The Globex Yamana Dealin addition to the material amounts to be paid by Yamana, of note were some of the statements made by Yamana in their description of the transaction:
- Yamana has a Feasibility Study already done on the adacent property (2018);
- Since that time, they have made material improvements which enhance the economics;
- It will announce by way of an update a Revised Feasibility; and
- It will announce a decision to bring its project into production.
- The revised figures should reduce Yamana's all in sustaining costs.
These 4 points are independent of the Globex transaction. My read is that these points are significant for Globex:
a) Yamana does not "need" the Globex property to make a production decision at Wasamac;
b) Production can be achieved without having to wait for Globex new results or even compiling and incorporating the historical data;
c) the cost of developing a resource on the Globex ground should go down significantly with adjacent production;
d) the timeline to possible production is reduced; and
finally e) the probability of the Globex royalty coming to fruition is increased and accelerated.
Well done Jack!