RE:RE:RE:111 petitories were presented for PLU's 9 concessionsJohnPeru wrote: Juan, these earlier applications on October 1 will be denied. There must be at least 1 hectare per 100 hectares free at the time when the application is submitted for the title process continue. There was not one hectare free on October 1st in the area that Guillermo concessions cover.
The "minimum 1 hectare" requirement is the general rule, but ocacasa 4 belongs to the exceptional case were the 100-hectares square overlaps with an old (PSAD56) concession that has already been expired. In that case the regulation clearly states that the expired area can be petitioned before it has been published as to be retired from the Mining Registry.
But, you're right, in similar cases Ingemmet has made a whimsical interpretation of the regulation (yes, once more), so it will reject Guillermo Guevara's petitories, and said rejection will be conffirmed by the Mining Council (in about one year). But Mr. Guevara will presumably assert his rights going to the Judiciary to get the corresponding Medida Cautelar (restoring the validity of his petitories) and win the judicial process.
JohnPeru wrote: If PLU's strategy is to delay the title process it will be an expensive one. The company has no reveune with most concessions in the penalty phase. 1000 hectare concession will cost $23,000 US per year. 93,000 hectares X $23,000 = US $2.1 million. It will be less now since PLU lost several concessions. Also consider + $500,000 in management salaries. How long can company afford these costs at 25 cents a share?
Remember PLU is a junior company. Most junior companies don't generate revenue, so they fund their operations selling shares to investors who like the potential of their projects. In the specific case of PLU, the amount of money you're mentioning is not that big when compared with the potentail of its lithium and uranium projects. In fact, that amount is fairly small when compared to the other investments PLU has to make to further advance the Falchani project, including pilot plant, PFS, FS and so on.