We would love to hear your thoughts about our site and services, please take our survey here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
Excellent post nero. Just needs patience. I too would much prefer that MC takes extra time now to get this right, rather than repeating Mako minings mistakes by building a plant before they are sure of their resource, mine schedule etc. They could be up the creek unless they can make some extra money in the meantime from toll milling some permitted, high grade ore at their new 1000tpd plant..
The project is at a critical stage. Plant equipment being bought. Mine financing terms being agreed. Who better to do these deals than MC with his financial background and "skin in the game". CNR also has a couple of billionaire backers in the form of Ross Beatty and Jim Mellon who are both very bullish on gold. Those guys could personally loan CNR the money for the CAPEX if they wanted, so financing is just not going to be an issue.
regards,
T123
As far as I'm aware, MC has never put down a lack of progress due to acquiring the last 7% of land.Condor has made huge progress with acquiring the majority of the land required for the mine this year which no doubt has taken a lot of time and effort to achieve, and has massively derisked the project.
At this point (in my opinion) the land is now no longer an issue and progress continues in the background towards completing the remaining studies, finalising production strategy, purchasing a processing plant and arranging mine finance. None of these things are done overnight so expect them to take some time. MC has given you some target dates, ie:
- Deposit placed on processing plant before the end of the year
- Mine finance in place Q1 2021
By now you know MC's "MO", under promise and overdeliver, but it requires patience as he crosses all the ts and dots all the is.
this will be the making of condor...or the failure''this is boom or bust..
Nero - the holdup on the last bit of land is the excuse repeatedly given for lack of progress on everything else. If land's not the problem then why haven't all of the other items progressed by now? Concrete plan, plant / production targets, timescales, finance should all be in place - MC has had literally years to work them out.
Sadly, it's entirely possible the results of hurricane Eta will focus minds.
...or maybe the govt. simply told CNR to get on with it and they'll sort it out.
Tester why would the gov get involved unless the parties were preventing progressing mine build and negotiations were making no headway? In my opinion, the remaining 7% of land is not any particular issue, progress continues regardless and it will be resolved in time to the benefit of all. No point in antagonising anyone and creating bad blood if not needed.
I believe the key news for the market before the share price can re-rate is to see a concrete plan for funding the mine build and specifics on timelines and mine throughput. If that includes a medium/major taking a stake in the company then it will really rocket.
Hmm - it does make you wonder why the government of Nicaragua - given how much they want international investment, mining revenues, tax revenues from employment etc - hasnt already stepped in and put the CPO's into progress.
My theory is that perhaps we have reached a catch-22 situation. i.e the government dont want to appropriate the land (perhaps generating negative feelings, anti government sentiment etc) until the company have proven that they can in fact successfully negotiate the funding for the mine build.
A big step towards proving that would be the purchase of the plant equipment (be it 2nd hand or new from China) which isnt dependent on 100% land purchase, but does require the land to be fully owned on which the plant will be built (which it is). And also the clearing of the land, preparation of the TSF via drilling etc. So the sequence would be something like this:
1) MC announces plant purchase late Nov/Early December (deposit placed, agreement reached etc)
2) CNR starts clearing the land that it owns in December in preparation for plant delivery, etc, another strong indication to the government that the project is going to happen. (Think Chinese Canal project when it never happened)
3) Nic Gov realises the project is definitely going ahead soon and issues CPO's
4) Final funding for the remaining CAPEX is agreed in 6 months, based on 100% land purchase.
MC is walking a tightrope here between all parties.
regards
T123
Eelise ,tbf I dont think he said finance will not be an issue without buying all of the land . Owning all the land may or may not be an issue going forward ,it may alter timescales but unlikely that the last few per cent will be allowed to hold up the project indefinitely .
In one of book 5 posts he mentioned that one of ortegas sons holds shares here .quite possible .
"i cant see him commiting too a plant before all land completed .. far too much risk..the land.. is more important he will wait"
I can!
we all agree every one wants a mine built but there is a process and it will take time
The government want the mine. The villagers want the jobs, they won't derail the project for 7% of the land. Imagine the amount of taxes the government will get out the duration of the project. They will not be bullied for this last 7%.
i cant see him commiting too a plant before all land completed .. far too much risk..the land.. is more important he will wait
Cambells, I agree we'll struggle to finance the project without 100% of the land. However, I disagree with your comment about committing to a plant.
As Mark has said, we are at advanced negotiations with a processing plant. Before we look at financing the project, we'll need to know how much we need to borrow.
Once Mark has confirmed he has placed a deposit on a processing plant, he'll then be able to run through different scenario's on the size of the plant. If Mark goes for a larger processing plant, it might be he only constructs part of it. Don't forget, there'll be increased construction AND operating costs with a larger plant. I've always said it's good to have options, fingers crossed Mark has sealed a deal with the seller of this processing plant.
without the land being bought finance will be very difficult and if it drags on we cant commit to a plant '''share price will continue to drift..7 per cent may not seem a lot but at the end of the day it is a very important bit on la india....we have approx 6months of finance in bank it will take 60 days for tfs then it has to go to marena ..if the land is issued with a cpo how long will that take...the land purchase will take us to a position where we can go to the banks..with only 93 per cent of land i dont think many would want to finance us.. so for me i think the land buy would be transformational