Everyone needs to understand just how important todays announcement was to VEC's future !
The main sticking point to getting any deal across the line is always funding ( There is nothing harder ) especially for a small cap explorer . Jason Brewer , Andrew Steers , Simon Youds and the whole team really have done a remarkable job in securing around AU$77mill , without funding there would be no deal , its that simple !
The boys have secured 2.5 times's VEC's market cap in funding , thats bloody huge
Speaking from personal experiences with putting together leases in PNG it goes a bit like this,
KISS terms! DRC PNG Same same but different !
1st: Identify where you want to mine and what your mining for.
2nd: Secure the leases using heads of agreement or similar. ( Ill post some pictures one day
3rd: Secure funding ( Hardest job of all ) Now for this you really need to prove whats in the ground , more than the dribble of information we get by the way! When you want the big money , the funders want to know more than the directors themselves know
4: Now funding has been secured , and only now can all documentations be actioned ( Everything will be agreed upon well before this point ) But nothing get signed until the coin is there. 100 Years of drop in miners ripping of the local landowners really stuffed that Lol.
5: Once pen has hit the already prepared paperwork (In this case theres nothing left to do than announce to market the deal is done)
ANNOUNCEMENT 17 October 2018
With the committed offer of funding from the Debt Facility accepted by the Board and currently being documented, the Company is now working with its DRC based lawyers to ensure the satisfaction of the final outstanding conditions are achieved for completion of the Adidi-Kanga acquisition.
The Company has already received confirmation that the relevant Board of Directors for MGI, Adidi-Kanga Resources S.A. (“AKR” and Mongbwalu Gold Mines S.A. (“MGM” have all met in the DRC and approved the DRC Restructure Documents and the transfer of the licence (PE5105) from MGM to the new joint-venture company AKR.
Legal sign off on the execution of these documents and receipt of any associated DRC regulatory approvals is now due ( Basically point 5 they way I read it )
At time of this post , its only 7.50am in the DRC were the lawyers are finalising this deal ! As per announcement
Ps. In my uneducated , uninformed and basically Know nothing opinion , Id keep hitting refresh for the next couple of days , starting with tomorrow !
