Agree they could have sold the 5% to another Malian Company but, Ganfeng were previously going to spend that much in a share placement (that was cancelled) after the correspondence of a settlement? The placement would have been a preferable outcome, large JV partner on the registry exudes extra shareholder confidence.
US$65 million would be a massive investment for a Malian company, (probably not so much if it was a conglomerate of companies?) but my understanding with the settlement within the coming weeks, there was some urgency? to get the funds at the ready if they are required.
++ I do have a question to the general audience, and I do know it is a binding agreement. If the settlement doesn't require any payment does the transaction still have to proceed? given that the intent of the agreement was to provide funds if required for a settlement (payment) to the Government.
Government Free Carry 10% ~ company has provided the documentation for this, but still part of the negotiations
Government's option for an additional 10% under the Establishment agreement; ~ is at fair market value via the LMSA Option. ** Fair market value is determined by an independent firm. ~ If the Government exercise this option the funds required will be provided by way of a loan from Leo Lithium and Ganfeng, and the load is paid down by way of tax offset (credits) against the revenue of sales of product. I can't remember if royalties on product sales are also offset to pay the loan?
cheers
LLL Price at posting:
50.5¢ Sentiment: Hold Disclosure: Held
(20min delay)