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Is the Bull Market over? Andre Minassian says no! Watch here

Is the Bull Market over? Andre Minassian says no!

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Member Since: Sun, 11th Dec 2011

Number of Share Chat Posts (all time): 1,505
Number of Share Chat Posts (last 30 days): 23

Last Posted: Today 14:30

Post Distribution over the last 30 days

Mon 20:40

289kg shipment tonight at Cairo Airport.

Shipments in Q1 so far:
289kg (23rd Jan)
325kg (16th Jan)
375kg (9th Jan)
399kg (3rd Jan)
Mon 16:18

You need to read the full Reuters article to see the T&Cs of the tenders and all the comments of the Chairman.
Mon 13:55

The comments of Mr. Joseph Elraghy are all over the Egyptian media and the titles are (Centamin will not apply because the T&Cs are not commercially viable). That would definitely put many, if not all, investors off. EMRA' s president said the interests exceeded the expectations, but that would be only companies buying the T&Cs document as they first buy the documents, then go for field visits with EMRA's representatives, then apply if they wanted.
Thu 10:22

The president of EMRA appeared on TV this morning talking about the auctions. He talked a lot about Al-Sukary as a shining example of gold projects in Egypt. The presenter asked him (Are all the problems sorted with the investor?). He replied (The relationship between us and the Pharaonic company “Centamin” is governed by an agreement through law 222 year 1994 which was agreed by the parliament. We are a country which respects its agreements. We fulfilled all our commitments in the agreements and the investor is also fulfilling all his commitments in the agreement and we are both going on the right path. Al-Sukary is currently our biggest income especially after settling all the accounts and the investor is paying regular payments as advanced profits on top of the royalties. Gold exploration and exploitation needs pumping a lot of investments which is a burden on the state and it also carries high risk and requires experience and technology, that's why we need foreign investors. Al-Sukary is now helping with offering great experience and you would be happy if you visited the mine)
17 Jan '17

325kg shipment last night.

Shipments so far in Q1:

325kg (16th Jan)
375kg (9th Jan)
399kg (3rd Jan)
15 Jan '17

The auctions are making a lot of noise in Egypt. EMRA's president been on National TV and media talking about them. He confirmed that the production sharing would involve setting aside a certain percentage of the production for the investor to recover the CapEx while the rest of the production would be shared between both parties. CapEx should be recovered withing 5 years then that percentage would go to the investor, the state or shared between both. EMRA would go for the best offer on the table from serious bidders only.
Sunday was the first day of the auctions and he confirmed that initial indications were very positive and some companies had already submitted requests, but no information would be released before 20th April -the closing date- due to confidentiality.
On the other hand, El-Raghy's family members confirmed again that Centamin would not be interested in these auctions, nor any of the big mining companies as it would be impossible to finance such project under the current T&Cs of production sharing. They also confirmed that only small companies, if any, would apply and the whole thing would fail.
11 Jan '17

Hi everyone, I'm going to visit Egypt this February. Please have a look at my link and make sure you read update 2 as this is mainly what I will be doing during this visit. Please either support or ignore as I don't want this subject to cause any distraction on this BB.
Once again, I'm sorry for posting about this subject which is completely O/T, but I'm so passionate about this.
10 Jan '17

If you remember I posted a while ago about EMRA's president insisting on introducing production share, instead of profit share which caused some disagreement between him and the petroleum ministry deputy because production share works in petrol , but not in mining.

The latest contract signed with production sharing model was the one signed with Eni for the huge gas field in the Mediterranean. The T&Cs were:
-Egypt pays 80% of cost of production,
-Eni pays 20% of cost of production,
-Eni gets 40% of production to recover CapEx,
-The remaining 60% of production Egypt gets 65% and Eni 35%,
-After Eni recovers CapEx, the 40% share goes to Egypt.

Here is the link for their agreement:

To the experts, would this model work for a gold mine?
10 Jan '17

Hi Dboater, law 198 year 2014 is the latest mineral resources law. As far as I know Centamin operates mainly under law 222 year 1994 (The concession agreement) as most of its T&Cs are different to what is listed in any mineral resources law.

What caught my eyes in this bid announcement was this line (Interested companies shall submit their offers based on production sharing model agreement, any offers with different T&Cs shall be disregarded).

Good luck to them!!

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