A couple of positives to noteI see the negative sentiment and understand it. I'm saying - no reason to
throw the baby out with the bathwater. Core is a great play and perhaps, and there are benefits
to having had an offer.
Fair enough, the Titan offer has its negatives, as has been expressed, including in part:
. Dilutive - weak assets Titan brings in for roughly 40% of the equity, and option grants.
. Elimination of Canadian market liquidity and goodwill, with no Canadian listing
. Financial position doesn't appear overly strong - cash yet to be raised
. Curious relation to Core Gold board - Keith PIggott not mentioned in promo documents
. Might reduce the stock price leverage on core's assets, slow its ascent
That said - there is every reason for Core Gold's stock price to be underpinned
by their assets, which are excellent - here's an incomplete, short list:
. Actually producing gold, with a project profit heading to an overall profit
. Highly unusual production based on better than 4 grams/ton mined at surface
. Operating mill and plant, with very little required to increase production towards nameplate
. Vastly improved corporate situation from last year, transacting as normal company again
. Strongly improved gold market, giving to better Core finances
. Keith PIggott and some key employees, continual gradual successes
. Extremely prospective concessions, permitted and ready for drilling
. Dramatically imrpoved mining corporate envirionment in Ecuador, Core in excellent standing
. Brings alternate finance options into action - loan, and/or less dilutive stock raise by Core itself
Titan having made an offer hasn't aged well - neither the Australian nor Canadian markets
appear to like it, with Titan price about unchanged, and Core down a few cents. Some
shareholders have voted with their feet. However, I've bought and am likely to buy more, as:
. Corporate statements - Core signalled the sale of non-core assets, and working w/ multiple offers
. Bid - even if not so popular, Ttian placed a bid, 60 day timeline, so other offers may be attracted
. Getting notice - this has raised the profile of the assets in the news - lots of mention of Core
. mproving operations and financials - with higher price of gold, Core financials in upswing
It's good that shareholders are expressing their opinions, and now it's time to move onward. The
bid didn't fly very well, but it was a bid. A few people may be shaken out just now, but Core's assets are stronger than ever. I think the envirnoment going forward may be getting better.