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Turquoise Hill Resources Ltd. T.TRQ

Turquoise Hill Resources Ltd is a global mining company that primarily mines copper, gold, and coal in the Asia-Pacific region. The company holds a 66% interest in Oyu Tolgoi, one of the world's largest copper-gold-silver mines, which ships concentrate to customers in China. Oyu Tolgoi is located in the South Gobi region of Mongolia, approximately 550 km south of the capital, Ulaanbaatar, and 80 km north of the Mongolia-China border. The company also holds interests in companies that mine...


TSX:TRQ - Post by User

Comment by Rock9011on Apr 01, 2022 10:52pm
239 Views
Post# 34569430

RE:Pentwater and SailingStone

RE:Pentwater and SailingStone

I think Rio already has 51% of trq.  They won't get much more at $34 so will likely raise their offer to somewhere in the mid 40s.  To get Etg as well, they will have to offer something more than $2? as Sandstorm already has more than 25% of the shares. Sandstorm has recently bought a lot more shares in the $1 range. 

Looking at Etg's reserves report, even at $2.50 a share, Rio will be getting Etg at a wholesale price. Rio says on their website this will be the 3rd largest copper/goldmine on the planet. I'm guessing if Rio doesn't offer a decent price for Etg, Sandstorm will.  ETG will be a cash generator and they also have a large tract of ground next door that could be very lucrative. There's lots of surface gold showings there that have not been drilled. At $1900 an ounce the potential is good compared to the $350 or so when they first started exploration on the property. 

Rio can write a check out of petty cash to buy out Etg at $2.50. They will then have the entire property and will likely mine it for the next 100 years. 

My thoughts are Etg is currently the better buy here for the small investor. 

Just my opinion is all. 

Rock

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