RE:QH on Mill Purchase DetailsWisGuy1 wrote: "It's simple. The fellow at IMC is Chinese. He also has tons of money. He simply needed a deal to cover his costs (he put in A$130M over the past 12 years, $67M last year alone) so he could save face. Otherwise, he was just going to sit on it. Or, try to hire his own team to restart the operation. He is also a gold bug, so the deferred payment was a bone.
If we were to build our own operation of similar size, it was estimated to cost $125-150M and would require 3 years of permitting and construction. We would have also had to carry the company forward for three years without that cash flow.
Gold is +$2000 and heading up. We would like to mine it now!
Doesn't add up. MOY didn't have the water to run the plant. Sure, the corporate leader was going to sit on a $130 million investment forever and his fellow owners were going to go along with that. That's lame.
Novo Stockholders would have been better off waiting for Egina to come on-line. Egina was going to be trial mining with ore sorters bootstrapped into production next year, Right? Produce dore bars in the field, right? Given the snail's history, who believes the "ready for production now" mill will be up and running on schedule?
Hennigh got desperate and threw away a lot of current stockholders equity.