Had a quick look through the Scheme book and noticed the following in the experts report - p60
As outlined in the Technical Specialist Report, Como Engineers produced a report in 2021 that showed a capital cost of $5.5 million to refurbish and expand the Laverton Processing Plant. Therefore, whilst the implementation of the Schemes may provide Shareholders with exposure to the Laverton Processing Plant, it may require significant cash to be spent to bring it back into service. The Laverton Processing Plant does also not neighbour Kingwest’s mineral assets and has been on care and maintenance since 2014. Further, as outlined in the Technical Specialist Report, during the time the Laverton Processing Plant was operational in 2011, it treated only oxide material, and as a result, is mismatched to much of the potential mill feed discovered by Kingwest and Brightstar to date.
Further, the specialist noted - piii
There are also significant environmental liabilities associated with the rehabilitation requirements for the Brightstar Projects including rehabilitation of the tailings storage facility, waste dumps, access roads, open pits and associated disturbances.
So in addition to the eyewatering +200km distance to BTR's processing plant, lots more capital may be required to process KWR's ore. If KWR's ore continues to be processed by SBM then there will be a big rehab liability to address. I can't see any advantages in this scheme for KWR shareholders at all. I give it a big YUK!
- Forums
- ASX - By Stock
- Ann: Court Orders Convening Scheme Meetings
Had a quick look through the Scheme book and noticed the...
- There are more pages in this discussion • 40 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)