Re: M&A in industry- Cardinal Resources
in response to
by
posted on
Jun 18, 2020 12:27PM
CUU own 25% Schaft Creek: proven/probable min. reserves/940.8m tonnes = 0.27% copper, 0.19 g/t gold, 0.018% moly and 1.72 g/t silver containing: 5.6b lbs copper, 5.8m ounces gold, 363.5m lbs moly and 51.7m ounces silver; (Recoverable CuEq 0.46%)
"IMO say it's 3-4 billion for a large low cost advanced multi-metal project in Canada with huge exploration potential.
25% interest gets us around 750million to 1billion"
Thats if we can get 100% of fair value NAV.
EE and ES will try to get as close to 100% of that value but might have to meet Teck in the middle.
could be as low as 50% of true value or 75% or 85%.
Using the middle of those numbers assuming 850M (100% nav):
We could see 425 million sale at 50% nav (not likely their plan as company wants close to full nav)
We could see 550 million at 65% nav (possible)
We could see 630 million at 75% nav (more likely)
We could see 720 million at 85% nav (better)
And if EE really wants full value after his 15 year wait...we get 100% nav for best buyout price.
This is where the discussions will take the longest to figure out and agree to. Deciding what % of nav for 25% interest we deserve in a sale agreement. All this assumes total value of 3-4 billion of SC.