RE:Santander SaleLuvtoInvest wrote: It is now clear what TV management meant when they tweeted on 20th October "Trevali is looking to capitalize on this upward trend. Watch this space for more to come!".
They were hinting that rising zinc prices have given them an opportunitiy to off-load the Santander mine. ...
Difficult for someone to explain that it is a good deal. they sell assets at almost zero price.
We have to look at the context.
TV sells the mine with the highest cost, the lowest grade, the lowest production. and focuses on the expansion of RP2.0 (especially for the financial issue).
They are giving away important assets, but they are also giving away important liabilities (including debt).
TV could hardly find a buyer (I would like the caribou mine to be sold as well, or to give it away); CDPR has assets in Peru, and one very close to the Santander plant (let them take advantage of it).
The African mines are very good (P with good grade -Zn = 12%-, and RP with medium grade but with good magnitude.)