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Somethings up. No reason for SP to bounce back up yesterday and today. Although low volume, some insider is buying and willing to pay higher. Anything this week Peta?
Gold will be the world's currency soon. I don't why Panama hasn't delinked its currency from the U.S. dollar as the dollar will be worthless in 5 to 10 years. Here's a good argument for gold:
Hummel: The Election and the Growing Economic Crisis
Published: Tuesday, 20 Nov 2012 | 3:56 PM ET Text Size
By: John Hummel
CIO of AIS Group
With the post-election frenzy beginning to subside, it’s time to take a step back and consider what the results will mean for the national and global financial landscape.
For months, both presidential candidates made the case that their economic policies would stimulate growth. Pundits across the political spectrum evaluated how the election would impact leadership at the Federal Reserve and its resulting policy changes.
Despite the billions of dollars spent and the hours of debate and analysis, the election results will have almost no long-term impact on the health of either the domestic or global economy. To understand why, one must first look at the trajectory of the United States’ role as a global economic player over the last three decades. In this time, the European Common Market, China, and the developing world in general have grown considerably, effectively ousting the U.S. from its role as the world’s chief economic superpower. In many ways, the U.S. mirrors Great Britain of 100 years ago as the latter gradually went into relative decline versus the rest of the world.
Meanwhile, skepticism about the dollar’s strength has grown. The U.S. may not have the largest debt relative to GDP of the world’s developed nations (that would be Japan), but it has earned the lofty distinction of having the largest debt held by foreigners. Having increased the probability that it will be unable to meet its debt obligations, skepticism over U.S. Treasury debt and the dollar will only continue to rise.
(Read More: Who Gets Hurt the Most If US Goes Off 'Fiscal Cliff')
As such, the election is primarily a symbolic measure of fiscal and monetary policy change. Washington will prove unable to curb declining confidence in the U.S. dollar over the long-term.
This puts domestic policy makers in a tough position. Caught between efforts to lower the current deficit without stifling economic growth, they must simultaneously navigate high unemployment and rising entitlement obligations. While politicians will attempt to put a very positive spin on any fiscal compromise, these twin issues will make any fiscal arrangements dependent on unrealistic economic growth assumptions.
(Read More: Obamacare, Host of Others Need Slashing: Simpson-Bowles)
The Fed’s response to these crises — in particular, multiple rounds of quantitative easing — has not shown concern for the long-term consequences of rising inflation, and even if Governor Romney were to have prevailed over President Obama, we do not expect those policies to have changed. The Fed will remain focused on shrinking unemployment and increasing stimulus in the short term while talking a positive game about its future ability to reign in excess monetary creation. With the expectation of continuing government deficits, the Federal Reserve may eventually find itself unable to raise rates and burden the government with larger interest payments.
For these reasons, we have made a practice of owning assets that the Fed cannot debase through excess creation. For instance, we currently have an 80% gold position in our Tactical Asset Allocation Program (TAAP) as we believe gold supplies are rising at a rate around 1.5 percent per year, far less than the increase in government debt and global currency reserves. While the world is unlikely to return to a gold standard, gold’s role as an alternative store of value is gradually returning both for private investors as well as for government reserves. Gold [GCCV1 1726.80 3.20 (+0.19%) ], along with other commodities like oil and grains, will continue to strengthen as the developing world’s middle class explodes, the dollar loses its dominance, other fiat currencies become debased and the Fed enacts policies that enable the growth of debt.
As it stands, the financial playing field is a tumultuous one, but neither an Obama nor a Romney administration would sufficiently address the fiscal and monetary needs of a stagnating developed world. The election has proven to be nothing more than a smoke screen obfuscating larger and more dangerous factors that the White House, the Fed, and other international banking and political systems have struggled to address.
If Inmet starts buying in significant quantities it will hold the SP up. And, it has to disclose its buying once it reaches 10 percent of the outstanding voting shares. Such a disclosure by Inmet would drive the SP higher IMO. I think we'll be fine in regards to Inmet. I'm curious as to why some people want a white knight to come in the picture. Another bidder will probably not give us true value. Like MJK, I believe we'll be over #3.00 per share in 2 years. Why sell for $1.00 now when it will be 3 times higher in the near future.
Only 102,000 shorted. That's nothing - .0046%. Not many people believe that we're going lower from here. Acanuck, can you figure out why BCSC ruled against us? Doesn't make any sense to me reading the regulations regarding Shareholder Rights Plans. We should have been ok as we are negotiating with other potential bidders. Reasons for the decision will be interesting.
Thank you canuck.
Geico, any updates available on shorts?
Thanks
Thanks MJK, Per the rules, Inmet cannot change the offer price within ten days of the cut-off date. If Inmet wants to up the offer now, they have to extend the cut-off date. I don't know if they have enough cash to significantly raise the offer price without going to their shareholders. I doubt they will have any shares tendered by next Tuesday and will probably just let the offer expire. They can then reevaluate by watching what happens to our SP, though if they do this, they run the risk of the PP going through. This really is a battle. We're going to win.
Page 23 of below document titled "Second Steps, Canada" covers what happens to shareholders who have not tender shares in the event the bidder is successful. This document is a good reference as to what happens during a HT.
http://www.torys.com/Publications/Documents/Publication%20PDFs/Takeover_Bids_Guide_2009.pdf
If another company buys us, and has connections with the Panamian Government, Inmet is still in desperate straits. I would think that someone like Carlos Slim could buy us outright and then smile at Inmet and say pay up or die. Inmet must be worried about a bidding war. If a bidding war does start, Inmet will be going to its shareholders ASAP.
It's important that we get a competing bid or have proof that we're in negotiations at a higher price. Shareholder rights plans only buy time for management to find another bidder at a higher price. If there is no bidder after two months have passed since Inmet's offer, that might cause the BCSC to rule in Inmet's favor. However, from our management's comments in the recent mailing, we are in negotations with a number of interested parties so that should settle the issue in our favor. Inmet is doing this to force our hand on who we're negotiating with and for how much. Remember, the shareholder rights plan will only be enforced as long as we're negotiating with someone at a higher price. Once all offers are in and there is no proof that another suitor is interested, the shareholder rights plan goes away and the highest offer price goes to the stock holders to approve or disapprove. So even if we lose Tuesdays hearing, we still have the right to tell Inmet to stick it. I don't see Inmet getting us anytime soon with all its problems and its low-ball offers. I don't know if the PP will put Inmet off (as posted here before)as Inmet will get the PP money if they buy us out in a reasonable amount of time after the PP goes through.
An article on a recent BCSC decision is shown below. The below ruling allowing the HT was based on stockholders pushing to accept the bid. In other words the bidder up his offer until enough shareholders wanted it.
May 2010
Appeals Court Rules Against Lions Gate on Poison Pill Plan
Lions Gate Entertainment on Friday lost an appeal to restore a shareholder rights plan that would have prevented a takeover bid from the billionaire investor Carl Icahn, The Associated Press reports.
The British Columbia Court of Appeal dismissed the case. It has jurisdiction over Lions Gate, the distributor of superhero movie ”Kick-Ass,” because it is based in Vancouver although it operates out of Santa Monica, Calif.
The decision will allow shareholders to sell their shares to Mr. Icahn, who has offered $7 apiece. Last week, he extended his offer until May 10.
Lions Gate has called the offer too low and has urged shareholders not to sell.
The shares rose 12 cents, or 1.8 percent, to $6.68 in after-hours trading after closing down 16 cents at $6.56 in the regular session Friday.
A transcript of the court’s oral ruling was not immediately available, The A.P. said. While it was unclear why the appeal failed, the British Columbia Securities Commission on Friday released a condensed version of its reasons for voiding the plan last week.
”Takeover bids should leave shareholders of a target company free to make their own decisions whether to accept or reject the bid,” the commission said in a release.
The commission has allowed other companies to use so-called poison pill plans to give them time to seek another potential buyer. But Lions Gate wasn’t seeking a competing bid for shareholders to consider, the commission said.
Mr. Icahn controls nearly 19 percent of Lions Gate’s shares. He said last week that 6.6 million shares, or about 5.6 percent of the outstanding shares, had been tendered so far.
Below is Lions Gate’s statement:
Lionsgate disagrees with the BCCA’s decision to decline to interfere with the BCSC’s cease trade order of Lionsgate’s Shareholder Rights Plan. Lionsgate believes that its shareholders’ right to vote and to determine for themselves whether the Shareholder Rights Plan is in their interests is paramount. Any decision on the Shareholder Rights Plan should have been withheld until the BCSC had an opportunity to review the results of Lionsgate shareholders’ vote on the Shareholder Rights Plan that will take place at the May 12, 2010 Special Meeting of Shareholders.
The Board continues to recommend that shareholders vote FOR the approval of the Shareholder Rights Plan at the Special Meeting of Shareholders that remains scheduled for May 12, 2010 at 10:00 a.m. ET, in order to protect their investment moving forward. The company continues to evaluate all of its alternatives with regard to the BCSC’s decision.
The Board emphasizes that if the Icahn Group acquires as little as 1.26% of Lionsgate shares, it can cause an event of default under Lionsgate’s credit facilities, which would be materially adverse to Lionsgate’s business. The Board recommends that shareholders reject the Icahn Group’s offer by not tendering their shares or withdrawing any shares previously tendered into the Icahn Group’s
The key here is that the government ruling is final and directs Inmet to negotiate with us for the rights to use our land or seek arbitration. Inmet has three options. Buy us out, pay what we want at negotiations or seek arbitration. I don't know what Inmet's drop dead date is for settling this. It appears that if they start operations in 2015 they will need our land for tailings within a year or two. Inmet does not appear to be in a hurry. If we ask too high a price for land use, Inmet will either go arbitration or go to it's shareholders for approval of a substantially higher buyout offer. My guess is they will pursue arbitration in hopes of getting a deal they can live with, and if that fails, then increasing the buyout offer starting at a $1 per share and working upwards until they get us or the buyout price exeeds the arbitration decision. I don't expect any resolution soon.
Peta and MJK, please set the record straight that Inmet is lying when it says it doesn't need our concessions. Just a few weeks ago the Panama courts issued a ruling in our favor and said it was final. What more do we need to know that Inmet can't dump on the San Juan concession without our approval? Was this court's decision just a joke that can be overturned by a bribe? I don't believe it for a minute. We've got Inmet over a barrel which we have publicly announced in our PRs. As to the bribe to ANAN, I would think that would be very dangerous if Inmet got caught because it is a serious crime punishable by jail time in Canada if you attempt to bribe a foreign official. I'm sure Inmet would lose its mining rights if caught. Also, I remember MJK saying that the lady that was the head of ANAN recently resigned as she was too close to Martinelli. I don't know who they appointed to replace her but I'm sure it wasn't somebody who would roll over and take a bribe. I sure hope its just a rumor but Peta has his sources and you can't ignore it.
No ones announced reaching the 10% threshold. While there's been a lot of volume, it takes a long time to reach 22 million shares. Doesn't mean some company isn't trying to get to 22 million before making a buyout offer but nothing yet. Peta, if we JV with Inmet can we help solve all their problems? I just tossed Inmet's mailing in the recycle bin. Ha Ha.
Welcome. If you don't mind, was it technical analysis that induced you to buy now or something else?
Great info MJK. You keep us all interested and excited. Good things ahead!!!
Many thanks, This hombre Slim is amazing. Is Slim teaming with a chinese company to finance all or part of our bond offering? I hope so, he'll probably get us a decent rate.
Below is taken from a great article about Carlos. If you're interested, the web address is posted at the end.
SLIM IN LATIN AMERICA
As in Mexico, Carlos Slim’s business expansion into Latin America was fueled by his telecommunications investments. América Móvil is now the biggest wireless provider in Latin America and also provides services such as wireless, fixed telephony, broadband and paid TV, comprising 284 million accounts. Its recent takeover of TELMEX made América Móvil the parent company of TELMEX, Telcel, Claro, Embratel, Net and Comcel, all of which provide services such as wireless, fixed telephony, broadband and cable. In the first quarter of 2011, América Móvil reported a wireless subscriber base of 65.7 million customers in Mexico, 53.4 million in Brazil, 30 million in Colombia, 18.5 million in both Argentina and the U.S., and 17.5 in Central America and the Caribbean.
Slim’s focus on Latin America has to do with what he believes to be the continent’s current path of development. In a recent interview with the Financial Times, Slim predicted that Latin America should break the barrier of underdevelopment within 10 to 15 years and begin to develop a large middle-class, a trend that calls for heavy investment in the present. IDEAL, Slim’s infrastructure development company, already is involved in a series of energy, transportation and trade projects throughout Latin America. For example, the company is responsible the construction of the Bajo de Mina and Baitún hydroelectric dams in the Chiriquí Viejo River in Panama. Grupo Carso’s Cilsa, a construction company, is involved in other Panamanian developments including the expansion of the Panama Canal.
In early 2011, Grupo Carso expanded its oil and gas investments by purchasing 70% of the shares of Geoprocesados SA’s Tabasco Oil Co in Colombia. Tabasco holds a license to explore and produce hydrocarbons in a 413-km2 oil block in Colombia, whose oil and gas sector accounted for 40% of the country’s foreign direct investment in 2010. Slim has recently acquired shares in the Spanish investment firm Criteria CaixaCorp and has joined their board of directors as the company attempts to expand its financial operations into Latin America. Criteria CaixaCorp owns 20% of the shares of Slim-controlled Grupo Financiero Inbursa as well as Spanish energy company Gas Natural Fenosa, where Slim has a 15% stake. Gas Natural Fenosa operates in 25 countries including Spain and most of Latin America.
http://www.ifg.org/pdf/Carlos_Slim_Chapter.pdf
Looks like Carlos is big in Panama
Nov 27, 2007
SUBJECT: SECOND PANAMA CANAL EXCAVATION CONTRACT GOES TO
CARLOS SLIM'S FIRM
Consorcio Cilsa Minera Maria, a unit of
Mexican billionaire Carlos Slim's Grupo Carsa, was the low
bidder on the second dry excavation contract for the new
Pacific lock access channels portion of the Panama Canal
expansion project. In what has become a trend, the sole
bidder was the highest bidder. Slim has increased his
investments and activities in Panama.
This is probably old news from the environmental gangsters but it mentions that Carlos Slim is financing hydroelectric dams and electric transmission lines which is all to the good.
? Tjër Di: What Price, Paradise?Celebrate the Rio Grande, Rio Bravo, Laredo’s RioFest, Rhythms on the Rio! ?
Central America’s Last Kingdom has a New King
Posted on September 5, 2011
Reinaldo Alexis Santana will become the youngest king ever to rule the Tjër Di Naso at his coronation this month; he is 30 years old. Adolfo Villagra, Edwin Sanchez, my son and I were invited to meet the new ruler this weekend, and promised to help engage international media in this fast moving story, in advance of his coronation on September 25th. For those finding this source for the first time, this story is the subject of the documentary film, Tjër Di: What Price Paradise? Filming is scheduled to begin in January.
Prior to last week’s election, the Naso throne had been disputed for seven years since King Tito Santana was exiled after permitting construction of a controversial hydro-electric project, against the wishes of a supermajority of his people. The present construction is only the first of three projects proposed by an international consortium which continues its exploitation of Naso resources despite the dispute, which includes an abuse case filed with the Inter-American Commission on Human Rights.
The Tjër Di Naso territory is near the border of Panama and Costa Rica, partially within International Park La Amistad, an UNESCO World Heritage Site. This kingdom contains 11 communities connected by rivers and trails. Travel is by boat or raft, which is how 1,697 Naso arrived to vote on August 28th. The rivers are essential to the Naso way of life. Additional dams, if built as proposed, could mean cultural genocide for the Naso, according to recent testimony on the situation. Decreased flows on the Rio Teribe would mean the main arterial for this culture would no longer be navigable. The Rio Teribe is the goddess whose name in Tjër Di translates to Grandmother Water, she who nurtures Mother Earth, providing for all life in the kingdom. Corporations attacking goddesses is only the beginning of the controversy.
Panama’s National Assembly had refused to recognize the elder leader who replaced Tito, King Valetin Santana, because he opposed the dam according to his people’s wishes. While Valentin is Tito’s uncle, he did not share his nephew’s willingness to host controversial hydro-electric dams in his people’s ancestral territory. The new king is Valetin’s nephew; he shared with us his support for conservation during our interview yesterday, but reserved a decision on the pending projects after further study and his coronation.
Panama already generates two thirds of its electricity from hydro-electric projects. This project intends to export electricity to Costa Rica for profit at the expense of some of Panama’s most pristine riparian ecosystems. ODESEN is the Organization for the Development of Sustainable Eco-tourism for the Naso. ODESEN leaders were the only ones to observe the clandestine moving of the park boundaries for La Amistad and were not consulted in environmental impact surveys preceding the Rio Bonjic project.
Mexico’s billionaire Carlos Slim is currently financing the construction of transmission lines from Panama through Central America to Mexico City, putting the region’s rivers at considerable risk with more than 50 new dam proposals pending in the highlands of Panama’s Talamanca Mountains alone. The fact that many of these projects are proposed within or adjacent to the La Amistad biosphere reserve is cause for alarm. Without its rivers, this rainforest and its amazing species diversity will be endangered, along with the way of life for indigenous river cultures such as the Naso and BriBri. Meanwhile, in the USA and EU, dams are being destroyed to save habitat and species.
King Tito authorized the first of three dams in La Amistad in 2005. The projects are proposed by an international consortium led by EPM, a development agency of Colombia’s Antioquia department and Medellin-based multi-utility, in order to generate electricity for export. Tito officially received only the pledge of infrastructure projects in exchange for a 50-year lease. Tito did not even negotiate a pledge of electricity from the hydro-electric project for his people, who live off the grid, although he ensured the demand for electricity for flat screens at new beach resorts planned for Costa Rica’s Caribbean coast will be supplied, at the expense of Panama’s rain forest.
As the $60 million Rio Bonjic dam nears completion, the Tjër Di Naso continue to resist development that will kill their rivers and end their way of life. Recent road blocks prevented dam workers access to the project, leading the national government to finally recognize the right of the Naso to depose King Tito, as they did in 2005. Valetin is quite elderly and has been unsuccessful in ending the conflict created by Tito and the prior administration. While everyone loves clean energy, rivers are even more essential to life, and the balance between development and conservation is often difficult to strike. Some Naso have pledged to prevent the connection of transmission lines between the project and the electrical grid established last year between La Fortuna and Costa Rica, if an acceptable resolution is not found.
In this democratic kingdom, elections allow people choices; however, all candidates are from the hereditary monarchy, the Santana family. In the recent Naso election, ballots listed three members of the ruling family. Reinaldo Alexis Santana won 130 votes more than our old friend, the second-place Maestro Ricardo Santana. The people of this democratic kingdom selected the candidate from the political party Cambio Democratico, which has historically resisted exploitation of natural resources in the province, rather than either of the other two candidates which belong to the same political party as the past two rulers.
As was the case in the election, international observers will be present at the coronation, as well as members of Panama’s government. Panama’s President Martinelli also belongs to Cambio Democratico. It was the Torrijos administgration which perpetrated this violation of the Naso’s ancestral territory and it is hoped that the new administration will help the new king find a peaceful and fair resolution. President Martinelli recently repealed a law passed by the National Assembly, thereby respecting indigenous rights in the case of the Ngöbe-Buglé’s resistance of open-pit mining in their territory, which 2011's Ley 8 would have enabled.
The first question in the hearts of community members is the same question on the minds of executives at EPM. How will the new king resolve this struggle? Nightly the Naso listen to the sound of dynamite exploding on their river, the Rio Bonjic, and struggle to explain to their children the age-old story whose worst villain has always been the one who poisons the well. Recent visitors to the kingdom’s eco-lodge encountered tractors working in the river, harvesting materials for the first roads and bridges in the reserve, development which the majority of Naso have publically and forcefully rejected.
The second issue facing the young Reinaldo Alexis involves something every other indigenous tribe in Panama enjoys. The Naso are the only tribe on the isthmus without a ‘Comarca’, a Spanish word for autonomous territory. Naso community leaders believe a Comarca is the minimum compensation they should receive for this intrusion into their territory, which autonomy will allow them to prevent any further exploitation of their ancestral lands, which autonomy will allow them to preserve the integrity of their sustainable ecology and halt the march of “consumer culture” into their kingdom which epitomizes “sustainable living”.
This weekend’s interview with the king began as tribal artist Victor Sanchez placed a large wooden sculpture of an elephant in the middle of the room, which was filled with Tjër Di speaking members including women and children of all ages. The issue nobody discussed that evening was, however, advocated by the custom-made shirt worn by the young king-in-waiting. It read, simple: “Tjër Di Naso Comarca”. Reinaldo Alexis, we wish you well in your people’s noble struggle. I am reminded of another young leader, Ghandi, who counseled, “A small body of determined spirits fired by an unquenchable faith in their mission can alter the course of history.” Like you, Alexis, Ghandi encountered the occasional elephant in the middle of the room.
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The Torrijos administration granted 27 concessions for new hydroelectric projects, including Paso Ancho, which was granted to the company Hydro Power and Jose Guillermo Lewis Navarro, who was the brother of Samuel Lewis Navarro, who was the First Vice President of Panama at the time. On about the same date the family Kupnik-Lacayo, related to Torrijos, received another free concession to build a hydroelectric project called Bajos del Totuma. Later the concession was sold to the entrepreneur Petter Stern.
Another concession that created a legal problem was the Bajo de Mina hydroelectric project, awarded to the company Ideal SA, of the Mexican billionaire Carlos Slim, after it was taken away in an administrative process from Cesar Lisac. In November 2010 the Supreme Court ordered that the concession rights should be returned to Lisac. Now the ASEP has resolved to request the "administrative rescue" of the hydroelectric project, and to indemnify Lisac. However, Slim remains in business with another hydroelectric project called Baitun, also granted during the Torrijos administration.
Crupo Carso, Telefonos de Mexico, worlds richest man? Is he buying Inmet too?
Sabfour, you're right that FN doesn't produce gold but just buys a future stream at a certain price. Also, Inmet is processing the ore through its plant in Panama producing a slurry mix of copper, gold, silver and molybdemun which is pumped to the coast and shipped to where ever for processing, which raises the question of "why do they need our plant?". It is thought that there are many areas in our and Inmet's concessions where there is significant gold and silver content but little copper content. Its more cost effective to process that ore through our plant rather than trying to haul it or pump it to the coast. I'm sure Inmet would take over operation of our plant if requested by FN. Might all be BS - we'll know soon.
You could be right Sabfour, Its just a rumor from a friend of a friend working at FN.
Jal, that's exactly what Inmet and FN are counting on. That when they offer $1.50 enough people will take a quick profit and run. Heck, they might get it for the $1.10 that Peta is talking about. Inmet and FN working together can play us like fish. That SP is incredibly cheap for SAVING ITS APPROVED EIS BY getting rights to put tailing on our concessions and an operating gold and silver plant WITH THE APPROVED EIS ALREADY IN PLACE. The EIS alone is probably worth $1.50 given Inmet's record in Spain. I'm sure Peta and MJK know a lot more than I do on what's going on.
More from source. FN wants our plant to process gold and silver stream from Inmet - 20 million and 200 million ounces of gold and silver. Also protects FN investment in Inmet by allowing Inmet to dump tailings on San Juan. Is back door way of Inmet gaining control. Inmet and FN renegotiating streaming deal much more favorable to FN.
I heard the rumor too and the source mentioned FNev.
That's the end of Inmets HT. We are negotiating for the PP just like was promised. Inmet said it would stop the HT if we did the PP. Eat caca Inmet.
Did we have to do this as part of PP?
BRIEF - Moody's assigns Petaquilla Minerals Caa1 corporate family rating
The above is all the PR says. The rating is not good. It means speculative in nature and very poor credit risk. Wonder who asked Moody's to provide the rating, us or Inmet.
You are a wealth of information. Thank you
Does this resignation have something to do with citing Inmet for doing certain work too soon as you indicate in this post I'm responding to. Sounds like this lady was on our side but I'm not sure if this is good or bad for us.
Search from Sept 27 to Sept 28. Lots of good stuff.
Just another shot across the bow of the good ship Inmet to remind them that if they keep on with this HT they could lose everything in Panama. The obstacles to Inmets take over attempt grow by the day. Let us count the ways. Loss of rights to dump tailings on our land. Poison pill in place. Threat of withdrawl of EIS approval. Formal evaluation of PTQs value by reputable financial company. Improving production numbers on our side. PP process about to start up. PDI spin-out could happen anytime. Updates on ODN drill results and other concessions on the way. And most important, this lastest clear signal that the government will not roll over for them. Yep, the good ship Inmet is headed for the shoals and only a fast big course correction can save them.
Peta, I see two concessions they need for the tailings - San Juan Zone 1 and La Esparansa Zone 2. What other concessions do they need access to and for what purpose.
How about this, we sell inmet the rights to dump its tailings on San Juan zone 1 for $1 a share which pays for all our planned expansion. Is there a potential of $221 million profit from the ore in San Juan Zone 1? Don't know until you drill but I'd take the risk of selling it to Inmet for $221 million. $221 million sounds reasonable to me given the size of Inmet's project and make us and the government happy. I don't think we can cut a deal for Inmet's gold and silver rights in exchange for any copper we find on our concessions as Inmet just cut a deal with Franco-Nevada for the gold and silver. I can't see anyway out of this for Inmet but to pay us cash or stock for dumping rights. Come on Inmet get serious
I agree that we are in control. The fact that the Government supported us when the Cobre Panama project will be a hundred times larger than we currently are is a shocker. It shows Inmet how much power we have. Inmet is in denial and its top management might have to be removed in order for cooler heads to come to power and cut a deal. I think that Inmet is trying to buy time with this silly buy-out offer to hold its financing and partners together while figuring the best way out of this. Inmet is thinking that the project is too important to Panama and the Government will back down at some point, but after the decision supporting us do they dare take that chance? If you're Inmet, do you keep going full speed ahead with the project expending money that might be wasted? Or do you stop work until you get a new EIS approved dumping the tailing in Petaquilla Zone 2? Inmets in a bad spot and I agree that the best way out for Inmet is to JV with us.
To find the Inmet feed study, just type in Inmet feed study March 31, 2010 or click on the web address below. I got the date wrong in the first post. I was also wrong on the saphorite being in our zone. Sorry for the mistakes. I tried to copy figure 1-1 but couldn't figure it out. The page you want is very close to the front of the study. The proposed tailings area is highlighted in yellow.
Here is the web address: http://www.inmetmining.com/Theme/Inmet/files/Section%200-Executive%20Summary_FinalFEED_31%20March.pdf
I once was lost but now I'm found, I was blind but now I see. I looked at Inmet's March 10, 2010 feed study. If you look on page ES-1-3, Figure 1-1 it clearly shows the about 80% of tailings facility (Ultimate) going all the way through the San Juan Zone 1 and into the La Esparanca Zone. The tailing facility takes up over half of the San Juan Zone 1. No wonder we don't want to give it up - they want almost the whole thing for there tailings. Figure 1-1 also shows an area in the southeastern corner of San Juan Zone 1 that Inmet plans to locate the Botija North Saprolite Stockpile. This is what the idiots submitted to Anan for the approved EIS. Incredibly stupid. German Investor, peta, mjk you are all genuises.
Thank you for posting, I think you're right
Mjk, I was not around when the posion pill plan was drawn up in 2006. Was it approved by the shareholders and did it allow permitted bids? If it did allow permitted bids, that would explain why Inmet hasn't acquired over 5% of the stock as anyone who acquired over 5% prior to the take over announcement would not be allowed to bid.