That is the point of metal streaming agreements. As product is...

That is the point of metal streaming agreements. As product is produced, the financier get a portion. If nothing is produced for any reason, then Quintana gets its share of production which is nothing. Right now KBL is producing Gold and Silver and no Lead, Copper or Zinc, so Quintana gets its share of what is produced. They decide to mine something else then things change.

Quintana has 3 directors on the KBL board to look after its interests. The repayment timescale is not fixed. KBL has decided that it will switch to Gold and Silver, so these metals are mined and a proportion goes to Quintana as it is mined. They can also handle copper, zinc and lead from Mineral Hill however prices go they can switch to what is most profitable and Quintana are entitled to their share. The plant can handle this and even process different ore types in parallel. The chairman has a casting vote to settle any differences between the directors and look after KBL's interests. The amount paid to Quintana depends on the actual value of the production as it occurs. The value varies depending on prices and quantities produced. Figures in the accounts are best estimates.

Once the initial quantity for any metal is produced, then Quintana gets 12.1% of production of that metal at the agreed price for the life of the Mineral Hill mine. No interest is payable on the USD23M that Quintana invested in KBL.

Quintana has security over Mineral Hill and Sorby so if KBL goes broke then it would seem that Quintana would be the main creditor and likely would end up with most of the assets. I dont think it would be possible for anyone to get KBL assets on the cheap so I think efforts to do this will soon stop.

DYOR