First Uranium Corporation T.FIU

AngloGold's future...

[colt451]

I was also flipping through AngloGold's current financial situation and these guys are in trouble...their share price has dropped just over 27% in the last year, and they are struggling to develop new mines, I would hazard a guess that MWS is an asset that they need to send a message to shareholders that the company can continue to move foward, because looking at their last few NR's, the company is positioned to shrink. When the asset sale gets voted down AngloGold will be looking at either providing a higher offer, having their 20% diluted, followed by the possibility of bankruptcy where they would have to pay substantially more for MWS anyways. Given their share price depreciation, being diluted will be another hit to AngloGold's share price and will only cause investors to be less likely to invest in AngloGold. From a macro-view acquiring MWS may be a lot bigger for AngloGold than simply gaining a great asset, they really need to show their shareholders they are capable of recovering. In my opinion I think that there is no way AngloGold allows dilution, asset sale voted down followed by a higher offer. At the end of the day MWS would still be a great deal for AngloGold, even if they had to pay twice as much, they tried low-balling, they will be rejected by shareholders, and I think we will receive a higher bid soon after.

Here's an example of the type of trouble AngloGold's facing...though their chart says it all

https://www.mineweb.com/mineweb/view/mineweb/en/page34?oid=150457&sn=Detail&pid=67

[colt451]

Just by the numbers, AngloGold's global gold production is roughly 98,000 ounces/quarter currently, MWS is around 99,000/year or 25,000/quarter. Meaning that AngloGold would increase their gold production by minimum 25% by acquiring MWS in the long term. Now, as of right now AngloGold's production is down quarter over quarter, what looks better, 'we lost an asset bid, our 20% stake was

[uranicynic]

I note that their gold cost is $762/ounce, a lot higher than MWS. They've got a lot of status tied up in getting MWS below market value. They should know better than to try and steal an asset on the cheap from their fellow shareholders.

[Hmmmmmmm]

Uran...in addition Anglo not only wants the gold production from MWS but they also want the asset so they can process their own tailings. Deon, at the AGM stated a leasing arrangement for the equipment was to take place within 3 to 6 months. Do you remember him saying that over the speaker phone?

[uranicynic]

Yes Hmmmmmmm I remember hearing about all the various ways management was going to wring profits from these assets. I note that they cancelled any profit making ventures when they decided to sell the company assets without informing the shareholders. MWS currently has 3 tailings plants and Anglo has floated the idea that they might add a fourth once the sale goes through. As a major