Hi Oracle,Yes, the 15th is a crucial day. My understanding is...

Hi Oracle,

Yes, the 15th is a crucial day. My understanding is that if BMG (or some one else under the current JV agreement) does not pay $25M to CAP, then CAP can buy back BMG's interest in the JV and thereby have 100% of Hawsons. In recent announcements, the figure of $13M has been mentioned to buy back BMG's interest. Whilst CAP currently doesn't have $13M in the bank, I'm sure an arrangement could easily be made with the new JV partner (such as Ample Source for example).

I'm sure Nick would like to try and find a way to raise the funds without a share issue because in past announcements/presentations he seems proud of being able to get this far without a capital raising. If CAP did raise some cash via a share issue in order to be able to get back 100% of Hawsons and be completely free to pick its new partner, then I don't think that would be such a bad thing.

I'm not sure of why you see "Danger" with your last comment (if I missed something, let me know). CAP is not a party to the current proceedings and the JV agreement is not the subject of the dispute. From my understanding of the Court documents, BMG has very little cash, the Hawsons JV and some other JV interests. If they defaulted on the Hawsons JV and it was bought back by CAP, then BMG would have $13M from CAP plus whatever else it has. Therefore Hillam and Ample Source need to get this resolved by 15th or their Court battle would have been for little benefit to either of them.

Paragraph 17 of the judgement from 22 December 2011 states "I find that the Hawsons Knob project was the main reason why Ms Lau recommended that Ample Source take a 25% euity stake in Bonython Metals..." That, and the amount of money spent on this litigation (along with Hawsons having a $3.2B NPV), is why I fell confident that Hawsons is worth fighting for and that Ample Source or some one else will step into a JV agreement under similar terms to that with BMG.

I suspect that we will hear little before the 15th of May. ComCourts portal showing Appeal listed for directions on 4th April and callover on 18th April. Should find out on or before if orders for liquidator continue to be on hold until Appeal finished.