Fabled Silver Gold Corp T.FCO

RE: Bankable feasibility

[pcnisbet]

EhYou Nice paper. It deals with the vestment conditions which many juniors require in coming to terms for time of payment from the operating partner. As the lower of the two ones I posted, the requirement for a banking institution or other lender to consider something a "bankable" anything will happen on audit, just as this particular paper suggests. But nobody is going to audit a pre-feasibility and nobody is going to consider a feasibility final until its permits are issued and their weight can be added to insure that the study falls within the certainty criteria for an FFS. Rio's statements have claimed that FCO has to provide an FFS prior to getting a permit or completing the EIS process. Though they definately need to have a mine plan and to have moved to levels of data required for pre-feasibility, the kinds of economic analysis in a FFS is not required by the government, nor can it really be preformed without knowing what the environmental terms and conditions of the operation are to be. Why would you go to the expense of an FFS if the Feds were going to require alternate locations for you tailings or a different location for your portal or a larger water tresatment plant or a host of other environmental requirements that wold radically change the expenses of your operation?