Thanks SoWo. A key document that you should read is the 2017 BEM...

Thanks SoWo. A key document that you should read is the 2017 BEM prospectus. Section 14 contains the solicitors report that was undertaken by Lexel. As a side note, the frustrating thing is that it appears the report was scanned in therefore making a 'ctrl f' search impossible. To give pple a head start is begins on page 169. Page 170 specifically mentions 3 amodiation contracts between Mada Aust (BEM) and:
- Jupiter Mines et Minerals SARL
- ERG (Madagascar) Ltd (side note as mentioned in earlier posts, I had previously drawn a link between BEM and NEXT as I had understood ERG (Madagascar) Ltd to be a subsidiary of NEXT. The 13 July 2017 NEXT 43-101 does in fact reference ERG (Madagascar) however it is missing the 'Ltd'. Upon further investigation the NEXT subsidiary is actually ERG (Madagascar) SARL. In my mind its still worth clarifying with NEXT that the 43-101 is missing SARL at the end)
- SQNY International

Regarding the amodiation contracts, Lexel does go to some length to provide an opinion on the status of them. Investors need to be aware that this report is from 17 Nov 2017 so is now 3.5 years old. Lexel made the following key comment regarding the amodiation:
- SQNY - Addendum 2 purports to remove tenements 25093 and 25094 from the ambit of the ammodiation contract but that it had yet to be registered with the BCMM. Mada Aust however said formalities had begun. I have yet to be able to find any announcement by BEM subsequent to the Lexel report that confirms the addendum was formally registered with BCMM. (If someone has found it then please share).
- SQNY - regardless of the removal, Mada Aust had exclusive right to explore and exploit graphite across those permits that were subject to te amodiation. However, to what extent can BEM conduct operations when exploitation potentially overlaps with SQNY. Remember, this is Ianapera so it could be a reason why BEM has been unable to explore across 25093 and 25094.
- ERG - this amodiation contract is perhaps a little more complex. It states the ERG has exclusive rights to mine on 5394 (Razafy) of 8 small squares for the duration of the mining permit (2042) for GRAPHITE. Now, the key thing here is that Lexel note withdrawal formalities of the amodiation contract were "in due course according to Mada Aust". Lexel does go on further to state information about the transfer however at the time the report was written, nothing had been formally approved by BCMM and the Ministry of Mines (I encourage people to read this section in the prospectus to ensure they come to their own conclusions). To my knowledge and to this date, BEM have yet to announce that the withdrawal has been approved. The uncertainty is that if its not withdrawn yet, what rights do ERG still have in mining for graphite on 5394. Remember, this is the key tenement to the scoping document BEM prepared in 2019.
- Jupiter - the amodiation contract here is noteworthy to the extent that its for 48 small squares across 5394 albeit for Labradorite (expiring 2025). Therefore it does not limit BEM's ability to mine for Graphite but only to the extent operations overlap. In which case I am not sure who has first rights. So it could be problematic, or it could not. Again, not alot of information coming from BEM about this.

Tbh, all of the above could be ancient history, but as i have said, i have yet to find a BEM announcement that confirms the matters raised by Lexel have been finalised.

People should try and familiarize themselves with this map:

It is worth going into google maps and zooming in on some of the areas for which BEM have a PE or PR to understand what landowner restrictions there may be. Just south of 5394 in the image to the left lies PR39751. This has yet to be renewed which in my mind is a concern to BEM's ability to be able to undertake further exploration. However I suspect BEM will only focus on further drilling in 5394. No issues with that approach but it would confirm some concerns I have raised with regards to the renewals.

As they say, all is my own opinion.