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JRV - Jervois Global

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Atomic5 said:
From Mining News - maybe INTEC have yet to sell????

Intec, Jervois call merger off
Rebecca Lawson
Friday, 23 March 2007

THE potential merger between Intec and Jervois Mining has been called off, with a difference in opinion between the two companies over the 19% drop in Jervois' share price following the news. Additionally, Intec has increased its significant stake in Bass Metals but has just come short of the limit of a takeover launch.

In an announcement released to the market yesterday, Intec and Jervois said after a confidential meeting where various proposals were considered, Jervois' board decided the merger would not be in the best interest of shareholders.

Speaking to MiningNews.net, Jervois director Anthony Jannick said the proposals did not accurately reflect the real value of its assets.

"We didn't think it was a good enough offer to the shareholders," Jannick said.

"We gave as positive a proposal as we were able to do and I don't think, from our side of the fence, we could not have been more positive than we were without being stupid," Intec managing director Philip Wood told MiningNews.net.

"Am I particularly worried about that? Not really. We were at the limit of what we were able to do and it wasn't enough from Jervois' point of view and I understand that."

While both companies agreed to let the proposed merger fall through, there were differences in opinion over the drop in Jervois' share price yesterday on the back of the news, where its shares closed down 0.6c to 2.6c. Shares in Intec shed 1.5c to end at 17.5c.

Jannick said the stock's price fall was simply because Intec was selling a significant amount of its Jervois shares, however no notice had yet been given to Jervois. Intec holds around an 11% stake in Jervois.

Meanwhile, Wood said whether or not Intec was selling its Jervois shares, all would be revealed in due time in a substantial shareholder form to the Australian Stock Exchange.

"Whether or not we were selling shares and the extent to which we're selling shares will all have to be formally released to the ASX," Wood said.

"It's self-evident that the market would have liked to have seen a cooperative corporate deal, or merger if you like, between the two companies and it's obviously disappointing for a lot of the holders of Jervois shares if those talks don't come to fruition, so that's why you see a sell-off and that's why the share price is looking pretty weak today.

"But if you look at it another way, their share price is incredibly strong [compared to] a month ago."

A month ago Jervois shares were trading between 1.5c and 2c before reaching a 12-month high of 4.2c at the announcement of a potential merger between Jervois and Intec.

Meantime, Wood confirmed that Intec had increased its holding in Bass Metals to 19.98% and said there was no talk of a merger or a takeover of the company, but instead said the increase was due to Intec's faith in Bass.

"We are extremely keen on Bass Metals who we regard as a partner, they're doing the exploring and mining and we're doing the processing and marketing, I mean that's a simplistic way of talking about it, in that region around Hellyer [zinc mine] in Tasmania," Wood said.

"We are keen to support them financially, we are also positive about their future share price so we wanted to go up to the maximum we could, which is obviously 19.9%, prior to the rights issue because we want to fully participate in the rights issue and we are a sub-underwriter for $1.5 million out of the $4 million underwritten.

"I am keen that there be a close alignment of interest between Intec and Bass."

Wood added that as a result of positive cash flow into the company due to the fact that Hellyer has started zinc production, Intec was looking to other companies for potential mergers.

"We are interested in companies who have minerals processing challenges with their existing resources, which we think our technology and our technical capabilities can address," Wood said.

"If you use Jervois as an example, they have a relatively low-grade nickel laterite resource, it's quite substantial and it's well located, but the key to unlocking the value of that resource will be to find the right processing technology and that's what drew our interest to Jervois plus it was heavily undervalued down at 1c.

"If that circumstance arises with other companies, and there are a few that I have in mind, we would be looking to do the same thing."

Shares in Intec were steady at 17.5c while shares in Jervois shed 0.1c to 2.5c in trading this morning. Meanwhile shares in Bass climbed 1.5c to 31.5c.
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What a huge overhang, buyers not knowing when INL are going to dump.
 
juddy said:
What a huge overhang, buyers not knowing when INL are going to dump.
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INL will not dump, it is currently an integral aspect of the companies balance shhet. Selling down this shares in such a situation would drop INL value. Plain and simple. In addition INL have a significant holding and in speculating they could aquire a further stakeholding toward a hostile takeover with extenal support.

Think for a moment why didn't JRV just take the INL deal? If JRV were so desperate for something to occur why didn't they just take it?

In any negotiation it takes a fundamental, valued reasoning and strong management to recognise the value of a companies assets and potential, to walk away from any arrangement. You only do that if you have something of significant value and you know other 'real' options exist.

In my personal opinion this situation is going to turn 180 degrees in the near term based on the strength and resolve displayed by JRV Management over this matter and the fact that nothing has changed with JRV. The chinese MOU is still in place, JRV has an excellent Ni inferred resource and technology to extract it, they do require funding. This will be highly sought after at the current Ni prices and demand IMO.
 
hangseng said:
Think for a moment why didn't JRV just take the INL deal? If JRV were so desperate for something to occur why didn't they just take it?
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This needs repeating: because JRV disagree with INLs process which sees the addition of sulphur to the chloride leaching process. JRV are interested in the process initiated by Jaguar but DO NOT LIKE how INL have progressed it and prefer a patented method known as the Aspen method which they may trial in a pilot plant this year.

Why would INL keep shares in a company that might prove them wrong using an INL competitor's patent???? Plus, INL sound vindictive.

Pursell at least had the decency to warn his shareholders on Wednesday before INL posted their notice on Thursday - NOT that anyone listens to Pursell (his lips move but no-one listens) as on Thursday morning the die-hard INL fans were still buying JRV at .034, only to see an intraday of .026, and a two day low of .023.

If anything, the only thing evident so far is how stubborn INL 'supporters' (fans?) are in admitting that JRV don't favour the INL process and are happy to seek alternatives with INL competitors.
 
From the Mining News article above:

"We gave as positive a proposal as we were able to do and I don't think, from our side of the fence, we could not have been more positive than we were without being stupid," Intec managing director Philip Wood told MiningNews.net.

"Am I particularly worried about that? Not really. We were at the limit of what we were able to do and it wasn't enough from Jervois' point of view and I understand that."

What would any normal company do now? Keep an investment in company that will now proceed to market a competitor's patent on a global scale?

"It's self-evident that the market would have liked to have seen a cooperative corporate deal, or merger if you like, between the two companies and it's obviously disappointing for a lot of the holders of Jervois shares if those talks don't come to fruition, so that's why you see a sell-off and that's why the share price is looking pretty weak today.

This means that INL have yet to sell shares and that the shareprice has fallen this low all on it's own?
 
Hi Hangsen, could never have expressed it better. Too few on the forum take a short term simplistic view. Proper examination of fundamentals and technical analysis for entry and exits together combined leads to success in my HO.
 
explod said:
Hi Hangsen, could never have expressed it better. Too few on the forum take a short term simplistic view. Proper examination of fundamentals and technical analysis for entry and exits together combined leads to success in my HO.
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should read "Too many on the forum..."
 
I dont have a problem with JRV.
I just have a problem with INL.

... and so do INLs shareholders...
INLs shareprice is not looking too healthy.
 
Re INL's "stupidity"......the words astute.......strategic even, seem more appropriate. Hey Atomic...INL has its base in the chem engineering dept at Syd Uni....these guys are talent that JRV should welcome aboard.
 
Funny, I've never seen a change of interest notice accompanied by a little note effectively kicking sand in the face of the company you own shares in...:confused: Funny, funny stuff.
 
Col Lector said:
Re INL's "stupidity"......the words astute.......strategic even, seem more appropriate. Hey Atomic...INL has its base in the chem engineering dept at Syd Uni....these guys are talent that JRV should welcome aboard.
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Knowledge does not = wisdom.

Funny, I've never seen a change of interest notice accompanied by a little note effectively kicking sand in the face of the company you own shares in... Funny, funny stuff.
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Yep, it was quite bizarre. If INL wanted to deal with a business of mine, I'd want to tell them to F**K OFF! as well. By the sounds of it, they are like one of those women, that if they can't have what they want, will destroy everything around it. Bad news this company. What a disgraceful attitude. Who do they think they are talking to? 16 year olds?

I mean christ, grow up ffs. Sour grapes anyone?
 
Col Lector said:
Re INL's "stupidity"......the words astute.......strategic even, seem more appropriate. Hey Atomic...INL has its base in the chem engineering dept at Syd Uni....these guys are talent that JRV should welcome aboard.
Click to expand...

It's their words! not mine .... unfortunately. Now they're even on record as lying - 'wasn't us who sold shares but the disappointed public'. Id call selling 120million shares "SELLING SHARES".
 
chops_a_must said:
Knowledge does not = wisdom.


Yep, it was quite bizarre. If INL wanted to deal with a business of mine, I'd want to tell them to F**K OFF! as well. By the sounds of it, they are like one of those women, that if they can't have what they want, will destroy everything around it. Bad news this company. What a disgraceful attitude. Who do they think they are talking to? 16 year olds?

I mean christ, grow up ffs. Sour grapes anyone?
Click to expand...

Obviously they have been talking to someone (Purcell) who has so little faith in the prospects for JRV that they offload shares at the first opportunity. Pretty disgraceful! Is probably planning to offload another chunk or two when the Chinese come back and ignite a bit more interest
 
I'm not sure why INL bothered to deny it was them selling JRV shares. At the same time as the "JRV tells INL to shove it" ann. came out, a 50 000 000 sell order was plonked on the market at .028. They didn't even try and disguise it by selling in smaller lots. Funny management at INL but at the end of the day I guess they have 8% or so of JRV for diddley squat.
 
I can just see the INL guys now - geek nerd pimpled science types with bifocals and 7 gigabytes of pr0n, and NO socially redeeming features.
 
INL is required to inform the market re changes in share ownership, ie lodge substantial shareholder change notice.....as they have now done. I hardly think it appropriate to spill the beans to a "Mining News" interviewer
 
Takes 1.2 seconds for an email to circumnavigate the planet, slightly longer for a fax, but not that much longer.

Col that hand is creepy btw.
 
Thats the hand of someone suffering extreme exposure......to the resources sector.
BTW....if JRV had just engineered an 8% holding in INL for nix, would you also be critical???
Something to be said for those of a nerdish/geekish persona....
 

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