Q: your opinion on this co which just signed project option with rio tinto
5i Research Answer:
The Rio Tinto connection is an interesting headline, but MOG is a very small explorer with no resources defined, no revenue, and a deal that requires spending $56M to earn just 60% - with Kennecott retaining meaningful back-in rights that could claw back a large portion of the interest. We feel that the market's reaction on announcement day is a big indicator of how well it was received. Momentum has been good, but given its small size and pre-revenue, we would be cautious here.