Re: NOT/PRB JV?
in response to
by
posted on
Oct 31, 2007 04:24PM
Some good points made regarding JV possibilities. Not terribly sure that all the players could be brought to the table to deal however.
Pretty hard to put a value on property based on just aerial mag survey which is of course the first step and will be on the table in late November or early December. I'd think all the stakeholders would wish to retain a certain percentage and at very least a Net Smelter Royalty just in case a biggy lies on their claim.
Not sure how it would all fly since drilling all those properties is going to cost a bundle and everyone will want theirs tested first. It's likely only a major player could fund it.
On the other hand if everyone agrees to deal together it prevents said major from picking up one or two and shutting out others. This area is going to be very expensive to develope and only one major player will eventually control it. Anyone who doesn't join in could be left to starve even if they find a good mineralized body since it would be worth nothing to other big mining company.
I'm sure all the area players know each other but someone will have to weild the whip to get co-operation between them.