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Steppe Gold Ltd T.STGO

Alternate Symbol(s):  STPGF

Steppe Gold Ltd is a Mongolia-focused precious metals company. The Company is focused on operating, developing, exploring and acquiring precious metal projects in Mongolia and Peru. Its projects include Altan Tsagaan Ovoo (ATO) gold and silver project, Mungu Project, and Uudam Khundii UK Project. The ATO Project is located in the territory of Tsagaan Ovoo soum of Dornod province in eastern Mongolia and is comprised of one mining license covering an area of 5492 hectares. The Mungu gold and silver discovery is located northeast of the ATO Project. It is a structurally controlled epithermal gold-silver system with localized bonanza grades. The Uudam Khundii property is comprised of one exploration license covering 14,397 hectares. The project area is located 800 km south-west of Ulaanbaatar. The property is located between and adjoining the Bayan Khundii gold discovery and Altan Nar epithermal gold deposits explored by Erdene Resource Development Corporation.


TSX:STGO - Post by User

Post by Jack79on Jun 07, 2021 10:23am
179 Views
Post# 33339646

What is a "Gold collateralized loan"? Any idea?

What is a "Gold collateralized loan"? Any idea?If its gold "Off-take" contract with TDBM, then at what price they selling a gold?.....Let's explore: 

1. https://news.mn/en/792384/   .... "Steppe was congratulated in a joint statement on reaching the milestone by the Ministry of Mining and Heavy Industry and the country’s Central Bank...",..... but from Q1 interim financial statement, page 7 ..."..The dore bars are analysed by the MASM which determines the gold and silver content to be sold to the customer, usually a commercial bank in Mongolia"......STGO really selling gold not to Central bank of Mongolia

2. https://www.tdbm.mn/en/36/c   ....  Gold collateralized loan. Collateral: Physical gold, Gold price: Will be calculated by exchange rate of TDB at the moment.

3. Different gold prices as of 4th June'21......https://www.tdbm.mn/en/exchange?dt=2021%2F06%2F04      .... TDBM gold spot at  MNT 170,895.24 per gram eq. to $1,699 per oz. ..... BoM (central bank) spot at MNT 173,449.14 per gram eq. to $1,725 per oz. .......gold spot at https://www.gold.org/goldhub/data/gold-prices ..... closed $1,871 per oz as of 3rd Jun'21

Different gold spots, different forex.....no data about how STGO recognizing sales prices except below notes.....

From Q1 MD&A: "...Revenue for the three months ended March 31, 2021 was $1,634 on sales of 945 gold ounces and 861 silver ounces with average realized prices per ounce of $1,938 and $26 respectively..." 
Interim financial statement: "...On September 18, 2020, .. Under the terms of the loan, the Company is required to sell all of gold produced throughout the financing period to TDB and..."

Interesting, any idea on that?






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