Ann: Update on KSC Joint Venture - Legal Proceedi, page-3

re: Ann: WEC: Update on KSC Joint Venture - L... I don't think it means much for KRL shareholders in a direct sense. It stops Bayan manipulating the share price by buying and selling its holding in KRL, not that they would do that of course - ;) ahem....

Indirectly:

1. I think it's pretty hard to get freezing orders. The Court must be thinking that WEC's claim has good prospects of success and that there is a real danger of Bayan diverting its assets to defeat any judgement;

2. The distraction of the claim, costs associated with fighting it, making provision for any damages if WEC is successful, inability to further encumber the KRL shareholding etc... MAY have an effect on Bayan's operations on the ground re: the KRL prospects.

3. If there is any mining concession, in which equity has not yet made its way to Bayan through KRL, they won't be in any hurry to progress this while the spectre of the WEC proceedings hang over their heads.