silver pour, page-9

In addition and supporting your management case is the following... If you look at the announcement back in december 2011 I think it was announcing the finance from CBA and the terms were a 3 year loan facility with from memory first payment in december this year.

1 December 2011
ASX Release
Silver Forward Sale
Cobar Consolidated Resources Limited (ASX:CCU) today announced that it had entered into
contracts with the Commonwealth Bank of Australia to sell forward 1.8M ounces of silver at
A$31.87 per ounce, that will mature in line with the project loan repayment profile.
For further information contact:
Trevor Shard
Company Secretary


If the first part of this payment is due in december which is 6 months away and you say 600,000 ounces per year. Now if you read the following announcement...

31 October 2011
Project Finance Facility Signed
Cobar Consolidated Resources (ASX:CCU) announced today that it had signed a $22M project
finance facility with Commonwealth Bank of Australia (CBA). The purpose of the facility is to
complete construction of the Wonawinta silver Project.
The project finance facility includes;
• $11M 3 year term loan facility
• $2.5M working capital facility
• $2.5M cost over-run facility
• $6M security bond facility
Drawdown of the term loan is subject to satisfaction of conditions precedent, the most
significant of which are grant of the mining lease and transfer of the water licence.
Managing Director Ian Lawrence said, “We appreciate CBA’s support in completing the
documentation, particularly in light of the late withdrawal of the other project financier.”
The project finance facility will require the Company to hedge 30% of its estimated silver
production over the first 3 years of the project life.
The Company has agreed to issue 500,000 options to CBA under the terms of the Facility.
An Appendix 3B will follow this release.
Media and investor enquiries:
Trevor Shard, Company Secretary


That is a 30% hedge so company is expecting to produce 2m - 2.5m ounces per year.

That being the case could we assume maybe 100,000 ounces before end of this year??

A fair assumption I am thinking... Anyone elses thoughts?
They will need atleast 50,000 just to meet their commitment to the CBA.

I say big big big news and announcements have to be coming, excitment generators as ccu moves from explorer to producer