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From RNS 30/11/2020
“ Scheduled quarterly repayments of the loan(s) will occur once production commences at Havieron with repayments comprising 80% of quarterly "Net Proceeds" (revenue from sale of Greatland's share of JV product less statutory royalties, royalties payable under the JV ILUA, all charges paid by Greatland under the Tolling Agreement with Newcrest, and Greatland's share of Joint Venture operating expenditure for that quarter).”
There’s also the loan to GGP, from Newcrest at the time, to develop Havieron. My understanding and recollection of this was that we were told that the loan did not have to be paid until Havieron was in production.
As barna says “Who is holding all the aces?”
GLA
I don’t know all the ins and outs of it but I’m hoping that the whole JV set up with Havieron and to some extent Telfer is a big enough legal and corporate hurdle to put off many other bidders. From the seller and buyers point of view.
Hopefully making a potential sale to GGP a far more straightforward and therefore quicker solution.
GLA
Lol indeed! Someone mentioned April Fools Day before about something else. I did check the date on the article when I read Hyperion. You gotta laugh.
Every cloud….
I can’t remember Gervaise’s words exactly at the time so I’m paraphrasing but it was along the lines of….no matter, we’ve got something else that we’re very keen to jump straight on to.
I do remember he said it with great conviction though.It definitely got my attention thankfully.
And the rest as they say is history.
GLA
Brings back great memories, topping up my GGP holding in my SIPP at well under 1p. Thanks Newmont 😀
What would be a bad outcome for Newmont is if there turned out to be no willing and capable buyer for Telfer/Havieron after announcing they wished to divest, it would be a little embarrassing and damaging. So you’d imagine before announcing something like that they would have done some serious “preparing” beforehand to ensure they didn’t end up with egg on their face. It’s not just being sure that a party might want to buy them but being confident that the counterparty can deliver and at a price agreeable to both sides before committing to putting them up for sale.
I think there was at least one article detailing the “courting” phase before Newmont went public regarding the takeover of Newcrest.
Bit of luck this might not take too long to start revealing the final chapter.
Aye.
I bet they’ve not been just sat on their hands like me for the last how many months.😃
This is what they thrive on.
Https://greatlandgold.com/about-us/team/
If this lot can’t sort out the successful purchase,financing and subsequent operating of Telfer/Havieron then there’s not much hope for anyone else.This is what they do.
Unimaginative “Anyone who thinks a business like Newmont will be giving away something cheap are foolish.”
FWIW I don’t think they paid a lot for Telfer/Havieron in amongst the other Newcrest assets they took over anyway. So I think there’s a bargain to be had for the right counterparty who is well prepared to act quickly.If they get more than the value they attributed to it in the takeover then that’s good business to them.
BOCGOF
Buy one cheap get one free
As part of Newmont’s portfolio optimization, the company is seeking to divest six non-core assets: Akyem, CC&V, Éléonore, Porcupine, Musselwhite, and Telfer. In addition, Newmont expects to divest the Coffee project in Canada and the Havieron project in Australia.
So Newmont were looking to make 2 billion US$ from divestment.
There’s a fair bit in that list as well as Telfer and Havieron to make up 2 billion and they only own 70% of Havieron.
GLA
If Greatland were to acquire Telfer, then it greatly reduces the size required to be economical of any find they may make (and own 100%) in the locality. Or increases the profitability of it if it was commercially viable anyway.
GLA
Telfer WEst Australia Locality Tolling Hub
Greatland Wealth
All good
Won’t be attending in person but will put the question forward online if that option is available, usually is.
To my uneducated mind there does seem to be some good historical results from these tenements.
“gold nuggets were found in thin sand cover at Saddle Reefs.”
I wonder what’s been happening, if anything,with the Juri JV.
Have any of the satellite snoopers spotted anything going on?
Stage 1: Newcrest must spend A$3 million in relation to the Juri Tenements within 24 months of entering into the Juri Farm-In and Joint Venture Agreement to earn an additional 26% interest in the Juri Tenements (cumulative 51% interest); and
Stage 2: Newcrest must spend an additional A$17 million in relation to the Juri Tenements within 36 months of completing Stage 1 to earn an additional 24% interest in the Juri Tenements (cumulative 75% interest).
Following completion of Stage 1 on 20 August 2021, Newcrest exercised its right to increase its interest in the Juri Tenements to 51% (the remaining 49% to be held by Greatland) and elected to proceed to Stage 2 on 18 October 2021. Newcrest was appointed as the Juri JV Manager with effect from 1 July 2023.
So by October 2024 Newcrest/Newmont must have spent an aggregate of A$20 million to move to 75% or I assume they just stop at 51% ownership, if they have not met that commitment?
I’m hoping that the average decline advancement rates achieved so far have a good chance of being improved for the last section of the decline.The average rates so far have been skewed by at least 2 main factors:
1.We have been told that the first section of the decline was the least favourable ground conditions and from then on would only improve.Obviously we are now well and truly through this section.
2.The decline has had to pass through the upper and middle aquifers. Again this impacts on progress and we have also been told that the lower aquifer is being dealt with in the same way as the previous ones. This could mean but I don’t know for sure that there may have also been down time in that period, as there is at present, waiting for the aquifers to be dealt with. This would have had a further negative impact on the average advancement rates so far.
So the final section is not going to be subject to these factors as they are all already dealt with.To use an analogy it’s a bit like working out an average speed for an athlete running a cross country course into a headwind and then expecting their speed to be the same when they tackle an indoor purpose built running track.Not saying that it’s a given that the rest will be easy but it seems to me that the final section is massively derisked and with less headwind.
Good luck all.
Must be really painful if you know someone who is dead stupid.😀
Nice to see gold price back over 2000USD after it’s very short trip down South.
I note from the latest presentation that it states
“Ventilation in place to support development to the base of Permian cover.”
Good news that the ventilation won’t be holding anything up.