Peregrine Diamonds Ltd. PGDIF

More bad news for DDC

[oiltar]

DDC is in deep trouble. They could solve the low value ore problem with a take o

[Kodiboy]

James, with all the problems DDC is facing right now, do you really think they would want to take on PGD right now?

[oiltar]

Pipline is long term planning.But what DDC should fear is a recession in the EU and weak diamond prices that will kill the Jay pipe or DDCs needed future cash flows. Now if PGDs PEA shows minning the CH-6 @ 1mt per year for 2.5 ct then the cash flow of it becomes @ $213 per ct or $532 per ton US or $653 million CDN per yr. So if DDC wants to mine a money losing pit like Jay then they will go

[Kodiboy]

PGD seems a little to sleepy for my taste right now...would like to see a bit of a buying frenzy before the PEA, so me thinks many are not in the mood for surprises, and are betting the SP will not move in a substantial way after the big event...we shall see sooner than later now!

[Kodiboy]

Could it be possible that Pgd only sells, let's say ch 6&7 to DDC or whomever, and maybe a few other potential pipes and keep the rest of the area to continue exploring?  Or would have to be the entire area?

[greex27]

I think the simple answer is no, not that PGD wouldn't go for it but a suitor or JV would want to share in the upside in the area. I guess PGD could look at trying to hold on to any resource outside of Diamonds but even presenting that thought would lead DDC to be suspicious of further value that they would certainly like to participate in extracting. I think many on this board have wondered