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RESERVOIR MINERALS INC V.RMC

"Reservoir Minerals Inc is engaged in the acquisition, exploration and development of mineral properties in Serbia, Cameroon, Gabon, Macedonia and Romania."


TSXV:RMC - Post by User

Comment by psj567on Feb 22, 2014 12:53pm
216 Views
Post# 22238287

RE:RE:RE:RE:RE:New All Time High!!

RE:RE:RE:RE:RE:New All Time High!!There is no real benefit to a US listing for RMC. US investors can readily purchase it now. A US listing would just be an additonal overhead cost and another layer of regulatory compliance.

I am not "sure" about anything but my best guess is that in light of Simon's previously publicized Asian trip in January where according to the newswires he met with Jing Bao Ltd., I would suspect Jing Bao Ltd. is at least one of the non-brokered investors. This would make perfect sense since it would give Jing Bao a not insignificant equity position in RMC from which it can build a more significant ownership position by accumulating stock on the open market. Likely of more importance to Jing Bao is that the relationship with RMC gives it a toehold to structure a future off-take agreement (which is Jing Bao's business model). Equally significant to RMC, it provides the opportunity, if necessary or desirable, to structure an off-take deal with Jing Bao as the most attractive way of raising money to fund its 45% of the JV should Freeport try to squeeze RMC before delivery of a BFS, or to fund its 25% post-delivery BFS interest.  I can reasonably envision a scenario whereby Jing Bao eventually purchases RMC's interest just in the Cukaru Peki deposit because it wants the 25% life-of-mine interest for the next 30-50 years.
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