Mining agreement / Financing As mentioned in the August 29 press release, Robex is currently negotiating the mining agreement with the state.
A mining convention is what completes the Mining Code in force in the country, depending on the particularities of the project. It does not contain provisions related to the financial package but rather clauses that influence finance companies, particularly in their ability to intervene in the host country.
Even if the signing of the MINING AGREEMENT precedes the FINANCING CONCLUSION, the influence of the first on the other means that these 2 stages progress in parallel. In other words, the negotiations to conclude the financing are certainly already underway.
The purpose of the agreement is to reconcile the interests of the state and the operator; surrounding populations; depending on the economic reality of the project. Concretely, the mining agreement seals the many provisions to guarantee legal certainty to investors.
The provisions included in a mining agreement can be very varied. In particular, they may include provisions of a tax nature; customs; ownership of permits; state participation; protection against expropriation and/or nationalization; corruption; respect the environment; social impact; … Despite the fact that finance companies do not take part in these negotiations, these provisions are influential because they also have the effect of reducing risk.
In conclusion, the signing of the mining convention is the next step that will be concluded. Then comes the financial package. One step at a time, and always in the right direction.