3 month extension HEAR HEAR...finally I see some mention on the Orko board about this ridiculous 3 month extension that PAA is 'alluded' to be getting (or eligible to receive). You have to remember...until some time ago nobody here probably knew about the existance of this 3 month extension.
I say 'alluded to be getting' cause when you check the orko presentation which was updated on February the 13th it is also magically included there.
I've kept earlier orko presentations and nowhere is there any mention of this 'possible 3 month extension' in them.
So my bet is...reaching a feasibility study by April 13 is off the table.
So, it must be something new or something which was kept out off all earlier presentations but still known by Orko management but never included in their presentation cause at that time they had still high hopes of PAA reaching that deadline.
To clarify this (this refers to the hope that still existed about reaching the normal set deadline) I will post the text from an earlier Orko presentation. The text you can find at the bottom of the page of the 'La Preciosa timeline'
* -this timeline is based on the actual terms of the JV agreement.PAAS is fast tracking the project so feasibility may be achieved in a shorter time frame than the agreement states.
So..in that earlier presentation they had still hopes it could be achieved in a shorter timeframe than the agreement stated :-)
Funny to see how that presentation always seems to change...in PAAS best interest and not in Orko's best interest.
Well, this aside...now to the possible extension...
What kind of extra-ordinary events or adequate reasons can PAA bring to the table for not being able to reach the 13 April deadline and be in their rights to claim their 3 extra months extension?
What can a company, mind you, a producing silver miner with a working capital of over 600 Million dollars pull out of their magic hat to explain their failure to meet that April 13 deadline?
PAA : Oh sorry judge, we hit a bit of a snag in Argentina with one or more of our projects!
PAA : Oh sorry judge, its been a rough couple years since the credit crisis,...give us a break will ya.
PAA :Oh sorry judge, we seem to have been tied up with our takeover of Minefinders Corp Ltd.
PAA : Oh sorry judge, but on December 16 2010 we discovered that the increase in silver price (DUUUH - this is like simple investing 101) has lead us to a re-evaluation of the proposed mining methods for La Preciosa. But luckily, in the end of May 2011 we found out that a combined Open Pit and Underground scenario was more attractive. Then again, after that time until 13 April 2012 we have been uhm...uhm....uhm...LOOK...a giant pink elephant.
Let me tell you...none of the above qualify...except for that pink elephant then.
Fact of the matter is, if they wanted to reach the deadline they would have had more than enough time to do so. Like they say...there is nothing which money ain't able to buy...especially 600 million dollars worth of money. Any reasons they pull out of their hat to not have been able to reach that April 13th deadline will be nothing short of excuses to any long time followers of this stock and should as such be treated like it. Not only by long time Orko shareholders...but also by Orko management.
If the deadline is not reached then Orko management should cut all ties with PAA and find another suitor. The time for dragging this on and stalling has come to an end at April 13 for all I'm concerned and I think alot of Orko shareholders will feel the same about this.
At 13 April I have only these few words to say....LET THE BIDDING WAR BEGIN!!!!!
Bye,
YeOld