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That's now my understanding @Bannor, which, as I'm sure you are aware, makes the question of exactly what ore is DEV shipping for Gerald more pertinent. Are we to believe that because the BoD haven't RNS'd that it is coming out of the 1.39Mt, that it isn't coming out of the 1.39Mt?
If it's coming out of the 1.39Mt then bad for us. If it is isn't, then good for us. Which is it?
Clunk!! Me thinks the penny has just dropped for a lot of people.. We all need to re -read the official rns;s
and re-listen to what KM said about court papers and port watching!!
Currently looking down the back of the sofa for open tomoz..
Foot note - Nothing has changed since https://www.cadenceminerals.com/projects/amapa-iron/
Just brought back to reality!
OBS .... when the courts provided guarantees to the creditors in terms of liens over 'material stockpiles' in my opinion it would have been based on the volume of material required at the price of said material at the time of judgement sufficient to settle the debt owed ..... in my view it wouldn't have given a party legal ownership of the ore but rather a guarantee over the sale/use of it to the extent that the debt had to be covered.
So for instance if Gerald were owed $60M & the ore price at the time of ruling was $60 per tonne then they would have been given a guarantee over 100,000T of Ore however if the ore rose to $100 per tonne it would only require the sale of 60,000T to settle the debt .... I don't think it would be permitted in a court sanctioned process that the creditor would be allowed to pocket an additional $40M of revenue on top of the $60M of debt unless Dev had completely folded with no recovery potential & they had been awarded title at the time (held onto it until prices increased) rather than being granted a guarantee.
They were owed $xxx & as far as I read it they are still owed exactly that amount (plus interest perhaps) less any agreed discounts due the JRP settlement..... anything leftover after the debt had been settled would ultimately revert to DEV ... that's how I assess it to be unless someone can prove/evidence otherwise.
In the light of this revelation, the total amount of ore sat in the various locations, and who has claim over it seems fairly price sensitive to me. For if the ore we are shipping for Gerald is coming out of "DEV's" 1.39Mt stock piles that have been mentioned in our RNS's this is material. If it isn't coming out of these stockpiles, but Gerald's private stock piles, then who owns what is left over when DEV have finished shipping $135m worth? Is this added to the 1.39Mt total? If there isn't $135m of Gerald's ore at the ports, then what about at the far rail terminal, and if not there, what about at the mine?
I pointed out the other day this in relation to Indo's claim: "It turns out that the iron ore in question could not even have been given as a guarantee, by reason of pledge and fiduciary sale in guarantee previously constituted on the same assets, for the benefit of third parties." - presumably this third party is Gerald, but doesn't answer the question of whether it's coming out of the, obviously now reduced, 1.39Mt.
that’s probably the decision that released gerald’s ore from the banks embargo over all the stockpiles…
Yes, Dev are being paid not KDNC to ship Geralds ore.
In that case the $135m would be net of shipping costs. similar to ours then if it's now dollar value rather than tons of ore.
"Quantity of iron ore shipped: 49,010,850 wet ton"
"Sales value (per ton): The value shown in the Invoice is USD 80.48 per wet ton;"
You're looking at around 1.7-2 million tons of ore there depending on handling costs if it's net of those but some of that was supposed to be at the mine.
In the court case with the banks they were claiming there was 3 million tons but that could be just what was at the port.
You can work backwards to the 3 million by dividing the numbers here:
"Iron Ore Fiduciary would far outweigh its credit (considering
a quote of USD53.65 per ton) would total approximately USD 160
millions. In turn, on the present date, the quote is above USD 88.45
ton, so there was an excess of guarantee, since the value of the ore of
iron would reach USD 265 million, that is, an excess of more than 135 million
dollars."
Yes, I do remember reading somewhere ‘at commercial rates’
Are KDNC being paid to ship someone else's ore?
http://www.nasser.adv.br/uploads/nasser-brazilian-miner-agrees-1-5-billion-reais-restructuring-with-creditors-ll-latin-lawyer-2.pdf … the link has stopped working now… but the headline was…
uk metals trader gerald metals was the largest creditor... holding some $135m of zamin’s debt... wonder if it did get settled at gross value…
I confirmed it now looks to be $135m yes @tomcat:
the "List of Creditors Article 7 Updated 04.12.2021"
Classe lll Gerald Metals S.A. - - US$ 135.000.000,00 US$ 135.000.000,00
there’s an article that confirms the agreed amount… but i’d previously thought it had been converted to ore tonnes at the lower $/t… so am pleasantly surprised to see it’s being done at today’s ore prices…
It's possible, the $135m is the exact same number at the LBO Credit though. I can't see a reference in the JRP as to how much ore was owed. Also not clear if it's gross or net. Assuming gross would be 15-18 shipments (3 already done).
do you read that that they’re now shipping gerald’s ore based on value not quantity…
ty ev… mv and hs confirmed not ours…
@EV_: That's a lot of NOT our boats!!
FYI @Tomcat:
It should be noted that the images provided refer to the first two shipments of iron ore performed against Gerald Metals SA This Judicial Administrator informs that the most recent Recovery Plan Court, approved by the creditors on 08/22/2019 and approved by the court on August 29, 2019, provides for the availability of thesaid iron ore, as provided for in clauses 4.5.2 – 4.5.2.1; 4.5.2.2; 4.5.2.3; 4.5.2.4 and 4.5.2.5 up to the limit of US$135 million.