FLX - Felix Resources

[noirua]

There are statements in the press today that says that Felix Resources shareholders approved the bid for their company either earlier in the year or August. THESE REPORTS ARE UNTRUE: Felix Resources shareholders will in fact vote on the off market takeover bid of Felix Resources by Yanzhou Coals' subsidiary Austar Coal Mine on Tuesday 8th December 2009.

 

[Quillan]

There are statements in the press today that says that Felix Resources shareholders approved the bid for their company either earlier in the year or August. THESE REPORTS ARE UNTRUE: Felix Resources shareholders will in fact vote on the off market takeover bid of Felix Resources by Yanzhou Coals' subsidiary Austar Coal Mine on Tuesday 8th December 2009.

How about demanding from those Papers for a rebuttal and apology to be printed before 10 am tomorrow?

Was this false information planted by a pro Yanzhou faction?The Press responsible must reveal their sources for such glaring and misleading statements.

THESE REPORTS ARE ENOUGH TO ENSURE SOME SHAREHOLDERS THINK THE DEAL IS DONE AND THAT THERE IS NO POINT IN ATTENDING THE MEETING TOMORROW TO VOTE AGAINST.

SURELY SUCH REPORTS ARE SUFFICIENT TO MAKE THE VOTE TOMORROW UNCONSTITUTIONAL, UNTIL SUFFICIENT PUBLICITY IS GIVEN TO THE FACT THAT THESE WERE LIES WHICH WERE BOUND TO MISLEAD SOME VOTERS ?

If Flannnery claims the various undeclared assets were "inadvertently" not declared to Deloitte when they made their Report, and that they made no "material difference" to assessing the bid value, I suggest a move to ask the Courts to assign these assets free of charge to our South Australian shareholding.

If Yanzhou resist such a move, it will prove they think they are of material value.What was Flannery and his Board collectively doing "forgetting" we owned these assets? Isn't this negligence of the highest order?

If you were selling a $3bn Property Company and forgot to mention a building worth say $5million, you would never get away with saying the $5m building made no material difference to the shareholders of the Company being sold.
If it makes "no material difference" we will keep these assets, thank you very much.

These points MUST BE RAISED AT THE MEETING TOMORROW, BEFORE THE VOTE IS TAKEN.

It seems that Flannery et al refuse to put any value on Way Linggo interests or the iron ore royalties in SA.

Doesn't the ASX have a duty to act on this?

 

[noirua]

Hi Quillan and everyone, An increasing number of organisations take the route of ignoring emails and letters, and carrying on regardless.

If the emails and letters are run-of-the-mill then they gladly reply or if they view them as harmless then you also get a letter or email back.
Ask questions about matters where they failed to act in FULL and honest truth, a look of shock horror, and then ignore it and hope it goes away.

I remember reading about a case recently where investors went to court because the asset value of the company was underestimated. They won their case.

At the meeting tomorrow we need some of the White Mining former shareholders to rebel and vote against.

Deloitte's failure to add the value of assets and royalties to the estimate of Felix Resources value, knowing, as Deloitte say in their letter, that they were unaware of them at the time of their valuation of Felix Resources raises a question mark over Deloitte's decision not to do so.
However, Deloitte do appear to say they are going by statements of little value by Felix Resources and taking their statements as correct. At the same time Deloitte appear to say it was a conscious decision by Felix Resources to leave them out.

I did have an email from a person helping the legal representation of PT Krakatau Steel's legal case against Felix Resources. That person seemed concerned and interested at the failure by Felix Resources to mention S.A.S.E. and pending legal action.

Still, I'm just one small shareholder of little consequence as the large shareholders appear to be about to vote THE SCHEME through tomorrow and everything I've said and written, certain to be ignored.

I suppose the Australian Government, through FIRB, have taken the view that the individual must suffer for the greater Australian dream. That does seem to come from China though, perhaps our supreme leader got it from there in his long stay patching up his Mandarin.

ANYWAY, WHAT THE HELL CAN THE SMALL GUY DO IF THE GIANTS JUST WONT HELP?

 

[noirua]

I have had another reply from Deloitte, I must say they are efficient and on the ball, most others aren't.
I basically put to them again the iron ore and gold royalty situation and they put it back to Felix Resources. Again they do not feel it necessary to revise their valuation of Felix Resources.

Best I suppose to wait for the end of the Scheme meeting tomorrow - no point getting annoyed.

 

[noirua]

That looks to be it, "It's over let it go". Thanks to the posters on FLX over the years, good luck and goodbye to this thread.

 

[awg]

That looks to be it, "It's over let it go". Thanks to the posters on FLX over the years, good luck and goodbye to this thread.

thanks for sharing your quality research,

maybe you can keep us similarly updated on the research of your proceeds target

wish I'd got on FLX earlier, still, if my trade work out exactly as planned, cant complain

 

[tomb]

Many Thanks to all the posters, and especially Noira, who I have been following for the last couple of years.
I have been a shareholder since the meekathara days and I suppose I should feel happy with this result put in the context of the ups and downs of the last 15-20 years and the recent global upheavals.
It is however for me a dissappointing end to a company that showed so much promise so many times and was looking like it might finally deliver.

 

[Quillan]

Yes, Goodbye everybody, and especailly to Noirua who has done far more than anyone to keep us informed and to try wherever possible to represent the interests of us all.
Hello and goodbye to Tomb, another old stalwart from long ago. We Meekatharra oldies have really been through the mill !!!
I remember when the Meeka price got down to the equivalent of about AUD1 or less.
I remember lunches with Don O'Callaghan in London, and attending Committee Meetings at the House of Commons to try to influence the decision for the go ahead for a Ballymoney Power Station.
Life will be strange not to check the share price first thing in the European morning.
No more blogs, or letters to the Board. Life on a Malta beach calls !!
It's been fun. OK, we didn't get all that we had hoped for, but I really hope my OZ friends will not allow China to devour your country.
I will never trust them. They are ruthless.
Very best wishes to you all.
John. aka Quillan !!
Logging out.

 

[gfresh]

Well that's it I guess.. the only thing I can take comfort in was I was 1 of the 101 shareholders that voted against.

Yup, much thanks to Noirua for keeping us all informed.

 

[noirua]

I've had a rethink and will continue to post on this thread to cover South Australian Coal (SAC). This is still a private unquoted company divested by Felix Resources and all the shareholders are the same as the now former Felix Resources. SAC should have a market quote in the first half of 2010.

This will also allow coverage of a future court case by PT Krakatau Steel against Felix Resources, concerning the S.A.S.E. former subsidiary. Depending on the outcome, former Felix Resources shareholders may be in a position to claim that the bid by Yanzhou Coal forgot these assets, and that royalties for up to 800 million tonnes of iron ore were not at negligible value (referring to emails by Deloitte concerning deliberations made in December 2009), but were in fact substantial. [the value of these royalties are up to A$800 million, (A$500 million at Western Plains Resources' estimates in 2009) however, the time and risk factors need to be included]

The royalties on the Way Linggo, Sumatre Gold Mine are at around A$4.7 million but further exploration by Kingrose Mining continues.

 

[noirua]

I've had a rethink and will continue to post on this thread to cover South Australian Coal (SAC). This is still a private unquoted company divested by Felix Resources and all the shareholders are the same as the now former Felix Resources. SAC should have a market quote in the first half of 2010.

This will also allow coverage of a future court case by PT Krakatau Steel against Felix Resources, concerning the S.A.S.E. former subsidiary. Depending on the outcome, former Felix Resources shareholders may be in a position to claim that the bid by Yanzhou Coal forgot these assets, and that royalties for up to 800 million tonnes of iron ore were not at negligible value (referring to emails by Deloitte concerning deliberations made in December 2009), but were in fact substantial. [the value of these royalties are up to A$800 million, (A$500 million at Western Plains Resources' estimates in 2009) however, the time and risk factors need to be included]

The royalties on the Way Linggo, Sumatre Gold Mine are at around A$4.7 million but further exploration by Kingrose Mining continues.

To clarify the above concerning PT Krakatau Steel (the company). The company invested US$2.5 million in SASE (90% Felix Resources (Felix), 5% Ausmelt (AET), 5% PT Krakatau Steel) in 1998. This agreement allowed for the delivery of iron ore to PT Krakatau Steel to offset their investment.
Felix and AET subsequently sold the iron ore holdings at Hawks Nest and Pecular Knob to Western Plains Resources (WPG).

Once iron ore is supplied to the company (subject to a future court decision)
it will be possible to work out the likely value of the royalties due to Felix.
These royalties were forgotten or not included in the value of Felix by Deloitte (Delloitte say they were unaware of this asset when valuing Felix for the purposes of a takeover by Yanzhou Coal), and consequently, leaves open the possibility of a claim by former Felix shareholders for this interest.

The Way Linggo royalties are a separate matter.

 

[RemoteView]

I have been looking at the forum for a long time. I have been a shareholder for many years, thank you to all for the great info.
Glad N is going to continue to post.

 

[noirua]

I have been looking at the forum for a long time. I have been a shareholder for many years, thank you to all for the great info.
Glad N is going to continue to post.

I suppose we should concentrate on South Australian Coal (SAC) and the drilling that is ongoing at Coober Pedy (Opal city of the world), that's in the North of the Phillipson tenement and not within the Woomera Protection area; it seems that 75% is though. No reports or evaluations so far but exploration has been carried out for a while now; I think since early 2009.

It looks as if any coal sales from Ingomar or Corner Gate will have to wait until coal from Leigh Creek runs out. They said it was running down in 2001 and it's still arriving through Coober Pedy some eight years later. [trains from Leigh Creek are said to be the longest in the World]

 

[noirua]

The final payment of $16.95 per share, due to all those on the register at 18th December 2009 was paid this morning at 9.00am AEST to former shareholders in Felix Resources. Notification was made by email to all concerned today.

Issuer Sponsored shareholders who have not given Bank details will be paid by cheque.

All details through http://www.computershare.com

 

[noirua]

Felix Buyout 'good deal for both' : http://www.thebull.com.au/articles_detail.php?id=8505

I don't doubt this deal between Australia and China is good for both countries, a different view no doubt from the green camp that has greater support as each month passes.

The shares of bidder Yanzhou Coal are up 60% at US$24.71 since bidding for Felix Resources, and tends to tell its own story of who was the greater gainer here. Were shareholders duped by Mr Brian Flannery and his fellow directors?

Deloitte have forecast thermal coal benchmark price from 2014 at just US$70 a tonne. Spot price at Newcastle stands at US$92.30 a tonne at present. Were shareholders duped by Deloitte ( Independent Experts) in their forecast?

Perhaps the full truth will emerge eventually?

 

[WSG]

Having been a shareholder in Meekatharra from the earlist days of Don O'Callahan and all that that represented, I think that I have been extremely fortunate to have received the cash payment from the Felix deal. Even though there is a conspiracy theory about the eventual price received it will be very difficult to prove anything after the event and more so as time goes by. I think that South Australian Coal could be very exciting and await the flotation with interest. Thank you all for your contributions over the years and I am delighted that the column is now going to follow SAC.

 

[madterrier]

English shareholder in London here.

Coming to the party rather late here. I inherited some shares in AuIron many years ago from my late mother. They then disappeared off the radar completely, as I almost did myself (AuIron apparently became Felix, but no-one told me) and knowing my mother's stockpicking capabilities (all zeroed out) I lost interest in and then all trace of this stock. Also moved address many times, and never received anything from the company.

Then by chance I looked into this stock again last month, and am now trying to catch up with events as best I can. I'm owed various dividends by Felix, and their communication with shareholders is underwhelming. All I've received from the company is a cheque for A$16.95 a share for my shareholding, relating to a purchase by Yanzhou Coal. So Felix is now gone, right?

All too late to get involved; and I'll read this thread on this forum that I've just discovered this evening. But if anyone can summarise what has happens next, that would be great. We get one share in SAC for every share in Felix Resources, right? Is this SAC company already quoted on the Aussie stock exchange? If not, what is the plan?

Got to admit, I was/am more than happy to have some funds invested in commodity rich/no nonsense Australia, given the nightmare wreck the socialist clowns have made of the British economy and currency. So I'd also welcome any other good recommendations for reinvesting my funds in Aus. Like others, I'm bullish on commodities and happy to take a long-term view.

Not sure about the terms of the FR/Yanz deal. But seems to me like a very low coal price was used in the calculations. Black and dusty it might be, but they ain't making it any more.

Thanks in advance.

MT

 

[noirua]

Hi madterrior, Go to http://www.computershare.com.au and then put in your registered information etc., This will take you to various options concerning your holding, including dividends paid and whether these cheques were cashed or not. It is all quite straightforward.
SAC should receive an ASX quote in the first half of 2010. They are drilling for precious metals near Coober Pedy. There is no website at present, though Felix Resources former Chairman Mr Travers Duncan is a director of the company.

 

[awg]

Hi,

A question to Noirua in particular, but anyone in general

its come to my attention Felix had substantial overseas ownership on its register

and also paid a good dividend, 100% franked

this partially matches the profile of companies I wish to have in my SMSF pension.

Are you aware of any way to ascertain companies that have a higher than average foreign ownwership?

even better, any that do!

wish I had learned up about Felix earlier

 

[noirua]

Hi,

A question to Noirua in particular, but anyone in general

its come to my attention Felix had substantial overseas ownership on its register

and also paid a good dividend, 100% franked

this partially matches the profile of companies I wish to have in my SMSF pension.

Are you aware of any way to ascertain companies that have a higher than average foreign ownwership?

even better, any that do!

wish I had learned up about Felix earlier

Go to each company's website, or the ASX, and look at their list of shareholders and from whence they come. It is possible to get graphic indications of the number of shareholders from each country and how many shares they hold, note UXA.