GREY:ALXDF - Post by User
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NextPhaseon Feb 13, 2018 10:09pm
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Post# 27555044
RE:EO has some big cahoones
RE:EO has some big cahoonesI still think a deal with Probe Metals is most likely. It would likely get the blessing from both Sprott and Agnico Eagle, and they are the two biggest shareholders.
It benefits Mr. Sprott for the following reasons:
- He potentially found an economical way, especially with his warrants, to get a nice chunk of Probe. He would have a huge margin of safety from buying cheaper AZX shares, which is nice to have with risky explorers.
- The new combined explorer would be in one of the strongest positions before the next mining boom starts.
- So few companies are finding large deposits economically, and these resources would offer this potential.
It benefits Agnico Eagle for the following reasons:
- Agnico would also get a nice investment into Probe Metals.
- It prevents Alexandria Minerals from being taken over by a competing company.
- Agnico has more influence on the Probe Metals BoD compared to Alexandria Minerals.
- Agnico will have more control over a consolidated land package in a strategic mining district for them.
Of course, this is still speculation, but it should be interesting when we find out more details.
NP