Is Delroy and Nero taking your money by Latitude deal?

The mining right and key rights are the old Dragon Mining disaster! Dragon Mining sold KSB Kuusamo mining tenement Juomasuo after City of Kuusamo had resisted the mining plan in land planning and environmental impact assessment failed. The price was 300 000 euros, no royalty. The buyer was group of Australian investors lead by Nero/Russell Delroy. The Finnish business man taking high salary from Latitude is Thomas Hoyer with a track record of bad mining businesses. Latitude has bad reputation in Finland and there is no major Finnish investments to be expected.

It appears that Russell Delroy/Nero is on the both sides of the current deal and the the deal is favourable for Latitude shareholders because Russel and friends has larger holding there. They paid 300 000 euros for Dragon and have filed permit applications for 100 000 cost and would get now bout half of the market value of 6.6 million AUD. So Russell is doing a good deal and Australian shareholders have to pay.

Suppreme administrative court decided that landplan should not be against one industry so the mining is theoretically possible. However, the the old Juomasuo permit is not large enough for a mine. It would not be possible to get City of Kuusamo to make a land plan for a mine in the region decided to be important for travel industry. The land plan is needed after the change of mining law in June 2023.

The company has made permit applications for 1000 km2 or 100 000 hectars. The minimum price per hectar is 20 euros per year. To hold the tenements when accepted would cost 2 million euros per year. Latitude has no cash for exploration. It has been giving up permit applications at the same time it has been filing new ones. The early phase exploration in aggressive manner would be very risky and costly. In the regions where there is old results, there is also resistance, e.g in Kuusamo and Posio and the permit applications have been challenged to an administrative court.

The earlier monkey business was to reserve 10 0000 km2 as reserving was very cheap and they managed to fool company called Sunmirror but it failed to get financing for the deal.