RE:RE:Well, will the beaten dog sell off on this news?
I firmly believe at the end of the day there is no minority ownership at OT, it's a 2/3 Rio and 1/3 Mongolia venture It's only a question of what price and a little delicate issue about how to fold in ETG.
What has been interesting in the past few months is Rio being more conciliatory at no small expense. There are a lot of mysteries around OT ... one of which is, what else is there in the whole of the land package - TRQ, the JV ground and ETG's 100% ground that is half-committed to be JV'd on the same terms. TRQ has always been careful to disclose they have additional priority exploration targets. ETG has sat as a separate entity not included in the IA, although the terms contemplate OTLLC swallowing up ETG's ground and being covered by the IA.
The bar is set pretty high to push any new reserves into the production schedule and add value, or to motivate a further concentrator expansion. One thing that might tie together a lot would be a shallow higher grade ore target with superior potential net smelter returns - an asset that might have been poison to public approval in Mongolia if Rio's expertise and financial muscle was not required to exploit it. But, if there is such a thing as a firm agreement in Mongolia, it might just make everybody happy if "found" at the right time. Yeah, I'm dreaming.
No worries the valuations have great upside and leverage to copper and gold anyway.
cg