GREY:OLEPF - Post by User
Comment by
Capharnaumon Feb 22, 2013 12:57pm
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Post# 21029505
RE: Any answers to my question?...........
RE: Any answers to my question?........... Usually the % of owning is based on invested money. Ie: Badr invested $5M initially and total investments for the OJVG are now at $140M which would mean he owns 3.5% of the venture. (figures aren't totally accurate, I'm going off on memory)
If a third party was to buy public OLE, then build the mine without additional contributions from the other partners, then the investment to build the mine would be add to the current total OJVG. They would add roughly $300M to the approx $65M invested by OLE already for a total of $365M out of $505M which would give them 73% of the property and mill.
Since I believe OLE has by far a better set of explored properties than TGZ, a major could buy public OLE and build a mine for a total of $450-500M for 70-75% of total rights, which imo is a better deal than what they could get buying TGZ.