GREY:ADEXF - Post by User
Comment by
greenandgoldon Sep 21, 2011 7:22am
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Post# 19064844
RE: RE: Lack of JV and its consequences
RE: RE: Lack of JV and its consequences"Formal Joint Venture can't be signed until AXI has completed the DFA. This could take to the end of this year or into Q1 2012 or longer. The reason other companies get deals done in six months is because they have a completed DFS when they sit at the table to do a deal."
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Are you making it up as you go along? There's absolutely no requirement that a DFS precedes the joint venture. Century Iron Mines just closed a formal deal with WISCO, with no completed feasibility studies on any of their properties. The shareholders of Adriana Resources expect a completed joint venture deal with WISCO later this year, while the feasibility study is expected 2nd quarter next year. New Millennium completed a binding HOA with Tata Steel for the LabMag and KeMag projects, ahead of a feasibility study due next year.
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AXI management just put out a press release claiming they are trying to finalize the JV. They're not waiting until next year, they're trying to sign it right now. Before the deal gets signed XinXing doesn't pay a dime towards the feasibility study.
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Your posting is contradicted by AXI management's own communication to the market, and by the actions of the other Canadian iron ore juniors doing deals with the Chinese. You're dead wrong.