Rainbow Rare Earths Phalaborwa project shaping up to be one of the lowest cost producers globally. Watch the video 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.
I’ve read that RNS and here is my takeaway of SOLGOLD:
An overly complicated and long-drawn-out way to communicate that, ahem, “Cheers everybody for your investment here and SOLGOLD makes zero profits. Bazinga!”
Oops sorry Fortissimo
https://www.mining.com/web/ecuador-mining-export-revenues-jump-nearly-33-in-2022/
Pinot
:0)
Quady, all licenses like this have criteria which have to be met, and clauses which exclude the concessionaire from proceeding. Rarely used, because big oil and major minersknow how to deal with this stuff. But this is Solgold.
Fort... you use the phrase standard stuff a couple of times.... it’s only standard when you’re dealing with long in the tooth miners or oilers. This is Solgold, perpetually late with everything, and they’ve left this to the last minute, and obfuscated by not producing a DFS. You seem to know what you’re talking about, so surely you understand my concerns here? I hate to admit it, but if I’m advising the Ecuador government..... am I on Solgolds side?
ToS1963 in the oil and gas industry an exploitation license is only granted to the person developing it.
Because many criteria have to be met.
Tos,
From the MD&A... it's standard stuff. You need to calm down fella.
"GOVERNMENT RELATIONS
An application to begin negotiations on the exploitation agreement for the Cascabel project was submitted to the Ministry of Energy and Mines (“MINEM”) on 31 August 2022 and was deemed admissible on 14 October 2022. Initial discussions regarding the Exploitation Agreement began in December 2022, and that the formal negotiation process began in January 2023. The Company has until December 2023 to complete the negotiation process with the establishment of a non-binding term sheet, and the submittal of a request to move into the exploitation phase.
In December 2022, the Company submitted an application to amend the previously subscribed Investment Protection Agreement in order to align it with the exploitation agreement under negotiation and to obtain additional benefits provided by the government which were not available when the agreement was signed in 2021.
The MINEM has established bi-monthly meetings with the Company to review the critical approvals required for the development of the Cascabel project, and to address other actions required by the Government for the success of the project." END
Extract from Ecuador mining law.
If the programmes and investments are accomplished, the holder of the mining title has the exclusive right to pass to the next mining phase. For exploitation activities, an exploitation contract must be entered into by the state and the concessionaire.
We are very close to a breach of the feasibility phase, but are in the process of entering into a contract with the state for exploitation.
Fort.... just reread your post. In terms of clock ticking.... you might want to google and investigate the terms of the licenses. The clock was ticking as soon as we moved from exploration to feasibility. It was a two year clock, expendable by a further two years upon request. I personally asked Solgold about a year ago where they were with this. Our feasibility phase has lasted well in excess of the initial two years, and it is my understanding we have until Q3 this year until the extension runs out. So unless the exploitation license is signed before then, we are toast. Sorry, but those are the facts. And I’m holding a lot of equity here, not scaremongering. We need that license signed, and pronto.
Quady, I have to admire your indefatigibility, but no, if we hold the exploitation license, it’s a saleable asset, not a guarantee we ourselves will use it.
Sorry auto correct changed exploitation to exploration
So ToS1963 if the exploration license has been applied for. Then the license is only granted if we are going to exploit this discovery.
This is the strongest statement that we are going forward to develop Cascabel.
Lindy. An extraction licence is for 25 years, and is extendable. We are negotiating one, but don’t have anything signed yet.
Thanks Fort didn’t see your message ??as usual very informative message
Fort.... exploitation phase only kicks in once exploitation License is in place. It’s not yet signed. I have that from Solgold themselves via a personal email. They are currently negotiating it. Whilst I agree with you that it’s in Solgolds best interest to expedite that.... why is it in the best interest of the Ecuador government?
Sorry could you tell me where to find how long we have left for extraction I have searched for it ? Thanks
same link as above Pinot??
ToS1963
What on earth on you on about? SOLG are currently negotiating the next phase with Ecuador government as per last RNS. It's standard stuff. The clock STARTS ticking once that exploitation stage kicks in. Hence it's in Ecuador's interest to get it signed pronto and in SOLG's interest too as they means potential buyers will not sit on their hands.
Some utter nonsense being posted on these boards these days.
Either deliberate or just uninformed or misunderstood?
To explain my last couple of posts.... Ecuador mining law licenses allows for a set period of time to explore, after which you are allowed a set period of time to conduct feasibility studies, and after which you are allowed to apply for an extraction license. Without going into the legal nitty gritty, a follows b follows c, and clauses in each license guarantees your rights to the subsequent step. Therefore, all being well, and having held the exploration license, we were guaranteed the feasibility license. And, if we met the stipulated criteria for the feasibility license, we are more or less guaranteed the extraction license. But as I said, each stage has its own time constraints, and in terms of the feasibility stage, we are almost in breach of it.
That’s my concern. Not only have we yet to deliver a DFS under the terms of the feasibility license, there’s no guarantees we will succeed in gaining an extraction license. That’s the RNS I’m wait for.
This evening.
https://www.bnamericas.com/en/news/ecuador-expects-us3bn-construction-of-2-mines-to-kick-off-next-year
Evening all...from 3rd February
https://www.bnamericas.com/en/news/ecuador-expects-us3bn-construction-of-2-mines-to-kick-off-next-year
Pinot
:0)
The last sentence should read extraction not exploration.
Of course the government can’t just come in and take away the rights. Read the terms of the exploration license. If you are invested here, surely you’ve done that. However.... the exploration licenses, as per Ecuadorean mining law, are time limited. I’ve explained that more than once on here. Given how stupidly long it has take Solgold to get from exploration, to economic feasibility, to extraction, we are now in the sad position of running of of time. So I’m sorry to keep banging the same drum, but it seems there’s plenty of folk here not listening.... yes, you are now, as far as Solgold is concerned, correct. If the government doesn’t grant us that exploration license, this year, it’s game over. We’ve used up all our credit.
Oh dear , so it could end up we have nothing but a piece of paper. Maybe that's what the majors are waiting for , to bid on the extraction license.
Surely SOLG have a claim to the area , otherwise any government would say yes go exploring and we'll take it when you found it.
Can't see that personally.
Awaiting the expert opinion of course, I could be barking up the wrong tree , or barking mad.
That is extremely useful and important information.
And for what it’s worth, and I’ve said in many times on here..... the Tier 1 discovery isn’t ours. All we have is the license to find it. Unless we get the license to extract it...... it’s not our asset.