BUYOUT decision in June...soon... very soon! WOW! Very good video from GENM. ( https://www.youtube.com/watch?v=mCuOaYxY4HQ )
I listened to it again to see if I missed anything but basically Kerry Knoll and Jamie Levy say this:
1- GENM's Marathon project is the only project in the world that is as advanced as GENM. The others are way behind. GENM is 6-7 years ahead of the other projects. GENM is the only mine that can come into production in less than 18 months.
2- The demand for PALLADIUM is increasing while the production of the world's mines is decreasing.
3- The Marathon project will be only the 2nd PALLADIUM mine in Canada after Lac des Iles (ONTARIO, Canada). And the Canadian and American governments don't want to be dependent on China for rare metals anymore, so the mine will almost certainly be built.
4- The IRR of the Marathon project (GENM) is about 38% or 59% depending on the current prices and only 10-15% of the mines in the world have an IRR as good. Even Osisko (Malartic) did not have as good an IRR as GENM.
5- If we compare GENM's Marathon project (palladium-copper, silver, gold) to a gold mine, it represents the equivalent of 299 GOLD EQ (see video at 20:18 min)
6- According to Jamie Levy, GENM is undervalued compared to another palladium project in development (Waterberg, Cote project). He says that Waterberg is 3X the capitalization of GENM for a project that is not as good as Marathon if I understand correctly. (see at 18:50 min and 19:28 min)
7- If Stillwater exercises its option to get 51% of the shares, it will have to pay $206M while GENM's capitalization is only $154M. So, for less money, Stillwater can have 100% of the Marathon project (GENM) by making a BUYOUT of GENM. (This is likely to happen?)( see at 9:50 min and 33:30 min)
8- Stillwater has told GENM that they will NOT wait until July 21, 2021 to give their decision on the buyout option. It should be in June according to Kerry Knoll. So, SOON....
Either way GENM is going to be a winner regardless of the Stillwater-Sibanye choice.
1- Buyout = very good for GENM shareholders in the short term
2- If Stillwater-Sibanye exercises their option to buy out 51% of GENM = excellent choice that guarantees the financing of the mine and gives a high value in the short and long term.
3- If Sibanye doesn't want anything to do with the project and sells its shares = GENM keeps 81% of the project and we will find another partner soon enough.