RE: RE: The wording of August 31 press releases su Hi Dickies,
Just to be clear, there is a significant difference between an MOU and a legally binding enforceable agreement. For ease of reference, please find attached one definition of an MOU I copied and pasted from the web. For the record, I am not trying to be snide or disrespectful of your post. I just think it is very important for bullboard posters who may not be as familiar with the law to understand the significant differences.
"A memorandum of understanding (MOU or MoU) is a document describing a bilateral or multilateral agreement between parties. It expresses a convergence of will between the parties, indicating an intended common line of action. It most often is used in cases where parties either do not imply a legal commitment or in situations where the parties cannot create a legally enforceable agreement. It is a more formal alternative to a gentlemen's agreement."
Hence why you seen the term MOU used. Companies often engage in MOU's while negotiating terms for a formal agreement or while waiting for additional information (such as awaiting drill results or a bankable feasibility study). For example, Shinhan Bank has NOT agreed to lend Woulfe any money. Call it an MOU, call it a strategic agreement, call it what you want. There is nothing binding. It simply has an understanding (hence the term MOU). Woulfe's management team its lawyers should also be aware of the definition of an MOU and how it differs from an agreement. Now in all fairness, WOF has previously used other wording to describe IMC such as "strategic arrangement", "strategic partnership", and in some cases "agreement". Nonetheless, I found the use of the language in the last press release to be very interesting and a significant divergence from the past. Maybe I read too much into the change of wording considering its source. Point taken.
Long story short, MOU versus agreement is somewhat of mute point at this stage. For the time it has taken me to clarify, it certainly wasn't worth the effort to make my original post. Until I actually see updated guidance from management, I don't know what is or isn't happening or when I will hear more.