AVZ Map, page-23

First 23 Last

Share
Profile

Follow
happyonlithium

2,180 Posts.

1

02/03/17

11:16

Post #: 23039261
Share

Originally posted by ConcerndCitizen ↑

This is the most logical answer to why the 10% (or 19%) partner is putting up the bulk of the money to make this project feasible - rebuilding roads, a power plant and airport. China get a stake in a potentially billion+ dollar mine; they already have a pre-existing agreement with DRC to spend billions on infrastructure; these improvements will make possible other potential mining projects in the region, that they could also have a stake in; the resource will likely end up in China, where it is most required (see below); but ultimately, they will be the eventual owners of the mine itself.

View attachment 486134
This is an old chart (the only one I could find), but note that while China had the most capacity, they were actually the 4th biggest producer. I expect things were different in 2016.

One concern I have, which I think this was pointed out once already, but ignored - the wording of: "Separate to this agreement, Dathomir and Cominiere have agreed that Dathomir will facilitate the rehabilitation of the road from Lubumbashi to Manono and the Mpiana Mwanga hydroelectric power station." - it does not explicitly say that China will foot the bill.

Expand

I've spoken to Gary at AVZ about this and he explicitly made it clear that 'facilitate' means 'they are paying'.
I said it wasn't clear as well but he assured me that this is the case.
;D

AVZ Price at posting: 2.8¢ Sentiment: Buy Disclosure: Held
8 Upvote

0 Great analysis

Reply

Top Stories

MKT

The ASX can overlook its Telecomm small-caps. Here’s one diversified brand with an international footprint

3DA

To make modern missiles, you need 3D Printing. And in that gold rush, Amaero is selling shovels

Trump is President Again: What Does This Mean for Crypto?

PRS

Prospech finds dynamite heavy REE grades from historic core in Finland

PR1

Nanocap Pure Resources acquires Reedy Creek garnet project, WA