- "Timing is not great to dispose off BC".
This is certainly true. So, we keep it within the PRB umbrella. One option is to form a JV with KWG or NOT and let the latter two to develop BC along with BH,BB...perhaps BD as well if CLF gets out of the RoF by selling its chromite stake to a deep pocket.
- "I'm sure we are all concerned that a possible buyout of PRB would include both Borden and BC. As others here have mentioned perhaps spinning off the Chromite now would allow us to retain that ownership outside of an offer for Borden."
We can restructure PRB with Borden Gold as a subsidiary under PRB umbrella, so that we would have 3 entities under the PRB umbrella:
(a) Borden Gold which contains the deposit, and some land around it which would be required for the bulldozers to run around and enough space to build the mine infrastructure. Borden Gold gets stronger and stronger (the oz keeps increasing) and have enough feather. It's time for it to fly off the nest.
(b) The rest of PRB claims, including Borden East Limb as new frontier for exploration;
(c) BC as an JV with KWG/NOT, we just let others do the work for us. This is a long-term investment which could become a cash cow.
It should be easy to spin off Borden Gold which contains all the potential wealth say some 10+Moz. A suitor should appear at our front door to offer about $8-10/s in a friendly TO. PRB has more than enough cash to dress her up pretty as a drop-dead gorgeous that could attract more than one potential suitors.
Dave and us still have BC and the rest of the land for Dave to get busy and find new deposits for us. He's good at this game hence let's give him his own sandbox to play in.
There we have it the grand strategy for this chess game.
goldhunter
