To:russwinter who started this subject
From: loantech Wednesday, Jul 16, 2003 3:51 PM
View Replies (1) / Respond to of 14184
I spoke to Cumberland this morning and here is a bit of what the proposed plan is.
1.They are okay with the fact that Comaplex bought WMC's share of West Meliadine as it is fully carried to production and CBD still has a 22% share.
2.CBD still has 50% of East Meliadine where they are partnering with Comaplex on their Kimberlite drilling program.
3.CBD has a tentative plan and proposal to use the dollars from the new financing to purchase supplies and material to start infrastructure at Meadowbank. As heavy equipment cannot be flown in it is sent by barge or boat. Construction to begin in 2005. They have a short by sea shipping time frame so all material must be sent one year early to make sure the narrow window of time before ice up is met. They are confident future studies etc will be positive so they are planning on moving forward now.
4.Tentative proposals are to have about $50,000,000 in cash or and infrastructure in place. Makes it easier to obtain a potential proposed bank financing of $120,000,000 for most of the needed $200,000,000 to build out the mine. The remaining $30,000,000 may come from an additional financing.
Of course this is the plan, it's tentative and this post is in no way the feasibility study that CBD will utilize to finalize their mine. <g> Do your own DD.
It is the opinion of people involved with the project that this financing may make CBD a much stronger company.
So I am long CBD and plan on accumulating CBD and am using mostly the old gutbag check investing style to make my decisions. All opinion and conjecture but it makes an interesting bedtime story. <g>
tom
