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Apart from other news sources (thanks Sharminator - this led me onto GBE below analysis of the MDA below):
https://miningtradenews.net/?s=MKANGO
I have been trying to find out the timelines on the MDA, which can depend on the project of course. The below are from Globe Mining and Metals (ASX: GBE)
GBE: udate on MDA: 22/7/22: https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02544448-6A1100664?access_token=83ff96335c2d45a094df02a206a39ff4
MDA approved: 29/3/23: https://announcements.asx.com.au/asxpdf/20230329/pdf/45n4cjcnd7bywn.pdf
For GBE it appears to be about 7 months from DFS to MDA Final status, then 9 months from MDA final update to Approval.
For MKA:
DFS on 05/07/2023, MDA Final Review 26/01/2023 with the ESHIA approval "The Malawi Ministry of Justice has appointed a London based international law firm with mining expertise to carry out a FINAL review of the Mining Development Agreement ("MDA") and we are hoping to shortly conclude an agreement that is a win-win for both the Nation of Malawi and all of Mkango's stakeholders."
So this looks like we have our 'final' as per GBE as of Jan 2023 so then we are looking at 9 months or so. I put that squarely in October 2023. I would say the MDA is overdue.
Thoughts?
Sorry, typo on DFS year, not 2023 it was 2022:
For MKA:
DFS on 05/07/2022, MDA Final Review 26/01/2023 with the ESHIA approval "The Malawi Ministry of Justice has appointed a London based international law firm with mining expertise to carry out a FINAL review of the Mining Development Agreement ("MDA") and we are hoping to shortly conclude an agreement that is a win-win for both the Nation of Malawi and all of Mkango's stakeholders."
So this looks like we have our 'final' as per GBE as of Jan 2023 so then we are looking at 9 months or so. I put that squarely in October 2023. I would say the MDA is overdue.
I would definitely agree that the MDA is overdue
Or at least if not overdue then due this month all things being equal.
Spotted this:
https://www.africannewsagency.com/times-group-malawi/committee-warns-government-on-mining-companies-fc6c57e5-2492-5121-b1fe-4748a26164e1/
so that's why we have a delay
Yeah bit strange there - will be large when it happens but at least managed to find something on it - 9 months I thought was standard but yeah looks to be delayed. hence good to have recycling up and running soon
What I find strange is that mkango have been working on this rare earths project in malawi for about 12 years now. is it normal to spend all that time and money developing a project without some understanding in place that in the end the project will be allowed to go ahead? it does not make any sense. I know governments come and go but after all this time working in the country and the investment WE have made developing this project, I did not see this delay in granting the mda coming. we have been there working on this for 12 years ffs
Doesn't make any sense to delay it - the pay back is with jobs, infrastructure (if the gov isn't going to provide it) and so on. I guess any agreement is always something where both sides are unhappy - so I also wonder how much leeway in negotiations we are giving ourselves as well. Still, both sides are working towards a solution so hopefully just a matter of time/movement in positions!
May I respectfully suggest that The Malawian government officers look at the tax breaks that a country like Morocco offer mining companies, in order to encourage them.
ATB. DH
Hard to know what to make of that article. Garbled mix of issues. Past present or future? That's a very strange suggestion about MKA being middlemen. Why and for whom! The context there seems to be negotiation of a tax holiday, pretty normal stuff. Defensive a.r.se covering by that committee as MDA nears maybe.
Extremely common outlook in many African nations. Looks like this one might be the same.
Very little commercial acumen. High levels of corruption, greed and short-term thinking.
Which may, or may not, apply in this case.
But I did suggest quite a while ago now that in a game of brinkmanship we were unlikely to win.
The question I posed then, and which annoyingly remains unanswered, is what is our Plan B, in the event we do not cede to their demands?
Another presentation, which addresses this scenario, would indeed be welcome.
Especially as the last raise was fundamentally to get the MDA over the line and the BOD needs to make this happen.
Even if it requires agreeing to a smaller profit than we might reasonably expect to obtain in an advanced country.
And I would like to see some of the other Directors buy a decent chunk of shares on the open market at the earliest opportunity too.