So Duluth Metals is to be taken over by a company called Antofagasta. The take over big, which Duluth metals has agreed too (pending a 66.66 % acceptance), will give 0.45 cents per share. Which, if you had bought the day before the news at 6 cents is a very nice gain.
Of course, if you bought at anytime before mid-late august (where the horizontal line intersects the historic price chart) you got a pretty shit deal. Or did you...
This is a project that reminds me of so many projects where they outline a nice big resource, tout it about, only to come to the conclusion years later that its just not economical.
The project is in Minnesota and actually does have almost 2.5 million oz of platinum and nearly 5.5 million oz of palladium (not to mention 1 million oz and change gold).
Unfortunately, the capex was something crazy like 2 billion dollars and the after tax IRR was 11% (using higher then current metal prices in their PFS).
Now Antofagasta, a company from Chile, was actually a JV partner on the project, who pulled its support right around the time the poor pre feas study came out, then came back and bought out Duluths part.