welds my understanding is the blue cap mining is an extraction and haulage company. Bullzeye entered an agreement with them to extract and haul to a processor. This was facilitated by setting up a joint venture that gave the joint venture rights to some of the gold in the ground. With EMR having an intention to drill, increase Jorc to 1M+ ounces and build a plant, having an arrangement with someone else to extract and haul is not consistent with their strategy, hence the desire to fully own all the resources in the ground, and to no longer have BCM in the picture at all.
According to the second supplementary statement on the 30th of June, Bullzeye had loaned money to the joint venture, with $2.5M still outstanding. :- "Following the recent completion of processing Campaign 3, funds have been progressively remitted by BCBJV against the various loans provided by its shareholders Bullseye and Blue Capital Equities Pty Ltd, consistent with the terms of those relevant loans. To date approximately $5.88m has been repaid on principal loan amounts to each joint venture equity holder and approximately $1.065m has been repaid in interest to each joint venture equity holder. The current outstanding principal amount owing to each joint venture equity holder is $2.5m."
Whether this remaining $2.5M was written off as part of the agreement, is unclear.
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)