Sulphur Springs $160M capex. So 50% of that is $80M.
$80M is 100% premium to current VXR market cap ($40M).
But why would NST pay $80M for 50% of Sulphur Springs when it is cheaper for NST to just buy VXR outright. The 80% they don't already own cost $64M at today's market cap at 100% premium. Hands up those who won't mind a 34c per share T/O price tomorrow?
Interesting to note that NST/VXR director DS has dropped $115K on VXR shares over the past year or so. It can't be to pray that it will be worth $50K.
Perhaps its high time for NST to take advantage of strong gold and share price to diversify? Anyway, things will unfold when they unfold. Until then, I am buying whenever I can.
VXR Price at posting:
17.0¢ Sentiment: Buy Disclosure: Held
