Woulfe Mining Corp WFEMF

explanations (six months later)

[74volfram]

Gastown writes: "Can someone explain what happened in January when Woulfe released the results of the final feasability after the markets closed on a Friday? Six months later here we are, still trading at six and a half cents with a new merger offer from Almonty valuing our shares at seven cents. ...."
We all have our own explanations as to what has happened since January.  Stockhouse allows back searching 100 pages (20 posts each, Janaury is on page 45), so the variety of opinion can still be fully sampled. 
-  In my view the 60% jump was big relief that after one year of guessing, the feasibility had been completed and looked like a competitive low cost mine plan. Obviously the Almonty merger proposal was already known to management.  After that the price drifted lower (again in my opinion) because:  1) the merger attempt was terminated without explanation; 2) Woulfe board was overhauled and two new financial people replaced the one director with technical expertise; 3) Woulfe did not release the January feasibility study to the public; 4) There were no reported construction activities in Korea, instead reports of local complaints surfaced.  A bridge loan from Dundee Resources kept the company afloat for a while.  Lately the SP started to move up because: 1) Report from german visitor to the mine indicated deals were still on and there were people at work; 2) Korean news finally reported local activity: county meetings, equipment purchases and preliminary EPC contracts; 3) A new attractive final feasibility was announced and actually released to the public; 4) Almonty injected 1M cash and took over management from Dundee.  Having said that, all movements at this stage are really on thin volumes ($ wise). which is true also for Almonty shares.
- Once again:  the merger proposal values Woulfe shares at 0.1 Almonty shares. No matter what the share price is at the time, the conversion ratio will be 0.103 AII per WOF share (or 0.103 ALMTF per WFEMF share).  After the merger the Woulfe shareholders will not receive money for their shares. their shares will be converted into new AII or ALMTF shares according to the 0.103 ratio. If the merger is accepted, Woulfe shareholders will become AImonty shareholders and own 40% of the combined (A+W) company. After the merger Woulfe shareholders will be free to sell their converted shares on the TSX-V at the going AII price, whatever it is at the time.  AII could be back to 60c as it was last month or up to 90c if the uptrend continues.