Regenx Tech Corp (RGXTF)

[teq0904]

If a miner or oil company leases your land for a royalty you still own the mineral rights, but that does you no good if you think you can sell it from under the lessee's nose after he drills to make a profitable operation. The lease is forever as long as the covenants are maintained so ETI has 80% of it all.

If JBL buys out one they will also try to take the other at the same time. They don't want to deal with one or the other of these dung beetle's forever when they can get both and own the space. For one thing I have never been able to get a straight answer from the beetles whether they are required to pay their share of capital costs on each new plant. If so, it is a pain for JBL to serve notice to those db and provide a feasibility study for each plant then wait the month for the db to review it then start sending cash for their share of the bills. Admin hurts bottom lines unless the gross margin is overwhelming.

It will be a double deal, assuming both parties agree with the valuation which isn't always the case.