Re: Response from Gary Monaghan
in response to
by
posted on
Nov 14, 2011 01:15PM
Dear shareholders,
The following response was provided by Gary Monaghan:
Yes we do have flow through commitments for 2011 - which we will fulfill, but the relevance of the decision to divest of the ROF properties is several fold and includes:
1) Market Conditions - the ability to continue to raise sufficient amounts of capital and continuous dilution of shareholders at record low prices.
2) Focus - We have 73% of our assets in Mexico - many of which have not been realized to full potential because of the diversion of capital and management attention to the very cash intensive 27% asset - at McFaulds Lake.
3) Realization of Resource - The ability to exploit the resource at McFaulds Lake is going to require a major company to be in control. A company such as Cliffs Natural Resources - certainly has the ability and expertise to best realize the potential at McFaulds Lake.
4) Shareholders - We believe the decision is in the best interest of our shareholders.
5) Financially Responsible- We believe this decision to be in the best interest of the company to be financially stable going forward with ability to maximize our majority assets in Mexico.
Regards,
AGORACOM