Damn, it really pays to not be in a rush when posting. Spelling...

Damn, it really pays to not be in a rush when posting. Spelling mistakes and all sigh.

So I will try again.

Another small cap I hold, was able to craft a deal with a larger miner, where in, they sold 50% of their project in return for a 100% carry on the capex of the project build, through a loan facility provided by the farmin company (loan covers 50% of the full capex etc), which would be paid back from profits once the mine was in production. The list of benefits for the small cap were to be huge, no project execution risk, no cost, no enlarged staffing/admin costs, a proven producer in charge of running the plant whilst still providing a large slightly longer dated cash flow and all this with the biggest advantage being it was actually going to become a gold producer with just 12 months.

Their project was a good one (but smaller than Borborema), with a good IRR, but because they were a minnow, they simply could not get the cash for the capex on their own.

I cannot for the life of me understand why CAS has not undertaken a similar strategy. Posse is not going to provide the amount of cash required to develop Borborema (maybe it could have back in 2010-12), or even Juruena (even if that only costs $60 million to develop). So either they sell 1 project to develop the other, J/V with one or both of them, or... just let themselves get taken over.

CAS are trying hard to expand Posse and may yet surprise the market with their expansion plans.

BUT... CAS need to step up and get these things done. Not just keep planning.

Drilling results are due very soon Juruena, the updated Borborema capex requirements and pit design should be released soon and Posse, well, Posse + Wet treatment is where we might just see some real interest. All of this I have discussed with the company to varying degrees.

Please don't take any of my post as advice though, just thoughts from a relatively small holder who believes that CAS potential can actually be achieved in the next 2-3 years if management make hard but fair decisions about the companies future ability to finally reward shareholders.