AVZ Discussion 2022

[cruiser51]

In my opinion CATH are positioning for acquisition. Imo there's on going negotiations between avz and drc re. Mining licence and one of the questions that has come from drc is how on earth are you going to fund and build this? Avz responded by getting clarity on the partnership with CATH to show drc government the means.

However, I also believe that CATH fully intend to gain full control of as much of the project as they can. My rationale here is I don't see them needing avz at all in the picture. The only value we bring is the fact we own the project. The long term value to CATH by owning the additional % in the project even if it is the lower of the theorised %'s significantly outweighs the price that most shareholders would probably accept. If that is the case then the next thing I would ask is, is it possible in terms of capital for CATH and that answer is definitely yes. Tldr; that it makes no sense for avz to retain any % as this is against the desires for all parties involved.

Maybe read the agreement properly and compare with the previous agreement.

I don't think you did that.

 

[TheCount]

Took the words out of my of my mouth …. CATH process shit and we dig it up. They are not miners , they need us as much as we need them … of course we needed them much more 2 weeks ago
Curve ball ….. watch the Saudis get involved with finance and or a buy out ???

Just thinking out loud ….

Saudi anyone?

Watch the video.

 

[Ancient]

Zijin needs ownership because they only profit from SELLING the rocks.
CATH (IMO) doesn't care as much about ownership as long as they GET the rocks.

So as long as they know they have that secured, I dont think they really benefit from trying to buy AVZ out completely at this point.

The way the geopolitical landscape is heading it may even offer some advantages to them to be JV with an Aussie company rather than fully Chinese owned. And let's not forget Aussies are no slouches either when it comes to mining.

5-7 years down the line, when mine is producing (and maybe hydroxide plant), the macro climate has settled a bit, and CATH is nearing the end of their exclusive offtake period maybe they'll be more inclined to push to take the whole thing over, if they think its required to keep their required supply going.

The only other reason would be to stop AVZ selling to someone else. We know there are limitations on who CATH can sell to, nothing about AVZ tho. Also dont know it this partnership gives CATH ROFR. But if anyone else decided to make an offer for AVZ's share, CATH can still step in and match/beat it if and when it happens.

Thanks for the reply - you make good points.

Re. Zijin I think it's very possible they'll keep the north as part of some kind of compromise/negotiation (Which of course is completely fucked).

You and some others commented that CATH won't want to mine because they would rather focus on their core business. Good point. However, I also think they would consider an unknown mining company from Aus quite a high risk to go through the rest of the process if this project is indeed highly strategic for them. It also might not be and rather just be a supply diversification strategy or contingency.

Another good point re having a 'western' partner owning the mine as some countries/companies requirements around supply chains.

What do you mean limitations on who Cath can sell to sorry? I am a little confused on this.

@TheCount what would you like to know?

@cruiser51 sorry mate I didn't get what you were referring to? Ive read the announcements but maybe I misunderstood something

 

[cruiser51]

Thanks for the reply - you make good points.

Re. Zijin I think it's very possible they'll keep the north as part of some kind of compromise/negotiation (Which of course is completely fucked).

You and some others commented that CATH won't want to mine because they would rather focus on their core business. Good point. However, I also think they would consider an unknown mining company from Aus quite a high risk to go through the rest of the process if this project is indeed highly strategic for them. It also might not be and rather just be a supply diversification strategy or contingency.

Another good point re having a 'western' partner owning the mine as some countries/companies requirements around supply chains.

What do you mean limitations on who Cath can sell to sorry? I am a little confused on this.

@TheCount what would you like to know?

@cruiser51 sorry mate I didn't get what you were referring to? Ive read the announcements but maybe I misunderstood something

It is pretty simple.
Take both contracts and see the difference.

 

[Winenut]

If Zijin do end up in some way retaining the north through all this and we get the south with our good friends CATH who gets camp Colline?

 

[cruiser51]

If Zijin do end up in some way retaining the north through all this and we get the south with our good friends CATH who gets camp Colline?

Read my lips....

Fuck Zijin.
Howzat? Does it explain?

 

[Winenut]

Read my lips....

Fuck Zijin.
Howzat? Does it explain?

 

[tolate]

If Zijin do end up in some way retaining the north through all this and we get the south with our good friends CATH who gets camp Colline?

Yes sounds all good to me as a AVZ S H
Im not going to be GREEDY as some...!
Cath is in charge but has better conditions.
Cath being chinese might help AVZ to get a M L...?????
Now that would be awesome.....!

 

[Winenut]

Oh dear

I have an idiot on ignore and some shit still manages to come through

What's up with that???? @zeeb0t

 

[TheCount]

Thanks for the reply - you make good points.

Re. Zijin I think it's very possible they'll keep the north as part of some kind of compromise/negotiation (Which of course is completely fucked).

You and some others commented that CATH won't want to mine because they would rather focus on their core business. Good point. However, I also think they would consider an unknown mining company from Aus quite a high risk to go through the rest of the process if this project is indeed highly strategic for them. It also might not be and rather just be a supply diversification strategy or contingency.

Another good point re having a 'western' partner owning the mine as some countries/companies requirements around supply chains.

What do you mean limitations on who Cath can sell to sorry? I am a little confused on this.

@TheCount what would you like to know?

@cruiser51 sorry mate I didn't get what you were referring to? Ive read the announcements but maybe I misunderstood something

Welcome back Shane.

 

[Ancient]

Righto. I see how things are. After lurking for a long time I wanted to finally join a discussion and I get immediately met with hostility.

 

[cruiser51]

View attachment 76122

Eeeeewwwww
And I thought you were a streetwise shonky accountant.

 

[Roon]

Righto. I see how things are. After lurking for a long time I wanted to finally join a discussion and I get immediately met with hostility.

Don't worry about it, happens to everyone here at some point. Can't be questioning the party line!

 

[Panther22]

Thanks for the reply - you make good points.

Re. Zijin I think it's very possible they'll keep the north as part of some kind of compromise/negotiation (Which of course is completely fucked).

You and some others commented that CATH won't want to mine because they would rather focus on their core business. Good point. However, I also think they would consider an unknown mining company from Aus quite a high risk to go through the rest of the process if this project is indeed highly strategic for them. It also might not be and rather just be a supply diversification strategy or contingency.

Another good point re having a 'western' partner owning the mine as some countries/companies requirements around supply chains.

What do you mean limitations on who Cath can sell to sorry? I am a little confused on this.

@TheCount what would you like to know?

@cruiser51 sorry mate I didn't get what you were referring to? Ive read the announcements but maybe I misunderstood something

AVZ hardly an unknown miner to CATH. There was the 24% - $240 million arrangement between the two companies before Zijin and Comminere started their shit.

 

[cruiser51]

Righto. I see how things are. After lurking for a long time I wanted to finally join a discussion and I get immediately met with hostility.

Maybe better stick to lurking only.

If you wish to bait people, HC is the place to go.

 

[cruiser51]

Don't worry about it, happens to everyone here at some point. Can't be questioning the party line!

It is not about following the party line Roon, you are smarter than that.

It is all about asking leading questions and playing silly bugger.
It is called baiting.

If somebody comes through the revolving door with that mentality, he should not expect applause, better revolve the full 360 circle.

If it smells like a troll, walks like a troll and quacks like a troll, it highly likely is a troll.

 

[DiscoDanNZ]

Eeeeewwwww
And I thought you were a streetwise shonky accountant.

He's a dirty booker

 

[Winenut]

Eeeeewwwww
And I thought you were a streetwise shonky accountant.

Says the man who's first response was "Eeeeewwwww"

 

[Xerof]

Hey Wino, one of your boxes adds up to 101. Thought I'd mention it before someone else works it out

 

[Winenut]

Its not even Friday yet and it feels like the good ol' days.....