RE: Does anyone remember...29 Mar 2018 19:33
Yayay, this from Scotlgolds favourite critic, pr100 aka Shylock
12:47 So, while the rare mini-spike in the share price dissipates due to a almost total lack of interest in SGZ shares, why are Scotgold not rushing to comply with the legal conditions which have to be met before planning permission is ratified? They were never able (or willing) to comply with the financial conditions attached to the previous planning approval so is this another chicken-and-egg scenario whereby Scotgold won't commit to the financial undertakings until/unless they can raise the balance of the funding? But with external funding unlikely without full PP being granted, that would be a never-ending circle. The legal conditions attached to the new provisional PP are: Appendix 2 Proposed Heads of Terms for Planning Obligation/Section 75 legal agreement Prior to a grant of planning consent the applicant must enter into a legal agreement which secures the following matters: 1. Financial Guarantees: a) A financial guarantee sufficient to allow the National Park Authority to enter and restore the site to a satisfactory standard at any stage of the development when the operator has failed to meet defined obligations or has abandoned the site. b) A financial guarantee sufficient to allow the National Park to prepare and implement the Greater Cononish Glen Management Plan (GCGMP) should the developer fail to do so. 2. GCGMP: The preparation and implementation of a Greater Cononish Glen Management Plan to cover a 30 year period. 3. Financial Contribution: Developer contributions towards projects which enhance conservation and visitor experience in the National Park. 4. Planning Monitoring Officer: Developer contributions towards the National Park Authority�s costs incurred in monitoring the development. http://www.lochlomond-trossachs.org/rr-content/uploads/2018/01/Board_20180227_Appendix2_Proposed-Heads-of-Terms-for-Planning-Obligation.pdf A clue as to how much cash Scotgold would have to deposit in escrow before PP is formalised comes in the report of the board meeting on 27 February: http://www.lochlomond-trossachs.org/rr-content/uploads/2018/01/Board_20180227_Agenda3_Cononish-Board-Report-1.pdf Restoration bond: �503,521 (proposed by Scotgold, subject to ongoing negotiation) 30-year Greater Cononish Glen Management Plan: �282,000 (ditto) Additional contributions which may be built into the bond: �250k minimum to enhancing conservation and visitor experience in the NP �TBA cost of employing Planning Monitoring Officer (was �117k for previous PP) So, it's looking like �1m-1.5m in cash will need to be ring-fenced in escrow before we can get formal PP, without which the mine is obviously not going to secure any external financing. Has Scotgold raised enough cash to cover this and allow for preliminary site development? Presumably not but the development work anyway won't start until full PP is granted so urgent step 1 must b