ORR - OreCorp Limited

[mullokintyre]

Glad I was buying this in the 40s....

Well done to anyone as dumb as me buying an explorer/developer in Tanzania. Cheers to you Mr Triangle.

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Big Monday for you @Sean K !
Mick

 

[Sean K]

Big Monday for you @Sean K !
Mick

I was expecting a bigger Monday. The PDI ann was amazing. There was not supposed to be an increase in the MRE ounces just an upgrade to the classification. Another million ounces is way overs. Way overs. I bought some more. Still very risky due to the monkeys and all the coups going on in W Af. But it's a risk-reward thing.

The TO of ORR is valued at 60c so I'm a bit confused about why it's only gone to 50c today. Maybe Silvercorp is crap and not worth owning.

What I would really like, but is probably unlikely, is another goldie in Africa see this and think they should make a slightly higher bid. But, this sounds like a mutual deal. Perhaps ORR initiated it.

 

[Sean K]

Just spent a couple of hours going through Silvercorp to see if I want to be a shareholder and NO. If I get anything over 50 cents, I'm leaving the building.

 

[The Triangle]

Glad I was buying this in the 40s....

Well done to anyone as dumb as me buying an explorer/developer in Tanzania. Cheers to you Mr Triangle.

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About damn time!

A little surprised it was not up in the low mid 50s today but it's been a very long long road.

For once averaging down has worked out. Even if I walk away with only 15-25% gain I'll be happy. Not great as I was aiming for 40-50%. But suppose the shares bought at 36-38 will be. (The ones bought at 65-75 won't be)

2 years of averaging down on CHZ,ORR has worked. I'm not so convinced that strategy will work on CEL....

Just PDI and TIE left?

Will we see a counter bid for ORR by pru?

 

[The Triangle]

Just spent a couple of hours going through Silvercorp to see if I want to be a shareholder and NO. If I get anything over 50 cents, I'm leaving the building.

Dumped 20% straight away.

Yeah. Wouldn't want to hold them either.

 

[Sean K]

About damn time!

A little surprised it was not up in the low mid 50s today but it's been a very long long road.

For once averaging down has worked out. Even if I walk away with only 15-25% gain I'll be happy. Not great as I was aiming for 40-50%. But suppose the shares bought at 36-38 will be. (The ones bought at 65-75 won't be)

2 years of averaging down on CHZ,ORR has worked. I'm not so convinced that strategy will work on CEL....

Just PDI and TIE left?

Will we see a counter bid for ORR by pru?

PRU are definitely looking and the 60c price on this ore body still looks cheap to me. $400m would still be good value. Seems like managers and directors have already signed up to this though.

CEL need to double the MRE in Ecuador and find another high grade skarn in Argentina. Delaying the SS smells. The MD smells more.

I timed my exit on TIE to perfection. PDI will double at least. PRU would be looking closely at permitting before snapping it up. But, it’s becoming big enough for someone even bigger to consider it. Someone with in country knowledge and good security…

 

[Sean K]

Dumped 20% straight away.

Yeah. Wouldn't want to hold them either.

I'm waiting for 55c before donning parachute. The only risk is if the price of silver tumbles in the next few weeks or Silvercorp blows up.

There's still the left field chance a gold miner who needs more ounces knocks on the door. Yes, PRU might want to knock considering their Sudan disaster and stated claim to M&A opportunities, especially with so much cash laying about.

ORR have done as expected and wrapped this up in a bow for someone else, I just thought it'd be worth more than $250m...much more.

 

[Sean K]

I think our cursory glance at Silvercorp might be holding this back @The Triangle. Potentially a lot of other punters are thinking that it's low ball, or some are taking the opportunity to bail. Volume gives the later away perhaps.

60c takeover and it's at 50?

I expected more from this management team.

Something smells.

 

[The Triangle]

I think our cursory glance at Silvercorp might be holding this back @The Triangle. Potentially a lot of other punters are thinking that it's low ball, or some are taking the opportunity to bail. Volume gives the later away perhaps.

60c takeover and it's at 50?

I expected more from this management team.

Something smells.

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I agree, doesn't seem right. Feels like a bid to flush out a bid. They could have come on as a strategic investor, now they're just going to buy and develop a mine themselves? Hmmm...

 

[mullokintyre]

Just been listening to BTL on this stock.
He kinda poured water on the idea of someone coming over the top with a higher bid.
One of the issues is that Orecorp have already issued 15% of the stock to Silvercorp, so a prospective buyer has to get them to part with that stock. The one he considered might be Perseus as they are looking for more East African gold, plus have the cash to make it work.
But he was not convinced (perhaps more in hope as he also holds perseus stock).

Secondly, there is a 15% free carry by the Tanzanian government, which further dilutes ownership.
As in the case of the Fortuna takeover bid for Chesser, the market has marked it down, and the implied offer has already fallen as the Silvercorp share price has been knocked back a bit after the announcement.
He also questioned the expertise of the Silvercorp miners in having no gold mining experience, least of all East African gold mining experience.
Just some food for thought.
Mick

 

[Sean K]

Just been listening to BTL on this stock.
He kinda poured water on the idea of someone coming over the top with a higher bid.
One of the issues is that Orecorp have already issued 15% of the stock to Silvercorp, so a prospective buyer has to get them to part with that stock. The one he considered might be Perseus as they are looking for more East African gold, plus have the cash to make it work.
But he was not convinced (perhaps more in hope as he also holds perseus stock).

Secondly, there is a 15% free carry by the Tanzanian government, which further dilutes ownership.
As in the case of the Fortuna takeover bid for Chesser, the market has marked it down, and the implied offer has already fallen as the Silvercorp share price has been knocked back a bit after the announcement.
He also questioned the expertise of the Silvercorp miners in having no gold mining experience, least of all East African gold mining experience.
Just some food for thought.
Mick

Agree with all that.

I think the reason ORR's not trading near the offer price is SVM SP going down...

We probably need a bump in PM prices to push SVM back up which will = ORR up. I guess....

 

[Sean K]

Good bye and good riddance Orecorp. What a shitshow. I think I've lost about 200 bucks on this dog in a turkey's clothing. Lucky I was stupid enough to buy some more on the dip. What the hell was I thinking that Tanzania was a good place to invest, or the management team actually had cred. As any of you know, since I've sold out, this will rocket to $1 now.

 

[mullokintyre]

Just been listening to BTL on this stock.
He kinda poured water on the idea of someone coming over the top with a higher bid.
One of the issues is that Orecorp have already issued 15% of the stock to Silvercorp, so a prospective buyer has to get them to part with that stock. The one he considered might be Perseus as they are looking for more East African gold, plus have the cash to make it work.
But he was not convinced (perhaps more in hope as he also holds perseus stock).


Mick

Looks like BTL may have been on the money.
Perseus announced today they have bought a 15% stake in orecorp.


Perseus Mining Limited (ASX/TSXRU) (Perseus or the Company) is pleased to announce that it has acquired a relevant interest of 15.03% in OreCorp Limited (OreCorp) shares (OreCorp Share Acquisition) as a strategic equity investment. OreCorp is an emerging mineral development company listed on the ASX under the code ORR. OreCorp’s key project is the Nyanzaga Gold Project, a pre-development project located in northwest Tanzania with a reported Probable Ore Reserve of 40.08 Mt @ 2.02 g/t gold for 2.60 million ounces of gold1. Perseus is not currently in active discussions with OreCorp and does not intend to submit a change of control transaction in competition to the current scheme that Silvercorp Metals Inc (TSX/NYSE: SVM) has offered to OreCorp shareholders (initially announced to ASX on 7 August 2023 and subsequently revised on 23 November 2023) (Silvercorp Scheme). Perseus would, however, welcome the opportunity to engage with OreCorp in order to determine an optimal and expedited pathway forward for the development of the Nyanzaga Gold Project. Perseus intends to vote against the Silvercorp Scheme at the OreCorp scheme meeting, which is scheduled for Friday, 8 December 2023. Further details of the OreCorp Share Acquisition will be set out in the Form 603 Notice of Initial Substantial Holder to be lodged on the ASX platform.
Mick

 

[mullokintyre]

According to Evil Murdoch press silvercorp will up its bid for Orecorp.

Question is, will Perseus sell out and take the profit at a premium?
Or atre they going to play the long term game.
As a holder of Perseus, I would prefer them to take the money and run.
Quickly.

Mick

Or will it just
Mick

 

[mullokintyre]

The Orecop board has rejected Perseus takeover offer.
So, will we see a bidding war for ORR between Silvercorp and Perseus,
PRU up toda,, ORR not had any trades yet.
Mick

 

[mullokintyre]

Silvercorp issued third bidders statement, 19 cents and 0.0967 Silvercorp shares which at the last TSX closing price values them at around 60 cents.
Not far above the current 58 cents price on ASX. but 5 cents above PRU offer.
Will PRU up their offer.
Waiting for the next exciting installment.
Mick

 

[mullokintyre]

And PRU have revised their offer to 57.5.
Interesting that that another 15.6% of shareholders have indicated they will accept he PRU offer.

 

[mullokintyre]

Silvercorps has accepted the PRU offer for Orecorp.
its all over.
Mick

 

[System]

On May 2nd, 2024, Orecorp Limited (ORR) was removed from the ASX's Official List in accordance with Listing Rule 17.14, following compulsory acquisition of its remaining securities by Perseus Mining Limited (PRU).

 

[mullokintyre]

On May 2nd, 2024, Orecorp Limited (ORR) was removed from the ASX's Official List in accordance with Listing Rule 17.14, following compulsory acquisition of its remaining securities by Perseus Mining Limited (PRU).

Damn, just when I thought I would have the final post in ORR.
Mick