KL designs on OsiskoFollowing yesterdays OSK 11% SP increase, there has been a 6% increase in the fist hour of today's trade.
KL clearly has long term aspirations regarding its Urban Barry mining interests.
There is a possibility that control of OSK may be a move which KL seeks, before the end of December 2018.
The rationale is that:-
- This could simultaneously include the smaller, but potentially hi-grade gold rich Bonterra.
- KL has already organic resource growth prospect in its CA and AU mines and if this were to be combined with the Barry camp resources, then KL would offer both hi grade production revenue and 10/15 years resources.
The combination of the above would close the gap between reserves at AEM, compared to KL. This may then enable the market to re-rate KL's SP to be on par with AEM ...... this could lead to a near doubling of KL's SP.
As with the merger with Newmarket, this may depress KL's SP in the short term, but this would more than be compensated by a powerful surge in Q1/2 2019.