TORONTO, ONTARIO--(Marketwire -07\/26\/12)- Liberty Silver Corp. (LSL.TO)(LBSV) issued an open letter to the Sennen Resources Ltd. shareholders regarding the Company's offer to acquire Sennen. The letter follows. <\/p>\n
Dear Sennen Shareholder - <\/p>\n
We at Liberty are focused on concluding a friendly deal with Sennen that is in the best interest of both Sennen and Liberty shareholders. I'd like to tell you why. <\/p>\n
The rationale for a combination of our two companies could not be more compelling at this time. As you are no doubt aware, the capital markets have been very challenging. This is especially true for junior mining companies. Some believe that these difficulties are a part of the normal business cycle and that the junior mining public markets will return to their former health in due course. We are less sure. <\/p>\n
Since the mid 1990's, the number of publicly-traded junior mining companies has expanded from the hundreds to the thousands. As a result of this huge increase: <\/p>\n
In Liberty's view, the junior mining sector is going through a fundamental transformation. <\/p>\n
Consolidation will result in fewer junior miners, each with a multitude of projects guided by the highest quality talent in every aspect of their business, including: governance, risk assessment, capital markets, regulatory requirements, communications, finance, geology, drilling, engineering, quality control, consultants, permitting, environmental, and assaying. <\/p>\n
Junior mining companies that rely on traditional financings from the high risk\/reward venture markets as a way to drive from exploration to production will be severely challenged. Many will not survive. <\/p>\n
The bottom line is that only a small number of high-quality miners with a disciplined approach to risk will benefit from the consolidation. Liberty falls into this category. <\/p>\n
I invite you to look closely at our team's resumes on our website. Their experience and capabilities cover a broad spectrum that will allow us the means and credibility to fulfill our mandate. <\/p>\n<\/p>\n
More: <\/p>\n
Liberty Silver Corp. Open Letter to Sennen Shareholders<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" TORONTO, ONTARIO--(Marketwire -07\/26\/12)- Liberty Silver Corp. Continue reading