Sarissa Resources Inc (SRSR)

[webpence]

As of last week, there were quite a few people posting here about wishing they could have gotten shares at lower levels. I think Friday probably flushed out those that bought in anticipation that the news would be the big one we have been waiting for. Once that dust settles, I'm thinking you see some people that wished they could get in do so and free up some funds.

The story here hasn't changed. The deal is still on and progressing with a study to provide bankable feasibility that appears to have already begun and with a dilution clause that says at worst we will end up with a 20% carried interest. Doesn't mean it will. Recall, many people here were saying well if we gave up ~50% to get $20 million, then how much more will we have to give up to get the money for the capex to go into production. Well, your answer is that at worst it will be another 29%. That's a clause to protect shareholders here, but I think you could still see us keeping 49% with a bfs and proven reserves. If the SOE in this JV is an end user and that end user likes the result of the bfs, wouldn't they want to sign an offtake to buy a majority of the production for the next 20-40 years? With an offtake, they could get bank financing, and we'd still have a 49% stake.

Anyway, the extension of the exclusivity period was specifically stated to have been due to "delays in obtaining travel permits for certain key people from the SOE to complete the planned activities"

Please reread this section...
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As well, the LOI made provision for the SOE to pay a fee to Nio-Star to have an exclusivity period to complete due diligence and the JV Agreement. This exclusivity period was until October 31, 2012. There were delays in obtaining travel permits for certain key people from the SOE to complete the planned activities and in order to compensate for this time delay the Parties have mutually agreed to extend the exclusivity period until February 28, 2013.

In order to advance the project during this exclusive period, Nio-Star and the SOE have worked together to collect approximately 900 kgs of rock samples from the adit area of the project’s D Zone. These are being shipped to China for metallurgical and process testing. Full results from this testing program are expected to be completed over approximately 3 months. These tests may be used toward the Study, and are likely to speed up the process.

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Reassembling...

"the Parties have mutually agreed to extend the exclusivity period"... due to "delays in obtaining travel permits for certain key people from the SOE to complete the planned activities"...

Per Merle in an exchange with 1chronicles410 http://investorshub.advfn.com/boards/read_msg.aspx?message_id=80928771

"The delays in getting the key SOE people to Canada... has that been resolved, and have they now been to the site(s)?

Yes they have been and gone."

So again, the reason cited for the extension of the exclusivity period was being able to get the key SOE people Canada. Per Merle, that issue is now resolved and those "key people" have been able to visit the site and have gone.