Seems the discussion points of the Gas
Turbine Sale are more interesting from an Arbitration perspective than the
sale. The sale in part validates the payment made to acquire IPC, for which if
I'm honest I didn't realise there was any worth in it...as in I couldn't see
the point.
BRR discussion with Peter Earl of Sale of Turbines, plant
development & Arb Expectations (22/11/2013
I would like to thank Rinal, a Bolivian reader for assisting with news flow. What I suspect isn't mentioned on this
discussion is that the Statements and inferences by the Bolivian Government are that 'Bolivia'
will have won if they pay anything less than the amount demanded. So its gone
from 'its worthless' to now being any value less than that claimed is a
victory. Are people really that naive to not realise spin when they hear it?
Quite exciting in a 'snail like fashion'
and something before Christmas? Who knows, in some respects its a shame the
deadlines were put on it as it just creates negativity if they pass in cases like these. Albeit I have to
acknowledge every man and his dog will be emailing RURelec for updates. I pity
Peter in some respects as the expectations are more about the arb than the
power production increases, I hope he has a limit on his email box or nerves / typing skills of steel.
So a quick summary is, disposal of assets
not needed on track. Santiago Listing 'imminent', albeit I'm guessing after Xmas? Say,
after the arb settlement? As then there's something to sell into...Who knows!
But its likely RUR will have both new plants up and running by end of 2014? So
could RUR be holding long term value. Something I've only just recently started to appreciate more...
Finally, what is noted is Bolivia (and
Rurelec) gave an undertaking to the Court that the award is incontestable and
is full and final. This in my view lowers it significantly in terms of non-payment risks...
On to my rant on the next post!
No comments:
Post a Comment