Member Info for HereforHemo

Eloro I should have said 19th.

the only thing of importance now is the loan expiration on the 15th. the short deadline was set for a reason, and that reason must include cash coming into solg to allow them to recommence exploration and drilling for the next 2/3 years, whilst also allowing them to fully derisk cascabel. plus you have the 'substantial' portion of the initial $1.4bn, so this financial agreement is going to be big.

so big in fact you have to think our three tier 1 major shareholders are not going to like it at all, if they have any interest in acquiring cascabel that is.

it could be a master stroke to force them into action.

the good thing is we'll know in a couple of weeks. the bad thing is the market doesn't seem to give a **** and the company continues to be a traders paradise. will it ever change? you would think it has to with tangible news, but then again..

Pulling out of Hannam at the last minute for something that has been arranged for months?

There was no need for him to do that for the Franco deal so one can assume something big is about to happen.

Exciting times.

Hannam are a highly regarded investment bank specialising in mergers and acquisitions and have acted for amongst others BHP in transformational transactions.

Whilst I expected confirmation about the royalty deal today, I'm more excited about why we haven't.

Majors been spooked into action??

BHP 200bn Mcap

1984 one could ask if you think a $1bn finance deal on a $220bn asset would scupper a deal from a company with a $200m Mcap...perhaps you shouldn't invest in any junior miners?

Bozi the royalty deal is not about who it alienates, its about providing value to SOLG shareholders, of which various majors hold, and most importantly with a major royalty deal providing beyond doubt Cascabel is a Tier 1 asset and a premier investment opportunity.

Who builds it remains to be seen. Most probably the ones with the biggest pockets.

Bozi it's anyone's guess what 'a significant portion' of $1.4bn is as eluded to in the RNS.

All being well we could find out tomorrow morning or even after hours tonight.

Ps I've always said £1 for my golden tickets.

With Scott coming over to Hannam in London my guess is we'll be getting an RNS tomorrow morning announcing a very big royalty deal with Franco-Nevada which will include working capital.

It'll be conditional on permits so the clocks ticking for any major interested.

Gaz if needed i think Franco could take this all the way, thats what will scare the majors into action. https://youtu.be/U4RSA-c59_Y

Fort personally I'm not bothered about the 10m, I'm only concerned about what comes next.

With SOLG getting a figure that 'substantially' covers the initial $1.4bn capital required and Franco-Nevada getting a royalty deal for Cascabel, as i understand royalties any extention above the initial 28 years would be pure profit, and as its likely it could run for 80-100 years, its the ultimate win-win scenario for both parties. Certainly something for any major to consider as I consider Franco a major in their own right, although obviously not a BHP lol.

HFM they'll sign the IPA with the government in Equador next.

HFM the 10m loan is not important in itself. What is important (although Franco-Nevada and SOLG have been forced to announce who it was from) is that Franco-Nevada wanted to keep it confidential, which strongly suggests they're behind the royalty discussions. What's also of huge importance is that SOLG have stated 'it will be a significant portion of the initial capital costs' because they are $1.4bn, again implying the royalty could well be a billion dollar deal. NO major will want that amount flowing out of Cascabel.

The financing is and always has been a catalyst to force the majors to act. Their preferred option is to sell Cascabel.

One thing i have posted on is my confidence of a major royalty deal being agreed with Franco-Nevada. I have also stated this may well form the basis to partly fund a bid for Cascabel if not for SOLG itself, something that Franco-Nevada have done before.

My belief is that if a bid is indeed forthcoming, and the extension of negotiations would suggest it might be, that the expectation it would be at a substantial premium.

Three weeks to find out.

Agreed. Thought he was particularly disparaging to LSE posters.

An interesting partner of Franco-Nevada

https://youtu.be/U4RSA-c59_Y

Jack, perhaps you and your mate HubrisHunter owe certain people an apology?

RE: Environmental permits23 Jun 2024 11:34

So what do I think it will be? Well it won't be an offtake as that would have been concluded by now, and wouldn't provide the cash required by SOLG to do what they now want to do, that is to drill and progress other prospects whilst continuing to derisk Cascabel.

In my view it'll be a gold royalty agreement and the comments from the RNS stating it'll cover 'a significant portion of the initial capital development' ($1.4bn) and 'highlighting it as a Tier 1 asset and a premier investment opportunity', I believe we are looking at an initial finance royalty deal of $1bn. This will mean it will be one of the worlds top three royalty companies, two of which (Franco-Nevada and Wheaton Precious Metals) have completed deals in Ecuador but only one has dealt with SOLG and has the financial clout to conclude such a deal, and that's Franco-Nevada. That's who I think has arranged the bridging loan and that's who I think will conclude the royalty deal.

I would think they would try to get the financial news out by Wednesday. As I've said before I cannot see why Scott would fly all the way to London to present to high net worth investors without having anything new to present. If its not this week I think it'll be soon.

Shame people didn't read my post from the weekend..

In my view it'll be a gold royalty agreement and the comments from the RNS stating it'll cover 'a significant portion of the initial capital development' ($1.4bn) and 'highlighting it as a Tier 1 asset and a premier investment opportunity', I believe we are looking at an initial finance royalty deal of $1bn. This will mean it will be one of the worlds top three royalty companies, two of which (Franco-Nevada and Wheaton Precious Metals) have completed deals in Ecuador but only one has dealt with SOLG and has tge financial clout to conclude such a deal, and that's Franco-Nevada. That's who I think has arranged the bridging loan and that's who I think will conclude the royalty deal. So what will a $1bn royalty on Cascabel do:

• previous deals has led to an immediate SP increase of over 100%.

• it will prove beyond doubt Cascabel is Tier 1.

• it will provide cash to SOLG well into 2027 that is NOT tied to Cascabel allowing them to drill and explore their other tenaments, providing further value to the SP.

• most importantly, potential suitors could use the royalty to partly fund a bid or be wary of the royalty and have to submit a bid before permits are concluded.