Re: KWG Resources turns to China for help in Ring of Fire
posted on
Jan 21, 2016 04:08PM
8 Billion US$ a year. For this you do not need just the railroad but the true resource as well. Railroad + deposit or resource = a huge reserve. It is a true prisoner' dilemma, if the Chinese invest they would increase Not' value hugely with just Baosteel capitilize on it as far as another Chinese entitty is concerned. Not is the real target, otherwise the rail does value not the ones who build the rail in essence. In such cases shareholders of the assets, ie NOT, are very well compensated for. No one needs to explain to the Chinese what is going to happen here, well over 2 Billion in my textbook. RCF does Not need to settle for anything less in view of the projected figures, without Not' assets the whole structure is not even a windowshop. Not' luck is that it can wait for the road, the profitable Nickelodeon extraction before the chromite in the ground the pricetag Cliffs' calculated for when it bought out Freewest. What's in the ground does Not walk away. The Chinese are already at the gate. No barbarians this time. The black horse may still be Mick D, X2 as none of the majors are willing to sell assets at this instance and market conditions.