eastwest101, here lies the problem with TNC concentrating on Mt Oxide as I see it. Why should I be telling shareholders. Should be directors or the Chairman of TNC. Factual: 1. Mt Oxide Project is not even a mining lease. 2. It is only an exploration permit. The history is: the previous owners Perylia in 2011 proposed to develop the Mt Oxide orebody with a process rate of 1.5 million tonne pa for 15-25,000 tonnes of copper per year. The project was being assessed by way of voluntary environmental impact study (EIS) under Part 1 Chapter 3 of the environmental protection act 1994. The terms of reference (TOR) finalised on 17th January 2011 and issued to the proponent on 24th January 2011. Section 47 of the EP Act gave the proponent 2 years to prepare and submit an EIS for the project, based on the TOR. Because Perylia could not provide the EIS based on the TOR for the Mt Oxide Project within the two year time limit, on the TOR the whole process lapsed. Probable Reason : because the Mt Oxide project is a monstrous environmental hazardas disaster, seems Perylia could not even provide an EIS, even for government appoval, for conversion required as part of the requirements for converting from an EPM to a mining lease. Mining companies cannot mine any ore or develop a mine, unless it is located on an Government approved mining lease together with an approved EPA licence, government rehab bonds ( at least $25m for 1.5mtthroughout pa)as wellan Government mines dept, approved mine plan. If you care to look up on the internet “History of Mt Oxide QLD” it will show the water discharge in creeks are blue from the hazardous copper metal runoff from the abandoned mine. This is not to say it can’t be rehabilitated. The job, it appears, was so big and or costly, that Perylia could not do it within the two years. They basically just walked away. Perylia directors would have described TNC as a walking miracle to pay them $35m for it. Perylia basically abandoned it and 22 years later after writing it off, got paid $35m. So in reality, no BS or bagging I would estimate $25m just rehab, to get EP licence approved. Then $75m for a 1.5mtpa throughout copper flotation processing plant.$25m development to mining. $2.5m Scoping study, PFS and DFS. $10m infrastructure and a timeline of 8 years if they pressed the button today. Then working capital.Remember the location is 1,020 klms inland from Townsville. 120 klms North of Mt Isa which is ceasing mining operations in 2025 and probably a ghost town by 2030. TNC has no positive cash flow atm and little cash. My guess they are already on the money hustings for raising cash as we speak is my guess. I predicted TNC would require cash before Xmas 2023. Still a prediction. Listed 4 months ago $45m. I think still owe $15m on Mt Oxide. Not sure but I know some stilloutstanding. What I would like to hear is a PLAN! So far the only plan is : “the copper sulphate production willpay for everything.” Well I think everyone knows that ain’t ever going to happen. Managing a mining company today is a tough, tiring and stressful job. It’s not for the lighthearted. When you have inexperienced directors that cannot incorporate a plan and instead, make simple & stupid decisions based on an historical attitude; being the premise; “ shareholders will continue to stumpup the dollars based on a few drill hole results are, alas, sorry folks, those heady days are gone.” A cow can only give so much milk. I think also, being this close to Xmas and considering the Aussie economy and global conflict may spell disaster for cap $ raises this side of February-march 2024. The above to most, may look to some like a hatchet job, but I have said only what TNC directors should have said or should be relaying shareholders who can then make informed decisions. The last statement from TNC on production was: “we have carried out 5 shipments of Copper sulphate“ Great News, what else, used diesel in the Toyota or watered the lawn? Had a crab sandwich.? You can tell I am frustrated and just want the real truthful story. Anyway holders DYOI.
TNC Price at posting:
15.5¢ Sentiment: None Disclosure: Held
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