xstrata jv, page-6

i understand your view... and i really do hope Nkp gets taken out.. in fact i think they will.

The problems facing this stock at the moment are although investors see the potential for the takeover, NKP still has mega risk attached to it, because of the following reasons. These are the kind of reasons BTW that scare the hell out of insto's

1. Cap raising... Matter of when now
2. management - laughable( lets face it , its true and i like this stock)
3. Location- All it takes is the locals to threaten to contest the mine again.. bang game over just like that.
Although i know this wont happen, you don;t think a potential suitor would not like the SP to collapse by another 50 percent. Or better yet just destroy NKP so badly that we cant get into production.


Again, i like this stock, but i have been burnt before with this one... we have to be very careful indeed