FYI... A rehash of yesterday's news, as published by Investir au...

FYI...
A rehash of yesterday's news, as published by Investir au Cameroun
https://www.investiraucameroun.com/mines/2311-17181-fer-de-mbalam-l-australien-sundance-resources-annonce-la-relance-des-negociations-avec-le-cameroun

Google Translation:

(Business in Cameroon) - Australian junior mining company Sundance Resources has announced the resumption of negotiations with the Cameroonian authorities on the Mbalam iron deposit project. An announcement comes as the arbitration procedure requested by the company, because of the non-formalization of its license to exploit this deposit by Cameroon, has started in Paris.

“On June 2, 2021, Sundance and its subsidiary Cam Iron SA (Cam Iron) initiated an arbitration against Cameroon before the International Chamber of Commerce under the 2015 transition agreement between Sundance, Cam Iron and Cameroon (between other parts). […] Sundance and Cam Iron are seeking various remedies in this proceeding, including a specific enforcement order to compel Cameroon to issue a presidential decree to formalize and give full effect to the Mbalam operating license. Shortly after these proceedings began, Sundance and Cam Iron entered into settlement discussions with the government of Cameroon. To reflect these discussions, it was agreed that the deadline for Cameroon to file its response to Sundance and Cam Iron's request for arbitration would be extended. The last of these agreed extensions is due to expire on November 30, 2021, ”says Sundance.

The Company says it will remain open to "any reasonable settlement proposal" Cameroon may make. The junior-miner indicates that she has always maintained good relations with the government of Cameroon and does not want the resumption of the arbitration process to prevent a future constructive dialogue, provided that such dialogue is carried out according to a timetable. final and does not unreasonably delay resolution of the problem. Sundance says it will provide an additional update on the Cameroon arbitration in due course.

Since 2015, after several extensions of its exploration license on the project, the Australian junior mining company Sundance Resources has not succeeded in securing a technical and financial partner for the establishment of the infrastructures relating to the Mbalam project (construction of a railway over 500 km between Mbalam and Kribi, from the mine and an ore terminal to the deep water port of Kribi). Successive attempts with Chinese companies China Gezhouba, in 2015, Tidfore Heavy Equipment Group Ltd, in 2018, and finally AustSino, from 2018, have all been unsuccessful.

And on June 25, 2021 in Yaoundé, the State of Cameroon, through the Minister of Transport, Jean Ernest Ngallé Bibéhé, signed with the companies AutSino Resources Group Ltd and Bestway Finance Ltd, a memorandum of understanding (MoU), for the construction of the over 500 km railway connecting Mbalam to the deep water port of Kribi. With this MoU, the Chinese operator Autsino Resources Group Ltd is making a strong comeback on the project. This has earned him threats of legal action from Sundance, which considers itself cheated in the deal with the Chinese side.

The mining project torn between Cameroon (Mbalam) and Congo (Nabeba) consists of the development in two phases of a gigantic iron deposit. Sundance Resources Ltd, the first developer of the project, expected an annual production, in the first phase, of 40 million tonnes of direct-loaded ore over a period of 12 years. The second phase is expected to consist of extending the mining of the deposit by more than 15 years, producing a high grade itabirite hematite concentrate. To achieve this, global investments of more than 8 billion dollars are necessary, or about 4500 billion FCFA.

Sylvain Andzongo