Silver Bull Resources Inc T.SVB

SVBL 100x, next Arizona Mining ($1.6bn buyout South32)

[LondonInvest]

South32 was interesting in Silver Bull after they bought Arizona Mining up north for $1.6bn.  Their geologist thought Silver Bull had same potential for size of resource.  So we have a $7 million market cap now with a $1.6bn potential.  This has potential to be 100-300x bagger from here.

https://www.south32.net/docs/default-source/exchange-releases/south32-to-acquire-arizona-mining-in-agreed-all-cash-offera845e39935e04d52bba69904f73c039a.pdf?sfvrsn=d6597986_4

[andre171]

Should we deduce that the South32 geologists were wrong or were disappointed with the progress of the exploration?

[andre171]

Should we deduce that the South32 geologists were wrong or were disappointed with the progress of the exploration? The transaction with South32 (100M for 70%) valued the project at 142.8M. Would this value still be valid?

[LondonInvest]

It has nothing to do with geology.  South32 had renewed option for 2 years and was going forward.  They just can't wait anymore and have a big question mark over their portfolio pipeline.  Also, I think with South32 out of the picture, the miner blockade can be resolved quickly. The transaction with South32 would be a minimum valuation in my mind at $150million or so.  It

[LondonInvest]

Correction, South32 did not pay $6 Million to SVB.  According to latest 10Q they paid $4.65 Million to Silver Bull Resources over the duration of the Option Agreement.  $3 Million for Year 1 of option and $1.65 Million of $3 Million for Year 2 of option.