I’ve long advocated for retaining NE rather than selling it off prematurely. I believe the project has substantial long-term value, but unlocking that value will require deep pockets. Developing NE from scratch means funding extensive exploration, constructing a new processing plant, and navigating the logistical and regulatory landscape.
While labour costs in Chile are relatively high, compared to Thailand, the country offers a stable, mining-friendly government and a well-established regulatory framework, unlike Thailand. This makes it an attractive for long-term investment in gold and copper production. Given the scale and capital intensity of the project, I believe the most prudent path forward is to seek a heavyweight partner, ideally one with regional experience and financial strength to co-fund the next phase of development. (KCN Holders can get a Rights Issue) A joint venture or spin-off listing could help share the financial burden while preserving upside for us. With the right partner, NE could transition from a dormant asset to a flagship operation. The fundamentals are there, we just need the right structure and support to bring it to life.
The project holds a combined resource of approximately
0.49 Moz of gold and 83.4 Moz of silver, making it one of the largest undeveloped silver deposits globally. So why would anyone entertain the notion of selling or placing no value on this asset?
(I look up the figures from KCN website,
Nueva Esperanza Development Project, Chile – Kingsgate Consolidated Limited)
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