The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
Additionally, the ministry has set itself the goal of addressing the requests for concessions that were pending before the mining registry was closed. The official recorded that in 2018 said registry was closed, but some small, medium and large mining requests remained to be attended to. Regarding medium and large mining, there were 75 pending procedures and of those, 13 have been attended to by 2023, so there are 62 left to attend to.
During this period they want to finish serving them. Regarding small mining, in 2022 37 procedures were attended to and in 2023 64 were attended to and this year a balance will be attended to. In non-metallic mining there were 78 procedures pending attention before the closure of the cadastre and 46 were attended to until December 2023; and during 2024, 32 pending procedures will be attended to. In the artisanal mining category there were 174 before the closure of the registry and 79 have been attended to. The rest will be attended to during the term of the Government.
Another project that is underway is Cascabel, managed by the company Sol Gold. Regarding this concession, the company completed the issue of its pre-contractual phase and is now going to a change of phase. In the next month or two months the project will be signed as such.
The vice minister said that in 2023 mining will generate a tax revenue of $658 million. In addition, mining exports were $3,099.13 million, which was the fourth item for the national economy. This year he would come in third place. He stated that a few days ago, during the PDAC fair in Toronto, Canada, investment intentions for $4,000 million were signed. (YO)
The government of President Daniel Noboa has three mining projects in sight that will advance at a good pace in the coming months. This is the second phase of the Mirador project, in which the pre-contractual negotiations were completed and the previous permits were obtained. This project, which is managed by the Chinese company Ecuacorriente, is the continuation of Mirador and must receive, this week, the fiscal sustainability opinion from the Ministry of Economy and Finance, in order to be able to sign the corresponding addendum in 15 days.
This was announced last Wednesday by the vice minister of Mines, Andrés Delgado, who also described the various projects that are underway. He did so during the rendition of accounts agreed by the Ministry of Energy and Mines.
Another project that is underway is Cascabel, managed by the company Sol Gold. This project presented a few days ago a new version of the study of prefeasibility, in terms of the conditions previously negotiated with the Government of Ecuador in July 2023, which confirms the economic viability for the development and financing of the Cascabel project.
The first phase of investment for the development of the project, of $1,500 million, implies an optimization of more than 40% of resources compared to previous estimates; However, the total investment throughout the project is similar to what was anticipated in the previous prefeasibility study. This approach optimizes project development by gradually expanding operations, efficiently managing costs and minimizing financial risk. It is expected that the project will produce 2.9 million tons of copper, 6.9 million ounces of gold and 22 million ounces of silver during the mine's first 28 years of life. In the next month or two months the project will be signed as such. Thus, the pre-contractual phase ended. It is within a period of six months to sign the mining exploitation contract.
For those of you interested in banning share shorting
https://petition.parliament.uk/petitions/657294/signatures/new
Wise words, rcgl2, wise words.
For those interested in broker estimates, Hannam are going to update theirs after they review the 43-101. This time not with a Jun 2024 time horizon but still it would be nice to see an uptick from the previous 63p forecast.
Volatility can be a b i t c h
He, I have patented some of this stuff 20 years ago, nothing new. The press talk about it now because ESMA made a mistake under MiFID legislation allowing dark trading where it was not supposed to.
When I exchanged emails with Mark Bristow and then I discussed that with Scott, my feeling was that Mark maybe thought I was probing him on behalf of Scott, and while Barrick were in fact considering SOLG, they could not tell and certainly did not want to give SOLG any leverage. But this is all my extrapolation.
And BTW, for the first time since September 2020, the cup and handle that started in August 2011 has finally broken through the levels I was discussing in a much earlier post. Now if the price raise is sustained, we are in uncharted territory and POG might reach 2350, then 2700, then 3700, who can tell....
BBG, good for you, what do you do for a living, if you don't mind my asking?
If you can believe the collective wisdom of markets...
I think it's exactly the way addicknt describes, the Government puts no money but guarantees the framework to attract the actual money from third parties. Which form financing takes and how Solgold benefits is the part that has to be clarified.
GLA
Https://www.moneyhouse.ch/en/company/solgold-finance-ag-19809599031
NM still in play...
About Hannam's 63p target by June 2024, I had some back and forth with them.
Their target and short-term timeline is in fact not based on the expectation of some imminent event acting as catalyst for a rerating, but is still based on the 2022 economics. In their own words: "We maintain our target valuation at GBp 63/sh based on the 2022 PFS and expect to revise our model upon reviewing the new NI 43-101 technical report which is due to be filed before April 1st.”
An even better opportunity to keep it for yourself methink.
Anyone has the full BNAmericas articles?
Yeah, that sounds very enlightened and responsible.....
Elliott is particularly interested in underfinanced assets, I suppose we qualify.
Https://www.investorschronicle.co.uk/news/2024/02/16/struggling-solgold-cuts-cascabel-bill/
Another three highlights form the interview are: 1) financing is difficult but finding a large resource is 10 times more difficult so the large projects eventually get financed; 2) the entire junior sector has gone through a trough in the last couple of years and the next 1-2 should see a recovery and better market sentiment; 3) many projects where Rick Rule invested, that eventually returned multi-baggers, were at 50% loss before that (I suppose this is the "orphan period" we sometimes talk about).
So all in all, we might still have a chance to see some good money here.
GLA