Member Info for jimb2

Looking back at September 17th update, why was the additional requirement for federal, state and municipal clearance not raised then? considering the focus on the requirements, as below:

In early September, the Amapá Project submitted the required environmental studies and application for the LI grant for iron ore port. This application was submitted after those for the mine and railway as SEMA required an extended environmental study. Nevertheless, the application was submitted on schedule.

Our joint venture has continued engaging with SEMA and other relevant authorities, who have indicated that the LI for the rail and mine remain on schedule for the grant this year. Given the impact that the railway's restart will make on local communities, ******the installation license for the railway is anticipated to have some conditions precedent. This is expected in any project of this nature. The Amapá project management team always anticipated this as part of the required licensing requirements to redevelop the Amapá Iron Ore project******

Our understanding from SEMA is that, based on the current timeline, all the LIs will be granted by the end of 2024.

I would hope all holders/victims would want the company to elaborate on this, considering all license applications were said to have been submitted for approval that was expected by year end.

Our joint venture has continued to engage with SEMA and other relevant authorities. SEMA recently requested that the Amapá project obtain standard clearances from federal, state, and municipal authorities for the railway license. These have been submitted, and we are awaiting responses.

We have requested an update regarding the timeline and will inform the market once SEMA has provided guidance.

1) When was recently.

2) Why wasn’t this requested in April and September by SEMA.

3) Why hasn’t Dev obtained the clearance’s

4) What is a clearance.

5) How many ‘clearances’ are required and what’s the processes involved.

6) Are the authorities obliged to provide a clearance – what if they say no?

7) If SEMA has directed the company to obtain ‘clearances’ from authorities at federal, state and municipal levels why would you not be asking those authorities directly for timelines.

@Chris1979,

they did get submitted:

https://valorinternational.globo.com/business/news/2024/04/12/dev-to-invest-320m-in-ferro-amapa-project.ghtml

On Thursday (11), DEV submitted requests to the state’s Secretariat of Environment to reactivate the environmental permits for the mine and the railroad, a prerequisite for commencing the works, scheduled for the second half of the year. These are new studies that update the environmental impact assessment/report (EIA/RIMA) produced in the 2000s.

Reported also a week later:

https://www.lse.co.uk/rns/KDNC/further-progress-at-the-amapa-iron-ore-project-8oaduzygrbta6kf.html

Submission of the Environmental Control Plan - "PCA" (Plano de Controle Ambiental) and an Environmental Control Report - "RCA" (Relatório de Controle Ambiental) submitted ahead of schedule for the Mine and Railway.

· The PCA and RCA are part of the state environmental approval process required to obtain an Installation License ("LI"), which, once granted, allows construction at Amapá to commence.

· The port's environmental licensing is on schedule with the PCA and RCA and is due to be submitted in the third quarter of this year.

WTF is involved in 'clearances from federal, state, and municipal authorities for the railway license'

Https://youtu.be/5DTCChBU_fA?si=xOuTEi6uij_VI5gr&t=690

listen up to 13:00 notice the reaction from the interviewer at 12:22

I'm just astounded that this is only pointed out as a recent request for the railway 180Km long!

Our joint venture has continued to engage with SEMA and other relevant authorities. SEMA recently requested that the Amapá project obtain standard clearances from federal, state, and municipal authorities for the railway license. These have been submitted, and we are awaiting responses. We have requested an update regarding the timeline and will inform the market once SEMA has provided guidance.

Is the mine license conditional on the rail clearance, could that have been granted on time?

Agree @Bannor, @Huinhwa called it bang on - now 500K plus sell's last week must have been due to the expectation the licenses would be granted in the expected timescales, @tomcat-14 as of 17th September was probably outside the 90 days as the RNS said they were submitted earlier in September!!

I cannot see KDNC bringing AMAPA any further, KM salvage what you can - how are the creditors positioned with no shipments?

No I wasn't blinkered @Struv, the subject of stakeholder engagement was covered by KM in one of the interviews and he gave assurance it was not an issue.

It appears they didn't engage with the stakeholders and now I fear the doors will be closed at local level - the board appear to have punched above their weight - gross incompetence.

Dismay,

Yes I know, are you suggesting there's no chance of a JV investment or purchase of KDNC without the DFS?

@Dalasdaz,

Maybe that's something that the bod have planned in, hence the note:

It should be noted that Indo Sino and Cadence have managed this PFS, and it represents an update to the PFS published on AIM: 3 January 2023 and the revised PFS published on AIM: 9 July 2024. In particular, this updated PFS has been prepared to reflect the 67.5% Fe concentrate flow sheet.

They might have other offers that would me a complete new parties!

@dallasdaz,

and on that note....how do you know your imaginary someone...wants us to fail...we can't support amapa forever...and they buy it for pennies as in yangibana.

that's also something that has been churning in my mind for sometime, i would hope the bod have built in contingencies and kept to any agreements on timescales, it was the main reason i was ****ed off with the percentage increase through the cash raise in march until it was said that was to keep up their investment commitment, it still is a bitter memory.

@Dallasdaz,

do you have a mirror on the inside of your tailgate so you can see where your heading ;-)

Well from March to date the tick boxes are being completed, plan A is in place, 80% debt finance under the MOU and both debt and equity interested parties are conscious of the position with the DFS - the substantial increase in the NPV due to the 67% ore should cover any shortfall between the PFS's and actual realised costings and IRR now 3 years instead of 4.

From anyone looking to fund through a JV or purchase things have improved, the only negative thing is the likelihood the US will be off bounds due to BRICS and Trump's tariffs so if any deal hinged on that then that could be an issue.

If all else falls into place!

Well @Huinhea that's what I would do if I had your doubts, fair play for showing your hand.

I also have that uncertainty with all going to plan with permits and government, but both Dev and Cadence express the cooperation from the state.

Still there's risk!

@Huinhwa

The message from KM was they are laser focused on meeting all targets by year end, that's all I can be sure of and the financing is one of those.

There can be no certainty that will be achieved but the project is now considerably more de-risked with the other targets being hit. They have 80% debt finance through Sino.

It's only 9:40 AM in Amapa, still time for news, nothing is certain.

Yes typically 90 days is used instead of 3 calendar months, if they meant 90 business days excluding weekends and bank holidays that would be January 25th 2025:

If they used business days that would cover 129 calendar days – 39 days skipped:

Excluded 18 Saturdays

Excluded 18 Sundays

Excluded 3 holidays:

Christmas Day (Wednesday, 25 December 2024)

Boxing Day (Thursday, 26 December 2024)

New Year's Day (Wednesday, 1 January 2025)

I think its reasonable to expect news this week.

@tomcat-14, should be this week if the 90 day commitment still applies!

April 18th RNS

The PCA and RCA for the mine and railway were submitted to SEMA last week. SEMA will now review the application. The RCA and PCA for the wholly-owned port continue progressing, with the final reports due for submission in the third quarter of this year. Our understanding from SEMA is that based on the current timeline, the LI will be granted by the end of 2024. The LI allows the rehabilitation and construction of the Amapá Project, and once this is completed, the LO is granted, and mining operations can commence.

April 12th from Dev commenting on the same

https://valorinternational.globo.com/business/news/2024/04/12/dev-to-invest-320m-in-ferro-amapa-project.ghtml

“We decided to request the reactivation of the permits immediately for the sake of agility,” she said. According to Ms. Dalseco, the government of Amapá has committed to deliver the permits within 90 days. “The project already existed. This stage of licensing was a means of knowing what the current conditions are,” she added.

Update 17th September:

As all permits/licensing are submitted as of 17th Septembers RNS is it reasonable to expect the 90 days applies?

In early September, the Amapá Project submitted the required environmental studies and application for the LI grant for iron ore port. This application was submitted after those for the mine and railway as SEMA required an extended environmental study. Nevertheless, the application was submitted on schedule.

Our joint venture has continued engaging with SEMA and other relevant authorities, who have indicated that the LI for the rail and mine remain on schedule for the grant this year. Given the impact that the railway's restart will make on local communities, the installation license for the railway is anticipated to have some conditions precedent. This is expected in any project of this nature. The Amapá project management team always anticipated this as part of the required licensing requirements to redevelop the Amapá Iron Ore project.

Our understanding from SEMA is that, based on the current timeline, all the LIs will be granted by the end of 2024.

Sorry @tomcat-14, nothing I have at hand on that.

GL