Member Info for mac4671

It's all in RNS, it always has been -

"· Phase One annual metal production has now been calculated to be equal to 128 Koz of palladium equivalent, over 70% higher than the volume projected in the FS. This production volume does not include Monchetundra Flanks and Rosgeo JV projects which will be separately announced"

GLA

If the DFS was rejected after purchase you would be up a certain creek with no paddle, no lawyer in the world would ever advise you to take that path, even more so when large sums of money are potentially changing hands. Lawyers at both sides protect their clients interest throughout the entire process from start to finish.

GLA

" nda id be privy to " - Yes, allowing you to make a non-binding offer, but, you can't make a binding offer until the DFS is confirmed. You have to confirm what you are paying for is there and that you are able to extract it. What if you, as the buyer, bought the asset and the DFS was rejected, come on, think about it.

GLA

We know from the latest RNS that it is a full asset exit, that means the sale of the percentage ownership of the Russian subsidiaries that hold the relevant licenses etc -

"Possible sale of Russian assets

The Company continues to consider options for the sale of all of Eurasia's interests in Russia. These include the West Kytlim operating mine, the Monchetundra Project mining license, the NKT brownfield project, and the entitlement to the Nyud brownfield project."

This contract will have been very difficult to write out legally in an ever evolving geopolitical environment, even for highly experienced lawyers -

"you write the final purchase and sale contracts, including the type of purchase agreement you are entering (i.e., a stock or asset sale"

They will have had no choice other than to wait to see exactly how certain sanctions went, even waiting on the Japanese Sakhalin decision may have been something they've had to consider along this awkward journey.

Straight forward is something that this has all been far from, the advisors, lawyers and M & A experts will have all had to have taken their time here and use all of their knowledge and experience on this one imho!

GLA

We've been at step 8 for a long time i feel, the DFS will be an active part of the contract imho -

"Create purchase and sale contracts. Once you’ve completed due diligence — assuming you haven’t uncovered any major issues — you write the final purchase and sale contracts, including the type of purchase agreement you are entering (i.e., a stock or asset sale). Once all relevant parties sign these contracts, the deal is considered closed."

https://www.smartsheet.com/content/merger-and-acquisition-process

Does anyone have any other suggestions?

It has been a very long wait, but, it's also been an evolving environment that they all had to steer through. There will have been changes and waiting due to the sanctions rhetoric also, something they will all have had to juggle as things went on.

GLA

Looking at that chart, do you sell with a PFS or with the final FS/DFS? Put yourself in the sellers shoes this time, it's quite easy i feel.

GLA

Here, easiest description i've seen. Final FS on chart is the DFS stage, you will see that it also gets Eurasia maximum value if their plan was to always sell the asset before the construction phase begins -

https://twitter.com/Williammcphee27/status/1458838038013005827?s=20

GLA

Don't you think the case holds even more true due to the current geopolitical situation? DFS acceptance to a buyer is also a green light for them to develop the asset, that is of course if it is a buyer from BRIC's from outside of Russia, do you follow?

A Russian one would be perhaps less concerned, but, also want the DFS in place for straight forward development of the asset. Once DFS is there the buyer simply buys and takes it straight to production hassle free, all paperwork is done for them!

GLA

GLA

Geopolitical landscape evolves and so should your thoughts on the situation, be like water.

Again, put yourself in the buyers shoes, what would you personally wait for if you were buying Monchetundra Hudson?

GLA

Non-binding becomes binding on DFS, when they know that they're getting what they're paying for. Put yourself in the buyers shoes, if you are to part with a large sum, do you want to know exactly what is there and if it is financially viable to extract? Of course you do!

AIMHO

GLA

That is all, just wait like the rest of us, it will come in time. Then the buyer knows exactly what is what regarding the Monchetundra asset.

GLA

The bit the nonsense spreaders hate the most, successfully completed transactions, it blows their doom and gloom rhetoric clean out of the water -

"however also notes recent precedent transactions which have successfully completed despite the geopolitical situation."

Poor lil green boxes they are!

GLA

Yes, the RNS is full of great snippets, it makes the asset more desirable to would be suitor. The green hydro power aspect also adds flavour to the mix where other miners have struggled to comprehend how to and where to make changes for less environmental impact.

Mine once with green energy, recycle thereafter. . . . it's the best shot everyone has for making the switch.

GLA

Don't worry though, it is a common mistake -

"Alongside hybrids and battery-electric vehicles (BEVs), hydrogen fuel cell electric vehicles (FCEVs) are set to be an important part of decarbonising transport and getting to net zero – with companies like Hyundai, Toyota and Honda already investing in this technology.

Hydrogen and battery electric vehicles are often seen as separate to each other, but what many people don’t realise is that batteries are vital for FCEVs too.

That’s because FCEVs need batteries to act as a buffer between the fuel cell system and the electric motor. Hydrogen fuel cells are most efficient (and use the least amount of hydrogen) when they run at a constant rate, but vehicles have to be able to vary their speed."

https://amtepower.com/why-batteries-are-powering-the-hydrogen-revolution-too/

Do you see any Japanese car names there?

GLA

G

Wrong, a FCEV is an EV, the battery is used as a buffer to provide a constant and level power source to the electric motor. The fuel cell feeds the battery, the battery then feeds the motor, it simply has a smaller battery.

GLA

. . .based on PPPs . . .

https://timesofindia.indiatimes.com/blogs/economic-policy/how-brics-countries-have-overtaken-the-g7-in-gdp-based-on-ppps/

GLA

Me too DATTABASE1, at DFS acceptance stage the buyer has a 'ready to go' operation, they buy and then send their work force in to bring it to production, as easy as 1,2,3 once DFS is accepted.

Logically, it would be a buyer requirement, they don't want the hassle of all of the paperwork and Eurasia know the Russian system well. Also, the highest sale value for MT comes at DFS stage for Eurasia, well, without taking on what you call the construction risk.

GLA

It's April, the washing will start shortly giving a revenue stream also. Positive day time temps is good for thaw -

https://www.meteoblue.com/en/weather/14-days/kytlym_russia_537392

GLA

Now this is just an opinion, but, sold on DFS acceptance is the most logical route at this stage -

"A final opinion on the DFS, to be provided by Rosnedra, is anticipated in the coming weeks."

GLA

From RNS, to keep it factual -

"· Multiple options for the relaunch have been considered and several case studies have been analysed. A brownfield relaunch like NKT and Nyud is generally a faster and simpler process than a greenfield mine launch.

· The net present value ("NPV") using an 8.33% discount rate for the underground part of the NKT project is $1.2bn under the WAI price forecast and $1.7bn under spot prices. Work on the open pit part is in progress and the NPV of that part will be announced separately."

You then have to bolt on MT value, NKT open pit and now also NYUD!!

GLA