Plateau Energy Metals Inc. PLUUF

RE:950,000 Puno voters into a Poll?

[juanPeru]

Calm down mate. That "NO" that you are so afraid about has always been a possibility even if the consultation in the area of influence resulted in a "YES"; that's something we should have learnt from Santa Ana. If that wasn't the case we wouldn't have a market cap this low; since I began following PLU, back in 2016, it has always been deeply undervalued.

As long as I know by law the consultation involves only communities from the direct area of influence, so Aduviri's proposal isn't possible at this point, and as you noted the same applies about the State (or the Puno Region) having a majority stake in the project. What I find encouraging is the pragmatic approach Aduviri is taking, and in fact I somewhat agree with his point of view. I do think that Falchani resources are just too big to benefit only 1000 peasants and it's also true that the benefits from mining activities in many cases have blurred in short periods of time, partly because the communities didn't know what was the best for them. The thing is that, again by law, tax revenue from the project would go to the whole Region of Puno (and of course to the country) but people there aren't well-informed about this, and thus Aduviri's "bargaining" could  be what is needed to put people in favor of the project. When a project of this magnitude is built it's the norm to create some kind of "trust" that receives a part of the income from the exploitation, and from which social spending is financed.

I'm sure that as the economic potential from Falchani is unveiled in 2019, this bargaining process will intensify. To be honest I can't forecast what will be the final "social agreement" but I like the way it's beginning and the fact that it could include the whole Region, much better than what was the case with Santa Ana.