I personally do not believe that RCF are to dump the company.
I do agree that they are lending to Noront because Noront is desperate but like I stated in one of my previous posts, they would have rathered stock right now, but they did not get that.
Noront negotiated a deal that seemed fairly reasonable if not generous condiering market conditions.
RFC has recently financed Mirabela Nickel and I can guarantee you that it was not to do any funny business like is being discussed here now as they could not easily control a company that large.
They got into that deal because they felt the outlook for Nickel and Mirabela was positive so they bought some stock.
And as for the average price of Baosteels stock it would be around 70 cents.
RCF could be even higher as they aquired their first 10% on the open market. From what I can remember the prices where much higher back then so RCF could have an average about the same as Baosteel.
Given all of this l still do not believe these guys are here to sell out.
Baosteel knows where the future of China is going and understands the need for Chromite in a secure source of Chromite in a politically stable country.
RCF seems to be quite savvy themselves and from my research have not show a reputation of buying and dumping companies for small amounts of profits.
RCF invests huge amounts of money and I doubt they would tarnish their reputation by pulling a fast one here with something so small like Noront. To put things into perspective RCF has a portfolio of billions so they would not bother to hurt their rep on a deal that would make them say $5 to $10 million.
That would seriously hurt their prospects with future juniors, as these prospective customers would not want to have a shareholder that seeks to sell them out.
Just my thoughts, but we should see some interesting things here in the short-term.
JDR
