RE:RE:TimeDoumDiDoum wrote:
Sure, we can play it the "shark way" by letting time running. But Kevin suggested several times that they do not want to play it the aggressive way. I agree with him. Waiting a couple of months could weaken MAE's position in a deal with SGNL, but waiting too much might also make that deal more diifficult for SGNL in the current market conditions: financing the developement of Goldboro will be tough if the markets do not get better for gold miners.
Having Hammerdown ore processed at P-R could help in getting a better financing package and having 100K of dor bars a year will certainly help in financing Goldboro. Waiting too long might allow some other players looking to consolidate projects in Newfoundland and offer more for MAE and pay ca$h. IMO, It's better to sit as "friends", objectively assessing the values of both companies and talk about how to build a new entity that could be the "consolidator" in the area instead of being eaten up by biggest sharks IMO.
If I would choose to let time pass, it is not because I want to act like a shark, it's simply because I think it would end up a waste of time and energy just like in 2018. The whole process leading to a decisive (and highly improbable) positive vote by the shareholders of both companies would take many months. During that time of uncertainty, SGNL couldn't properly advance the financing of the mine build. Unless Kevin has doubts about the possibility of putting together a financing that isn't too dilutive, I don't see why he would want to lose some precious months on an improbable merger.
On the other hand, maybe it would be better to wait before we commit with our financing, because we don't want to rush in a terribly dilutive financing like Marathon just did. Hopefully, Argyle can give us enough liquidities to wait out until the middle of 2023 to close our financing. We would obviously be in better shape if gold can finally move north of 2000$.