But I think the recent past has led most to think that any "forward looking statements" given by JL have to be taken with a very large pinch of salt.
Their website still sets expectations of a 1m oz reserve coming with the JORC upgrade in May 2011. Of course, the JORC didn't arrive until a few days ago and no reserve at all. And even the indicated resources at 700k oz were no where near 1m oz.
Plus what happened to the fund raising over 70c/share; the London listing and splitting off the non-core assets? Answer - nothing.
So, I simply don't believe him when he suggests 1.5-2m oz reserve in short order; although 1.5-2m oz reserve in time is possible. Note that in GGG/GGB's statement around the JORC they only talked of more than 1m oz reserve.
And you short passage here: ["If we use a hypothetical and use GGB last traded at 35 cents which is solely Bullabuling. Adding 35+17 = 52cents is where azx should be trading roughly. There will be a scheme of arrangement."] makes no sense at all: why would you add 17c to the GGB sp to get a target for AZX? Clueless.
Baker Steel are fund managers, what makes you think they'll launch a full bid for the company? You cannot be serious.
And JL may have got someone to say the other assets might be worth 17c, but I think you'd struggle to find anyone else in the market who agrees. If they are spun off, it will be interesting to see what the mkt cap would be. $2m, including $1m of cash?
Finally, why would any "coming together" of the two companies be on a 50:50 basis when the cash position of GGG/GGB is so superior - see my earlier post about the dilution required in AZX to even get to $10m cash position? GGG shareholders wouldn't vote for it.
I do agree the ownership structure and management issues are the key issues for both companies and need to be resolved quickly.
Did you go to the planned Proactive presentation on 16 Aug?
I hold GGG.
AZX Price at posting:
44.4¢ Sentiment: None Disclosure: Not Held
