Member Info for Laverda

PS the incentives in the 2012 code were very good. But breaking the rules means they are repayable.

Remove the repayable benefits and Leo's alleged payment to the government is relatively small.

Fooca what did Leo do? You answered that yourself in a previous post.

Everything is alleged as with everything we are not privvy to the finer detail.

However what we do have are two leo lithium presentations talking about months of early income from ore being sold up until the plant is operating.

What we did not have was the permissions etc for a change of use from the mine, permissions to run ore down highways, and all of the usual stuff. You informed me that they were selling the ore under the ability to move ore samples in the 2012 mining code.

At that time looking at the RNS trail it also appears that the governments free carry share had not been completed.

You may have noticed in your 2012 code the clampdown of over production on a licence with the introduction of a tax, avoided by movement of ore which introduced tightening up again in the 2019 code. The 2019 code appears according to the mining press to have caught out some mining companies moving ore on their 2012 licences.

Again all detail to be released if we ever know it all.

So I think the main reasons will lie there.

A few things on some of the negative comments earlier.

Mining companies or oil companies that kick or rob explorers are dead in the water. That is the reason the likes of BP, Ganfeng don't mistreat them. What was the percentage Bernard gave, over 95% don't get to mining stage. The mining companies don't want to be throwing money into that game.

Then there is the lack of perceived value. Do you see electric cars or lithium batteries in fire sale? Hardly. So Hainan with their processing plant etc are in the money, however they are concerned about high spikes as they could give them problems if they have signed contracts at a price to supply. So we may get a floor price, a guaranteed minimum price for Spodumene if it drops below a certain price in return for a cap. If we get that we will be laughing.

As for the government ripping people off that is crazy talk. The monies being recovered from the gold mining companies is from the earlier government not Goita and I think you will find after Bernard's explanation he will have had reservations about the 2019 code, but he seems to have somehow retained the tax breaks but moved us onto the 2023 code - that sounds like reasonable to me.

In democracies there is no negotiation it is the same for everyone in regulation, legislation and law.

The difference in our percentage is minimal between 2023 and 2019 codes.

We are still not miners untill the payments roll in.

I don't see any bad, nobody bought in high because this company has always been operating at a discount to NAV.

Unlike many of the other shockers out there pulling fantasy figures out of the air.

Much better summary than the one they did for another company:

https://m.miningweekly.com/article/kodal-mali-govt-enter-mou-to-finalise-bougouni-transfer-2024-11-01

Agree Celle, it is also a good opportunity for Hainan to protect themselves from crazy highs too.

I wonder what happens with the government share in those situations?

In fairness Daz, there could not be a buyout before the MOU.

So you have to give people the benefit of the doubt.

The problem with all AIM shares is some investors start counting chickens and think they own a working mine when they do not.

In income all we lose is 49% of the difference between what the government could hold and purchase under the 2019 code

And what they could hold and purchase under the 2023 code.

The so called local content under the 2019 code was bewildering and I challenge anyone to read up on it then tell us what a mining company should do and how much they should spend in this area to comply.

We are an explorer moving to miner. The government gets in on favourable purchase terms which bear no resemblance at all to the value of the share at this stage of construction, so any mathematics from the value they paid would only be carried out by a total numpty.

Barrick gold is negotiating and waiting for their MOU as is B2gold, Ganfeng are waiting to finalise, Kodal and Hainan were first - staggering, I can't believe it, shows the effort they put in to work with the mining office.

Until that mine spins and the payments roll in we are not miners.

But look where we are compared to all of the clowns who used to visit this board. We have the MOU for transfer, we have 10s of millions of dollars in KMUK funding the lithium mining operation, we have over £15m in Kodal plc, plus we have one gold mine close to Maiden and another looking large and extremely promising.

All good really looking forward to a Bernard interview to get the detail.

Mumbo, I think he means KMUK, he doesn't specify the plc.

It really needs Bernard to explain in detail the complexity of the 2019 relative to our two plant plan and his reasons for going forward as they have.

It is also worth underlining that Hainan are going with the MOU and clearly no errors have been made by Kodal Minerals, Bernard or their team as Hainan are accepting the new split after buying in through the JV

Mikb, I don't know the other cases are not sorted yet, we are the first - which I am amazed at.

Ganfeng is soon, surely they will take a position there too?

B2GOLD has an agreement they say, but no MOU.

Well the bashers will move away from it will never happen and change to something else - be prepared.

The government has bought in and taken their maximum position.

Apart from operational delays does anyone seriously think that the government will drag their feet over anything in the future regarding this mine?

They will have 35% of the income.

From a pieces in the jigsaw to production this clears a lot up and enables Bernard to communicate why he chose this path.

It will shut down all the rubbish about codes Junta etc. I am sure it will all relate to the complexity of the 2019 code before the current government.

Roger, we have to pay the second installment and sign before that date.

You are glass half empty!

Elcobble - expecting the detail of the offtake agreement soon. Especially now we have the MOU.

That will provide us, assuming the floor is agreed, an absolute worst case mininum profit, if it has a collar a best case profit for the DMS plant.

If that happens, how many new mining companies have a guaranteed minimum profit?

Re-brokers and mining journalists - I am not surprised as they are so far off the mark with the mining codes it is a disgrace.

All existing issues in Mali are from the 2019 mining code changes as far as I can see and a small number of companies

appearing not to comply with them.

That code had nothing to do with the current government.

It will take Bernard to explain but I think our two plants on the 2019 code could trip us up and we could have ended up also repaying some tax breaks, hence Bernard talking to them about retaining some tax breaks but moving onto the new code.

The press and experts are linking old codes, none tax paying from old codes a new code and new government altogether, really poor for professionals.

The only good sources of information are the companies working for the mining companies in Mali, who release information on their website to get mining companies to pay for their services regarding advice on the mining code etc.

Elcobble, yes I am amazed that we have got this before them, we are a minnow, really pleased.

The relationship between the 2019 and 2012 mining code is really complicated especially with the reclassification of some materials in the 2019 code.

All of the back taxes and payments I have read about are from the 2019 code, only one 2016 which may have been a misprint from 2016.

Bernard will explain I am sure, but I think the complexity is with the two plants that phasing.

We get those tax breaks, but giveaway a payment and they could purchase a larger share.

The 5% local is the same effectively but a payment rather than the ultra complex conditions of the training etc in the 2019 code.

Marvelous I honestly can't believe it. Ganfeng are probably going to be paying 70m dollars and we are before them!!

Ahead of B2Gold and Barrick.

How good is our team.

Hilma, excellent thank you.

Bernard must have a good relationship with the government it shows the quality of his approach and his team fantastic and the detail is good too.

Some other mining companies are creating an absolute nightmare and I am so pleased not to be invested in those companies.

This payment is so small when some of the others have back taxes allegedly as high as 300m dollars to recover, it is excellent.

RNS on Leo site, Ganfeng are due to finalise and pay the government, they too are delayed and they have moved the date from yesterday to the 25th November.

So they are expecting to finalise before the 25th November.

That is another decent payment to the government, the government must be overloaded as I am sure that one would have been on time.

Once Ganfeng, Barrick and B2Gold are completed it may free up that office a bit.

Betty Swallocks now.

Https://www.miningmx.com/news/gold/58813-resolute-warns-of-lower-gold-output-as-rains-pummel-mines/?origin=serp_auto

Kodal did well to keep working during the wet season.