Post by
mdjbrown on Apr 01, 2022 10:27am
Anyone?
Could someone please explain why a company that has not broke ground on phase 1 of the project would be responsible for providing funding to settle a decommissioning liability, when according to a March 27, 2018 press release the test site has already been "largely decommissioned"?
How is a liability amount of $1.7 million calculated on a project that does not currently have an updated Tech Report and what is the relevance in providing any funding to this liability now?
“The Company also expects to provide funding to settle the decommissioning liability’
“The undiscounted amount of estimated costs required to settle the obligations at December 31, 2021 is $1,730,000 (2020 - $1,730,000) which are expected to be incurred in 2038.”
DECOMMISSIONING PROVISIONS Amounts are recorded for decommissioning provisions that will be incurred by the Company at the end of the operating life of the facilities and properties, and upon retirement of its mining assets.
In looking at decommissioning provisions for provincial peers including Western Resources, Gensource, and Encanto, none of these start ups include these massive decommissioning amounts