last considerations of the deal.
If I finish up being wrong so be it, but in the LONG term that ore is coming out of the ground at Sconi "in my opinion".
DYOR
AUZ Price at posting:
4.5¢ Sentiment: Buy Disclosure: Held
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