TSXV:HRE.H - Post by User
Comment by
123buyholdhopeon Aug 08, 2019 7:44pm
146 Views
Post# 30008908
RE:RE:former Kyrg President arrested
RE:RE:former Kyrg President arrested “Whoa... whoa... he's been interrogated for over 6 hours. Wow, the writing is on the wall. Load up, I wonder if new govnt will try to strike a deal with Stan's..maybe give them the mine back.” Anything is possible, but personally I would much prefer a cash award that allows for a special dividend of some value to be paid to shareholders (after all fees, commissions and debts repaid). Remember, we don’t just get a mine/processor back and start it up. It will take $millions to get these projects up and back running. Most importantly, you have to be running for some purpose. To run we need financing and that money comes only after financiers have carefully verified your offtake agreements. This means you have to have offtakes in place for your processed product. That means you have to be able to process to specification for your potential clients. That means you have to run samples to give for analysis to clients. We are talking a long period of negotiation, and verification; look at the time it took Lynas ( and money) to get to full production from the poin ttha tthey started running - years.
Further, don’t look to Russia to take the product. They have their own developing mine and processing + explorations and are getting supply from China (which they appear to be very happy to continue). Also, western clients are unlikely with this potential production being in Kyrgyz and access to new value chains potentially in US, EU and maybe AUS.
All I am saying is that IMO we better hope for a sizable award (whenever it may come) and that it does not contain an obligation to the project at issue.
GLTA
https://twitter.com/EarthsRare