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Karora Resources Inc T.KRR

Alternate Symbol(s):  KRRGF

Karora Resources Inc. is a Canada-based multi-asset mineral resource company. The Company’s portfolio includes the Beta Hunt Underground Mine, Higginsville Gold Operations and Lakewood Mill. It owns 100% of Beta Hunt, a gold-producing mine located approximately 600 kilometers from Perth in Kambalda, Western Australia. It owns and operates HGO, which is located approximately 75 kilometers south of the Beta Hunt Mine in Higginsville, Western Australia. HGO has a mineral gold resource and reserve and prospective land package totaling approximately 1,900 square kilometers. The operation includes a 1.6 million tons per annum (Mtpa) processing plant, 192 mining tenements, including the Aquarius, Hidden Secret, Mousehollow, Two Boys, Baloo, Pioneer, Fairplay North, Mitchell, Wills, Challenge and Mount Henry deposits. The Lakewood Gold Mill is located just outside Kalgoorlie, Western Australia and approximately 60 kilometers from the Beta Hunt Mine, has a processing capacity of 1.0 Mtpa.


TSX:KRR - Post by User

Post by Farquaron Aug 12, 2021 10:36am
455 Views
Post# 33691320

Some perspective on Dumont sale

Some perspective on Dumont saleSo waterton wants to sell the dumont nickel deposit for up to 1 billion $cdn...Good luck with that...lol In 2017 they purchased half of dumont for only 22.5 million cdn from RNX, which valued the deposit at only 45 million$. Nobody is going to give a hedge fund 1 billion for a nickel deposit that they have no idea or expertise to mine, that they paid only 45 million for. Waterton are not miners, so have no bargaining leverage. BHP just purchased Noront for 350 million cdn. Do you think BHP or somebody like that is going to pay 1 billion for Dumont? haha..No way... I am not sure but I think Noront has alot more nickel than Dumont has.. Now, if Dumont gets sold , karora will get 15% of the net sale price for a maximum of about 40 million $ cdn..The sweet spot for Krr is if Dumont sells for about 270 million$ ( 15% of 270 million = 40.5 million)...Now if Krr finally gets that 40 million payment , say in the next 6 months, then the total deal will have netted them about 55 million dollars if you factor in the original 11 million payment + subsequent savings on maintenance costs etc . ..So, after reviewing the situation, I think Krr will be vindicated in having sold their stake in Dumont....If and when they get that 40 million$ , it's going to really boost Krr's financial health and again improve Krr's optionalities...
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