Nextsource Materials Inc (NSRCF)

[Luke_McCain]

NSRC has research (exploration) permit (or PR)

Not according to the company.

Exploration Permit #3432 is currently held under the name of a subsidiary of Malagasy Minerals called, Mada-Aust Sarl.

The transformation or amendment of exploration and research mining permits within the country continues to be suspended from the time that Madagascar was run by a president who was not democratically elected. This current permit expired on August 17, 2011.

Energizer’s Madagascar domiciled subsidiary companies and Mada-Aust Sarl has continued to pay all taxes and administrative fees to the Madagascan government and its mining ministry with respect to all the mining permits held in country. These taxes and administrative fee payments have been acknowledged and accepted by the Madagascan government.

In addition, Energizer continues to diligently work with the Madagascan government to obtain the necessary permits in its name as the country clears its backlog of applications and amendments.

The research permit will be converted into an exploitation permit in due course. When the permit is transformed from a research permit to an exploitation permit, the exploitation permit will be issued in the name of Energizer.

The exploitation permit is required to advance the Molo Graphite Project to the developmental stage.

So, according to the company, they has been paying taxes and fees to an expired permit, that is not even in their name, for several years, with the hope that it eventually gets straightened out "in due course".

I contacted them several times, years ago, trying to get a truthful response from them, and they always dodged any of my questions when they pertained to the permit status.

That told me all I needed to know.

For one, I do not buy the story that "Madagascar is difficult to do business in" that they have been telling others.

Madagascar may not be (ever) a "first-world" country, but mining is important to their economy, and the BCMM is well-staffed, and mostly competent.

No way in hell it takes this many years for them to straighten out an expired permit, and do a name change. Sorry.

Caveat emptor!

As far as DNI Metals is concerned, you can parse words all you want, and try to do a syntactic analysis of the PR, but the end-result is the same:

DNI possesses clear title to their property, and they have an Exploitation Permit (PE) which gives them an exclusive right to exploit authorized minerals, and to continue exploration and research of such minerals, inside the perimeters during the period of validity of the permit.

This permit allows DNI to commercialize product extracted from the premises. Period.