Metminco Share Discussion Threads

[the stigologist] 26/10/2017 13:49

Sounds like over 10% to me...

The US $60,000,000 credit facility with Orion and LMM has the following key terms:
 A five year term with a principal holiday and capitalized interest for 18 months from the first advance, which
occurred in November 2015;
 Principal repayments commencing in May 2017 in forty-two equal amortization payments;
 Advances bear interest at the higher of LIBOR or 1% +7.5%;
 A Production Payment of US $30 per ounce is payable on the first and only 405,000 ounces of gold produced
over the life of mine for a total payment of US $12,150,000;
 A 2.5% fee on each advance drawdown; and
 Granting of 5,000,000 warrants to Orion to purchase shares of the Company exercisable for a five year term,
which was granted on July 16, 2015 at an exercise price of $0.275.

[the count of monte_cristo] 26/10/2017 13:02

The answer is yes...

[the stigologist] 25/10/2017 14:21

What you need to ask yourself is would you lend a gold mining company £100,000 of your money for only a 5% 'return' ?

Given risks of gold price crashing, geological risk, mining risk, mechanical risk, licence risk, foreign currency risk, inflation risk, tax risks, expropriation risks etc etc

Then ask yourself would any professional risk averse banker lend them that money at just 5%? No way

[christy41] 25/10/2017 12:48

This from Continental Gold,just shows the mineral rich area MNC are operating in.
We have a long way to go but we do now appear to be back on track.

Highlights
•Feasibility Study demonstrates that the Buriticá project will be a lowest quartile cost producer and an economically robust gold mine ◦Base case scenario utilizes a gold price of $1,200/ounce, a silver price of $15/ounce and an exchange rate (US$:COP (Colombian Peso)) of 1:2,850, resulting in the following economics: ◾The after-tax net present value at a 5% discount (“NPV5“) amounts to $0.86 billion;
◾The after-tax Internal Rate of Return (“IRR”) of 31.2%; and
◾Capital payback of 2.3 years;


•Mineral reserves for the combined Yaraguá and Veta Sur vein systems totaling 3.7 million ounces of gold and 10.7 million ounces of silver (13.7 million tonnes grading 8.4 g/t gold and 24.3 g/t silver)
•Mineral Resources: 4.71 million M&I gold (eq) ounces @ 11.4 g/t from 12.89 million tonnes, 4.8 million Inferred gold (eq) ounces @ 9.5 g/t from 15.6 million tonnes
•Significant exploration upside: multi-million ounces of existing Inferred gold from two vein deposits not included in Feasibility Study; both deposits remain open along strike and depth; four new vein systems at drill-ready stage
•Environmental permitting completed: Buriticá is a Project of National Strategic Interest (PINE)
•Vein continuity and robust mineability: pilot-scale mine operating for 23 years; over 10 km of underground development completed; trial mining stopes successfully extracted by long-hole (see May 3, 2016 news release).

[christy41] 25/10/2017 12:20

Plus...
Miraflores also includes the Dosquebradas, Tesorito and Chuscal targets that in total host a NI 43-101 compliant estimated mineral resource of 2.8Moz Au but the Miraflores FS or reserve does not take any of these into account.

[the count of monte_cristo] 25/10/2017 11:57

"The project yields an after-tax net present value of $72.3 million at an 8% discount rate (as per JORC requirements, compared to the 5% discount rate that Canadian juniors typically use) and an internal rate of return of 25%".

[tomboyb] 25/10/2017 07:52

Thanks Count!

Good post -

[the stigologist] 25/10/2017 07:20

I think I called it correctly a week back the results were promising but not stellar owing to the low discount rate used. This is a marginal project. Obviously gold investors who understand leverage and are gold bulls will thus understand why MNC is actually a very 'attractive' option type investment.

[christy41] 25/10/2017 06:29

Excellent post TCMC,perhaps people will start to realise exactly what MNC have got now.

[flavio_monteiro] 25/10/2017 06:25

Charts showing a pendant forming...Continuation of the last move up. All good news.

[the count of monte_cristo] 20/10/2017 12:37

NCCL has risen strongly as news on the funding has progressed

[christy41] 20/10/2017 11:42

Well as a long time(long suffering) shareholder I won't mind the dilution as long as it pushes us further along the development curve. Bones, you're probably correct with regard to share price action.I expect some looking to invest will probably stay on the sidelines until financing resolved.MNC certainly haven't been shouting from the roof tops since the FS came out and are probably more concerned with getting funding resolved and environmental permitting.

An interview that some may find interesting,about 8 mins in-construction decision to first gold pour.

Also worth noting that most analysts think that once gold takes out $1400.00 we enter a new bull market for commodities.(precious metals)

[bones] 20/10/2017 10:57

The FS is old news now. What will drive this on (up or down) is proposals to finance the project and those are ongoing pitches and negotiations, I should think. For shareholders, it is a question of how much dilution will happen?

[chesycustard] 20/10/2017 10:17

What news you expecting next week? Further detail to FS?

[tomboyb] 20/10/2017 09:26

The count -

The share price has consolidated nicely -

Those shareholders wishing to sell have predominantly sold out imo -

News next week should help the share price -

[the count of monte_cristo] 20/10/2017 04:51

Sp up on the ASX currently.

[tomboyb] 19/10/2017 07:40

Guys just want point out some very good posters on this thread -

I don't think the shareprice is close to reflecting what we have here -

Sentiment has been venomous ( for various reasons I cannot argue) but it is a new time for new investors -

[christy41] 19/10/2017 07:35

tomboy,at their height,first gold pour plus.Since then they have had to remodel the mine due to a few issues with ground stability and production temporarily ceased until year end.Its well worth following their progress as its what MNC are trying to replicate.

[tomboyb] 19/10/2017 07:33

Makes us look very much undervalued -

Take a look at Red Eagle and compare -

[the count of monte_cristo] 19/10/2017 07:29

The Ariana project

- Average LoM production of approximately 30,000 ounces of gold per annum over approximately 4 years; potential to increase the resource with drilling. - Miraflores is 9.5 years, producing 50k (with silver credits) p/a

They also only own 50% of this project, Miraflores is 100% owned by MNC.

[tomboyb] 19/10/2017 07:26

Climbing back nicely -

Red Eagle are worth over $200mill are they not?

[the count of monte_cristo] 19/10/2017 07:23

What about Red Eagle Resources, they gave a rate of 5%

[the stigologist] 19/10/2017 07:16

Ariana gave 8% and 10% figures because the economics were so good

Any company which 'self selects' 8% is basically admitting project not good enough and they need to pull wool over investors eyes

hxxps://globenewswire.com/news-release/2016/11/10/888628/0/en/Ariana-Resources-plc-Excellent-results-from-Tavsan-Scoping-Study.html

[the count of monte_cristo] 19/10/2017 07:15

...another example;

Financial Performance
Analyses of before tax cash flows of all the cases returned the results given in Table No.3. A discount rate of 8% was employed in determining the Net Present Value ("NPV") of Case I.