General discussion, page-403

Next to that:

https://www.miningweekly.com/print-version/kingsgate-secures-funds-for-chatree-restart-2022-03-04

Kingsgate secures funds for Chatree restart

4TH MARCH 2022 BY: ESMARIE IANNUCCI - CREAMER MEDIA SENIOR DEPUTY EDITOR: AUSTRALASIA

PERTH (miningweekly.com) – Gold miner Kingsgate Consolidated on Friday announced that it has secured a $15-million bridge facility from Taurus Mining Finance Fund to restart its Chatree gold mine, in Thailand.

Kingsgate told shareholders that the bridge facility will be used to finance general working capital, and costs associated with the recommissioning of the Chatree project, including long-lead items required for the mine and the recruitment of staff, as well as for regional exploration programmes.

The company expects the funds to be available for draw-down in April.

To ensure that it had adequate capital to fully fund the refurbishment and restart of Chatree, Kingsgate is also concurrently negotiating a Project Facility of $30-million with Taurus.

“Attaining this finance will enable the company to immediately start moving towards the restart of the Chatree gold mine as approved by the Thai government, and it has been achieved without diluting shareholders,” said executive chairperson Ross Smyth-Kirk.

A scoping study which focused on the option of initially refurbishing and recommissioning Plant 2 as a priority, has been prepared.

Estimates from the study indicate that Plant 2 could be operating within four to six months from the start of refurbishment. Subject to finalisation of the project facility, commissioning could be completed and the first gold pour achieved before the end of this calendar year.

This option initially processes ore from the Quartz Lease and low-grade stockpiles to generate sufficient cash flow to fund the refurbishment of Plant 1, and to bring Chatree back up to its full operational capacity of 5-million to 5.5-million tonnes a year.

So much will happen:

--> Jorc upgrade

--> NE announcement maybe?

--> Drilling results, is a huge one. They will drill a lot now.

--> More SPLs. We can actually pay for them now as we have cash.
"think we found already alot of more gold on these SPLs (i once saw this FB post from this geo. tech guy) pointing on the gold at the probs, i reposted it on HC a few hours later the post was deleted on FB" --> There might be 10 million more ounces? Who knows!

Then when we actually pour gold (at least before end of the year 2022) , we can continue exploration and buy back shares and pay off debt.

All that take us a year from now at least. But we will be $4 maybe more.

Honestly $10 in a few years isn't a crazy number.




fyi.

This simple calculation is based on the previous EPS (https://hotcopper.com.au/threads/buybacks-ross-with-every-last-cent-close-the-vip-door-for-good.6390941/page-263?post_id=58741494) , so I probably choosed a much lower EPS
Imagine we run our plant at full capacity (doubling production/output)

+ We have found much more high-grade gold on the plots.
+ the current POG / POS



+ "NE" sale
+ Thai Akara IPO
+ other hidden/confidential benefits that no one is currently allowed to talk about

etc. etc.etc.....

all "Events" pushing the EPS even higher
the growth rate of 10% per year is indeed feasible (if only because my calculations are based on the old factory performance and events like those mentioned above were not taken into account at all)

I don't know, but I think this will be my first tenbagger (I'll keep it for at least a couple of years)
Hallelujah