MISC INFOI had the opportunity to speak with Daniel Major yesterday to ask him about various aspects of EC. Everything seemed really positive. Here's some quick highlights:
- Condor is delayed due to buyer's financing but he is confident it will close in the next few weeks. Unless the financing never goes through, this deal will close. (the buyer changed financing companies, causing a delay)
- Also talked about the value for Condor - responded that $9Mil cash is good for shareholders. Although there is a reasonable deposit of gold, it's extraction cost is very high due to depths and grade. He said it may cost shareholders $50Mil to get the gold. He decided no risk and getting liquid cash to focus on all other projects is a benefit to us.
- Manganese - anticipates 2nd quarter timing for moving stockpiles.Waiting on permit, but at this point it's a matter of when, not if.Also plans to contract out a beneficiation plant to convert rawmanganese to higher grade (45% rather than 30%). Three benefits -higher demand for higher grade, better profit per weight, less weightto move per same amount of manganese lowering operating costs. Projectwill have about a 5 year lifespan of cash flow (which is why they're contracting the plant out vs building and operating by EC).
- 1st & 2nd hole lab results - will be released together, should be about 2 more weeks.
- 1st hole - was exactly what they were hoping to see, and very pleased with results
- 2nd hole - geologists extremely confident in positive findings, due to "significant" elements and systems found which would induce gold. Sorry, I'm not a geologist, but basically he was extremely positive on this angle.
-3rd hole - I'm pretty sure he said they would get started in the next few days. Should take 3 weeks to drill. He said they will probably release a complete preliminary results (as with the first two) on each hole as long as there is something new to report.
I forgot to ask whether or not the drill program will get extended beyond 2000m (it's current allocation) but in my opinion it's a no brainer to assume they will do so with the closing of Condor. Also forgot to ask why a delay in moving from hole 2 to 3. If I misunderstood, then we should get a technical report on hole three in around two weeks as well.
Petesky.
PS. I was extremely impressed that Daniel took the time to call me in response to some questions I emailed to him. We spent approx. 40 minutes on the phone, and I have bought more shares since the conversation.