RE:RE:Summary outlook for Merrex- 2015-2016Yes, I agree netgenx. My thesis has Karita staying out of IMG's (or anyone else's) hands until it is delineated throughout 2016. It's potentially a much bigger deal than Diakha since it is 100% owned by Merrex. Just 2 million oz at $75US/oz is almost $200 million CDN......and very attractive to IMG because of its prime location next to Boto.
My gut feeling from studying Rand is that they wouldn't be interested in just Karita. They are looking for something really big along the Mali Senegal fault. That would mean that if they come into the picture, it will be with IMG for the whole shooting match.......Boto and MXI JV. That puts MXI in a great position with Karita in that scenario if Karita is shaping up with good mineralization as it would add huge value to the Boto/Diakha/Siribaya mine. Obviously adding new ounces to an existing mine is far more valuable than adding ounces in a greenfield exploration.
Also my gut feeling is that I don't think Greg and John are going to play hardball with IMG, especially right now with IMG holding a big debt over MXI and carrying this year's drilling costs. For MXI to raise enough money for a meaningful drilling campaign at Karita would almost certainly mean IMG calling in the loan. Of course the debt could also be settled by share of the JV rather than by shares of MXI (that is probably how debt is settled in the JV agreement). I haven't crunched the numbers on that option but it might not be too bad as long as MXI shares stay low.......below .20 as you suggest....just a guess. So it would be nice to see MXI create some deal tension in the next few months but I doubt that will happen. Let's just hope for a fair deal from IMG for the Diakha and Siribaya deposits and then go to work on the Farita permit. I'm counting on IMG's penchant for paying too much for everything they do.