Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
These clowns should be held to account!
Inprotec was approached by SPMP and lead engineering contractor Worley Parsons in recognition of its expertise in designing, supplying and commissioning bespoke furnaces used to melt, smelt and refine non-ferrous and precious metals.
https://www.insidermedia.com/news/yorkshire/engineering-company-supports-metal-processing-facility-project
Bitterly disappointing conclusion after years of frustration for long term holders invested here. Let down due to eye watering incompetence from SPMP .Begs belief that 60m plus is needed for rectification works to correct a supposedly purpose built state of the art plant that was specifically designed from scratch to be world leading in its construction! Absolutely stinks!
How can you build a plant if you don't know what feedstock you are going to use ? Chinese roaster suppliers would have asked them that question from the offset.They built the plant without securing any feedstock first so little wonder it didn't work.They didn't know what they were designing it for hence the total redesign. Like I said cavalier attitude and incompetence.I don't understand why they didn't hold payment until it was proven the roaster was fit for purpose instead of expecting investors to foot the bill to a random amount based on an estimate. Something amiss here. we shall see soon enough
TDT
Agreed
Whoever made the final decision not to have the mini pilot plant built as agreed to establish proof of concept has made a catastrophic error. They should be brought to account for the ensuing delays and spiralling costs due to poor plant design. Pure incompetence.
Worley parsons were brought in to built a state of the art plant designed to process ore quickly and cleanly. Didn't they know what type of ore they would be processing at design stage?!
The OAR is set up to treat approximately 40ktpy of antimony-gold concentrates to produce approximately 20ktpy of antimony metal and antimony trioxide, along with over 50koz of associated gold. Feed requirements need to be sourced from imported concentrates through an agreement signed with Luxembourg-headquartered Traxys Europe SA.
Polyus, the largest gold producer in Russia, began recovering antimony-rich concentrates from its Olimpiada mine in 2018. Production volumes of contained antimony at Olimpiada exceed the processing capacity at OAR—a seemingly ideal fit—but the concentrate was bound for Chinese plants in 2018, with Chinese imports boosted amidst tightening domestic ore supply over the year. Despite importing increasing volumes of antimony concentrates from Russia, only a few Chinese plants have had an appetite for the Olimpiada concentrate, requiring either pre-treatment or feed mixing.
Ideal for SPMP to take advantage of but squandered by sub standard roaster design built by Worley and equipment bought from Chinese manufacturers who are expert in this field.
Something doesn't add up here.
Buy out on the cards ! Anyone else agree?
Maybe in hindsight they should have started with a pilot mini gold and roaster plant as first planned! Whos decision was it to scrap that?!
Another pointless venture for PI`s Sadly happening all too often it seems!
Some may say you take the rough with the smooth but its just never been a level playing field !
USD160 million + required...! How did we get to here?!! Has to be because of Unbelievable incompetence down the engineering and design stage of production somewhere. Within a year they’ve gone from imminent antimony production to total redesign of plant and staggering debt Obligations.
Last paragraph of RNS spells it out below
SPMP’s bank loans
SPMP is currently in technical default of its current banking facility arrangements with Bank Nizwa and Al Aziz Bank as the most recent repayment obligation has not, as yet, been met. The short term funding arrangements referred to above are intended to remedy this default.
As part of the current SPMP facility arrangements, on 15 March 2018 each shareholder in SPMP entered into a conditional completion guarantee (the “Guarantee”) in favour of Bank Nizwa and Al Aziz Bank. Tri-Star’s obligation under the Guarantee amounts to 40% of SPMP’s liabilities outstanding to these two banks, which currently stands at approximately USD30 million (out of a total owed of approximately USD75 million). Tri-Star’s obligations under the Guarantee fall away once commercial production of SPMP’s facility in Oman has been achieved. The board of Tri-Star believes this now to be the position as it has been informed by SPMP that commercial grade antimony has been produced (as announced on 18 November 2019) and commercial grade gold dore has been produced and sold. The Guarantee will be formally discharged once an independent consultant certifies to the banks that commercial production has been successfully started.
Our Debt obligation of USD30 million may fall away once production has been conformed but where does that leave SPMP?
Doesn’t look good from here!
C'mon Wally sort out Worley!
Would be nice to hear what feedstock they’ve secured. Also news on SPMP debt funding.
The Board is also pleased to announce the appointment of Wally Channon as an advisor to the Company. Wally has an MSc in metallurgical engineering and has over 40 years' experience operating and running metal processing plants. Wally's experience includes 25 years at Anglo American and also at Zimbabwe Platinum Mines and Shanta Gold.
Keep producing those ingots!!
SPMP produced first ingot with a gold concentration in excess of 2%, the minimum commercial grade
Focused on ramping up production and building volumes for sale
Shocked and saddened to hear about Wassatt even though I didn't know him.
This board will not be the same without him . Condolences to his family.
Looks like its taken a Wally to sort out a Worley! Other roaster still to be modified so no wonder extra funding needed. Why wasn't this factored into original design? Worley probably wriggled out of their obligations by calling it a "pilot roaster"
Obvious the plant had to be re designed rather than just re lining the roaster! Why hasn't the feed stock been secured in all this time? Costly debt funding needed after a years delay makes me wonder what we are going to be left with . TSTR will not be put upon for any additional funding but what will we have 40% of exactly?
Well I know where there's a job going for an experienced engineering manager with Gold/ Antimony experience to join a well-known commercial metal processing facility in Oman that is currently being commissioned if anyone really wants to know what's going on! Cant be much longer now....
https://www.recruit.net/job/hse-manager_oman_jobs/7A14135BB6C939D3
Gone where? That's the question! Answers on a post card !
I think we can all agree that its frustrating times for all private investors and we all want the best outcome for everyone who are invested here. Just wish the BOD would be more open in what they are doing to resolve their technical issues .I don't think re assurance from them is too much to ask!
I’m no expert but due to the lack of information from the company for so long you start to draw your own conclusions …
(Taken from last RNS) “However, due to a technical issue with the refractory lining it has not been possible to tap metal from the furnace.”
If it was just the refractory lining they could have repaired that in a week. From what I’ve read, if Cracks in the lining of the furnace occur they will fill with liquid metal to give a high conductivity path for leakage of heat from the furnace with the result that if the leak reaches the outer steel shell, that portion of the shell becomes extremely hot, and may be dangerous to touch. If the heat input to the furnace is limited, such leaks sometimes give problems to maintain temperature in the furnace arising in problems tapping metal from the furnace. All in my opinion and guess work of course but they must be doing something to the design along these lines as they seemed so confident with imminent first product before having this setback.
Worley Parsons Oman Engineering are the engineering, procurement and construction management Company in charge of design
https://www.worleyparsons.com/news/2016/04-10-2016
Senior Project Manager for Worley Parsons RSA, Dhirendra Ghoorah added “As a small start-up company, Strategic Precious Metals Processing required a partner to guide them through their first project, and were seeking to improve their business management and technology direction. Worley Parsons had the expertise to fulfil these requirements,”
Let’s hope Mr Ghoorah delivers what he’s said they’d do!
Oh just read the small print.....
Please note: This mini kiln is not recommended for smelting ore concentrates, due to the limited capacity for both cons and refining flux 1 to 3 ratios.
Perhaps they didn't read the small print either!
Granted this furnace is much bigger and hotter.Its also a hell of a lot more expensive!!
Perhaps the plant should start with one of these and then work their way Up! More chance having of imminent end product!
Small Metal Melting Furnace: Beginner Kit
https://www.911metallurgist.com/equipment/metal-melting-furnace-dhkk/