RE:White Knight????A white knight is certainly possible but it is not a scenario I would be banking on. Nor am I enthusiastic about expansion of the 3+ million of mineable ouces. I doubt there will be a bonanza in the government decision that will benefit EOM. I hope I am wrong on that but expecting too much just muddies the waters.
I am surprised there was not more reaction to sailor8's post regarding the new mining policy issued by the government. I was impressed by the detail and clarity. I have considerable experience working with the IMF and World Bank in developing countries. The World Bank does not hand out $675 million without commitments by the government which must enter into a Structural Adjustment Program. This involves eliminating subsidies, new taxes, and economic reform through streamlined procedures and methods to counter corruption. In meetings I attended I was very surprised how aggressive these UN bodies are in their demands for reforms before dispensing funds.
I have no personal knowledge, but I do not think the new mining policy came out of thin air. It is too well written. My guess is that it is part of the economic reform package. The timing of the loan announcement coincided with the release of the new mining policy.
The World Bank is simply a bank, they want their money back. That includes the $30 million investment in EOM that was given at a time that Colombia was one of the darlings of the WB for investment. Times have changed but they still want their money back.
The Paramo coordinates have been discredited and the government is under extreme pressure from miners, mayors and others as well. Continuing this Paramo fiasco will jeopardize the release of WB funds. They do not simply write you a cheque, it is tied to performance and commitments and is doled out at intervals. Continuation of the arbitration process could jeopardize or delay at least part of this program.
Before the Constitutional Court ruling we were under control and approved for operation. EOM had a timeline of the second quarter to develop a mine plan, plus a third quarter target for the PFS. It is not a quantum leap to remove the restriction on EOM imposed by the court decision. In a nutshell I am happy with access to the 3+ million ounces where we were four months ago. Anything above that is gravy!