'mixed several things up' - lol, hey doesn't Life itself do that, contrive to connect everything to everything else ... think maybe the process of analysing what's up with this company and its woeful shareprice would certainly touch on the mining agreement and its related politics, the relative degrees of management competence and energy, past present and future, along with a number of other facets, including, but not limited to, attempts at reassessment of management's dedication to the wellbeing of its shareholders ... depends on how far you want to go, everybody gets to decide for their ownselves
The central question as i see it, is as in my post -
'the central question,
of whether the wait for a mining agreement is good reason for the company to proceed as it is,
or whether the political situation is being used as excuse for slack-ass and/or bumbling management'
It would be for you to lay out your central question, should it differ from mine, and supply your own answer as well, if you like ... my answer to mine, is that the wait forced by the political situation is good reason for the company to proceed as it is ... with some caveats of course, which is where the shades of grey come in, but basically imho they should just keep on developing, setting up better and better for the future when the royalties/regs situation gets clarified, and refrain from turning a fat positive cash-flow in the meantime, because doing so could inspire even stronger greed from the local powers that be
Of course it is all speculation, opinions, no one has suggested otherwise ... it seems we have a difference of opinions on some things, hardly surprising given the topic, and like i say above, it doesn't bother me in the least, hope it doesn't bother you, but if it does, too bad
What would official declaration of commercial production matter anyway, in the real world ... as things stand the sunk capex of mine and mill construction is being pared back, albeit slowly since they're expensing lots of development with higher costs and presumably lower grades, still it is being pared back, and a dollar there does holders as much good as a dollar on the bottom line, actually far more good under the present no-agreement situation imho
Makes a difference to accountants, who presumably enter figures into different columns, and exchange addition for subtraction, and vice versa ... almost certainly makes a difference to tax treatment - to know how, and how much, you'd have to know tax law of the locale ... but in real life terms, it don't matter a whit to company prospects when they do this, the lack of a mining agreement overrides everything, imho
Maybe they will declare c.p., there could be a reason of which we are not aware, perhaps some time limit to do with claims tenure, who knows ... but i promise you, i will not give a damn as to the exact date they do so, it's not what is important
What's most important is to nail down tax/royalty/regulation structure for as long a period as possible, so as to get on with the main job of operating a mining company, instead of just developing it while marking time under this nebulous never-never bullshit |
