OREA - Questions for French to Ponder Interesting that Reunion with projects in French Guiana is now progressing towards acquiring a gold project in Suriname. Also, OREA with its potential mine (45%) in FG is now looking to acquire an advanced gold project outside FG. The French need to be very careful with their response to permitting Montagne d’or. Yes, they must placate the green lobby by at least demanding the most advanced rainforest gold mine yet to be built. However, to say no to the NG permit will, IMHO, see all the small gold explorers (including backing from IAG, NG, Barrick and Newmont) flee FG, with all that means for the FG economy (re., tax and employment etc).
Remember, IAG lost its Camp Caiman mine claim some years ago to a late arriving FG zoning issue, along with at least $50 + mills. NG will lose $40-50 million and OREA $10 mill + should this new permit be denied. Hence, you can kiss good bye IMO, to any further exploration investment in FG. There’s another major issue for the French to also ponder should this negative situation occur within FG. Imagine these gold explorers up and leave their claims. Do you think that illegal mining will go down in FG, or will the illegals flood all the now unattended exploration sites? Hence, a double negative whammy for FG in terms of both the lost taxes and employment opportunities, and then a major uptick in the destruction of their rainforest via illegal mining; already a problem in FG, which even the French Foreign Legion is struggling to combat.
IMHO, this is why we will see a mine permit for NG/OREA in FG, maybe within the next 12 months. If the gold price holds or goes to new highs (based on global events), OREA investors will see a significant revaluation of their stock via the news and the now confirmed 45% 1.25 mill oz P&P. On-going mine build out news will only add to the sp momentum.
However, a no as a permit decision and OREA better already have a major new focus outside FG. Obviously, a biased holder’s opinion.
GLTA -
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