Post by
nozzpack on Oct 26, 2024 2:42am
ODY will be Acquired by WestGold
ODY has a market cap of $17 m.
WestGold has a market cap of $3,1 billion.
WestGold has $236 million in cash.
WestGold production declined by 15% in F24.
Doubling the current price in a buyout of ODY would cost them just $34 million.
They have drilling teams and mining teams to accelerate the exploration and development of Tuckanara .
They will have to negotiate with MMY as Monument has a Joint arrangement with ODY that restricts outside control.
How would Dato respond ?
A total develooment package including our Murchison assets seems the likely outcome, as MMY will be freely carried as part of a significant streaming deal with WestGold plus WestGold shares.
Everybody wins including us, as our share price would easily double and Mmy could reopen the Selinsing mill to process Peranghi gold.
It will happen.
Only the timing is in doubt..
Comment by
nozzpack on Oct 28, 2024 12:34am
Current mill size is very limiting. The quickest route to production is via WestGold as it has spare milling capacity as well. Negotiate an equitable JV accelerates our capital return. Waiting time carries its own risk....