Old Bid Round Monies Refunded... Mostly! I smell litigation*12 Mar 2020 17:27
regarding the previous bid round...
"an official source, who asked to be anonymous, revealed to Ahram Online that the 2017 bid round was cancelled amicably and all sums that had been paid in accordance with the MoUs that had been signed by the winning companies had been refunded, except that of the English company Veritas* Mining Limited, who refused the refund."
Ahram Online contacted Lord Nabil El Nagy, the owner of Veritas Mining Limited, who asserted that he had refused to receive a refurn of the sum he had paid in 2017, which was estimated at $320,000 plus $50,000 as primary insurance.
He added that the EMRA had asked the winning companies to pay such sums within 15 days of announcing the winners, or the companies would be crossed off.
“We fulfilled our commitments, and the government should hand the concessions to the winning companies, as there are no legal causes to prevent that, and we already signed reports on receiving our concessions,” El Nagy added.
The terms for the 2019 bid round are completely different from 2017, as are aligned with the international bidding systems that are applied in all countries that have a gold mining industry, El Nagy said, adding that he is willing to participate in the new tender, but the government must announce clearly the fate of the 2017 round.
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regarding the new bid round...
“The terms will be announced on 15 March, simultaneously with the beginning of the bid, which will close on 15 July,”
The new exploration terms are based on a royalty, rent and tax system, cancelling the production share system.
Based on that, the investor will pay 6 percent of the total value of their agreement as royalties, in addition to the rent of for the block, and a tax. The rent and tax percentage have not been decided yet, the source clarified.
According to EMRA data seen by Ahram Online, three of the winning companies have committed to investing $1.233 billion, and they paid 10 percent of this amount, according to the exploration agreements.
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My Thoughts - I guess it's possible Centamin has already given the EMRA $40 million if they are one of the three above - but this article must be relying on unverified info... so who knows!!
There is more to read
http://english.ahram.org.eg/NewsContentP/3/365053/Business/Egypt%E2%80%99s-gold-mining-industry-Upcoming-exploration-.aspx
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