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For those interested....
Tortious Interference
https://uk.practicallaw.thomsonreuters.com/5-382-9829?transitionType=Default&contextData=(sc.Default)&firstPage=true#:~:text=Tortious%20interference%20with%20contract%20arises,in%20damages%20to%20the%20plaintiff.
DYOR
Presumably Helpful you think we have a claim against G if we can challenge them. All come out in the wash.
Just read it through: all the elements necessary for a successful claim are in place.
As Winnifroth said on Saturday, "But it would also open the way to a much larger claim against Glencore which one assumes would settle out of court relatively soon."
It depends but someone would have to advise RRR as to the quantum of the claim and then be able to stand up in court and defend that advice but...
The minimum claim should be 50.1% x $420mil less the $20mil we are currently divvying up plus interest and the maximum is the discounted cashflow less finance and operating costs for Musonoi plus something for the other two licences. How much is the DCF claim? Well both RRR and Gecamines reckon that there was 400k tonnes of copper at Musonoi plus 24k tonnes of cobalt. So a big number.
DYOR
Helpful I appreciate the figures cos they are big! But what are the chances of AB seriously making us any money. It has not happened before and we thought Greenland or Kenya were good things. We shall see.
Oh and why are not our joint brokers saying that we have a potential game changer with a successful G outcome and we could be worth £xxx. I am 90% down so a bit sceptical.
I don't want to upset you but when people say things like that it is really irritating. You know the circumstances just as well as me.
On Migori, RRR got involved in 2009, spent a lot of money on the asset and then everything was put into limbo because someone tried to nick the asset off RRR. The complaint wasn't against RRR but against Mid Migori Mining Ltd which had had the asset for a number of years and done nothing with it. RRR was doing things but got caught up in retribution against Mid Migori Mining and it took several years to sort out. In my view, except for AB, RRR would have lost Migori for nothing. In my view Migori is worth good money but is too expensive for RRR to develop.
On DRC we were originally promised some tailings assets, they went elsewhere, twice. Everyone else was up for giving up but eventually AB (no one else, just AB) secured three good licences from Gecamines. As we know they were nicked from RRR and now we are on the cusp of securing the compensation.
Add it up: AB has secured assets between Migori and DRC worth about $250mil minimum but we have been prevented from enjoying the assets. AB didn't ask these people to connive at depriving us of our assets. But ALR is current big one.
DYOR
IMO at this point I think the joint brokers will wait until there is a sucessfull outcome in Congo and perhaps wait until RRR actually files a file claim.
In addition to Congo, ELEP and ALR there is also the ongoing drilling in Australia which resumed on Jan 3 so we have plenty of potentially significant news in the pipeline
Sorry to have irritated you Helpful. Lets all hope for the best.
Indeedy, lets hope for the best.
As to the worth £xxx bit, we can each do our calculations but RRR will need to formally appoint someone called an "expert witness". That is the person or entity that will advise RRR as to the quantum of the claim and be able to support that quantum in court whilst subject to cross examination.
RRR has not appointed an expert witness yet, they cost money: again, I don't know but in the order of £100k/£200k is what I would expect. The process would be; finish in DRC, get the ducks in a row to be able to approach a specialist litigator, discuss the case and as part of that who the expert witness should be, agree that the litigators will take the case and then after that the expert witness gets appointed. Each of the litigators will have their favourite expert witnesses who they like to work with. At that point maybe you let Big G know that you intend to go to law and see what they say. Maybe RRR can do a quick deal or not. If it looks like that it will go to court, that is the point at which RRR looks for litigation funding.
Big G should know all about what is going on: they were being sued by VUP with Gecamines being a co-defendent and they know we stepped in and won our case. Our assets were also part of the fine that Big G recently paid to the DRC Government. The fine makes no difference to our case except that they know that the Musonoi transaction was corrupt.
I suppose it boils down to what RRR wants, a quick easy deal with good money in RRR's eyes or top dollar.
DYOR
AB has been in the DRC a few times and presumably has met the people that matter regarding our arbitration. May have met their President who knows. Surely, surely he has to come home with the bacon.
Back in auction at close.