RE:RE:RE:RE:Initial takes on updated PEAMhead, I guarantee you the "market" will not be at the negotiating table when the I's are dotted and the Ts are crossed.
Does the market price determine what I have to pay when I buy silver coins? Nope! I have to pay a premium. Good luck arguing with a seller about what the price should be based upon a market that is prone to fear/greed/manipulation.
We all know that the PEA has been presented in a very conservative fashion. They lowballed the metals prices and jacked the discount rate up and guess what, it cut the NPV in half. There is already a 50% discount right off the bat. How much lower do you think you RIO can squeeze?
So, the dance will ensue at some point in the not too distant future. Neither party in isolation determines the price. That is the very essence of negotiation. I highly doubt that RIO would have much wiggle room to lowball when the NPV has already been lowballed to begin with.
To give you an analogy, you can't walk into the dealership expecting to knock off $8,000 because "nobody pays sticker price" if the price being offered is dealer invoice.
There are two (key in my mind) variables that have to be ironed out: Which of the NPV profiles will the parties choose to accept as the agreed upon value of Casino and then which discount to NPV will be acceptable to both.
Sorry MHead, you can't have it both ways - you can't have a lowball NPV combined with a lowball discount to NPV and expect the company owners (i. e. me and the other shareholders) to sign off on that. You think everybody from me to Dale were born yesterday. Sorry brother, we were not.
I can no more guarantee $20 a share than you can guarantee $3 a share. BUT, at the end of the day, we're going to be much closer to my figure than yours. You still fail to grasp the dearth of large, quality projects in safe jurisdictions with exceptionally long mine life. You can quantify the NPV figures, but how much value do you assign location and size? Is a dollar in the New World really worth a dollar in a third world location for example. Or, maybe I'm wrong, maybe there are hundreds of other projects out there that can check all the same boxes that Casino does. Can't find many of those though, maybe they're on Mars??
Besides, there are others who have their eye on Casino. If RIO drops the ball, trust me, there will be others who will pony up to the table. Remember, WRN doesn't have a pipeline that has to be continually replenished. The majors do, and they would be remiss not to shore up their pipeline while the price of gold is still under $2k. But, as I suspect every time I dialogue with you, that you already know this and you just enjoy the verbal sparring.
PS keep bashing away, any price drops will allow me to grab some more shares at a lower price.