Brad George, CEO at Orosur Mining (OMI), the South American metals developer and explorer, gives a detailed presentation and Q&A which outlines the 'New Orosur' strategy and how he hopes things will progress at Anza, the Columbian flagship gold project. He described Orosur as 'a company transformed'.
Orosur's flagship asset is the Anza project in Columbia, and Brad gave more detail on what the Phase 2 JV will look like. He hopes to begin negotiations soon - what 'could be a three or four month process' with Agnico/Newmont. Once signed in September or sooner a new company will be set up and Orosur's share of Anza goes down to 49%. In compensation for that Orosur get a $2M payment, and $4M per annum must be spent for 4 years, with an extra $4M payment 'at their discretion - although the money can be spent faster if they so wish.'
A third phase of heavy drilling then follows as a reserve is established so that the project can go to a DFS, a Definitive Feasability Study. Brad cautions this may take as much as $50M, which is why a number hasn't been agreed. 'To establish the reserve takes as much drilling as it takes.'
This, on top of the money recently raised, means the company is in a position to self-finance exploration, and according to Brad they have chosen two excellent low cost projects. 'For the first twelve months our costs will be low'. As Brad says, 'I am excited. It's very rare to see projects of this size and prospectivity available. Now that the Covid window of opportunity has closed I don't think you will see these types of project available again.'
And Brad confirmed again that he'd be buying shares in the company soon.