VBgood - I agree that there are questions that need to be answered but we are going to be getting quite a few of them relatively soon. The PEA for the Cambridge Process and feasibility for the ThermoPotash will give us a much better handle on costs. Also, when Verde presented in Toronto in September, they indicated that when product registration is complete they will be able to announce the agreements that they have with blenders for offtake of production from the pilot plant. In other words, they will be able to begin producing and selling product before the full-scale production plant is in place. I don't expect that revenue from the pilot plant will be nearly enough to fund construction of the bigger plant but it should help offset ongoing expenses.
If you look at the news releases on the Verde web site, you will see this from 4/7/11:
"Amazon Mining Holding Plc (TSX-V symbol: “AMZ”) ("Amazon” or the “Company”) is pleased to announce that the Minas Gerais State government (“the State”) has signed a memorandum of understanding (“Memorandum”) to provide Amazon with support in terms of potential financing for working capital and fixed investment, with funds administered by the development bank of Minas Gerais (BDMG). The stated objective of the Memorandum is to enable the implementation, by Amazon, of an industrial unit and the installation of a distribution centre located in the State of Minas Gerais destined for the manufacturing and commercialization of ThermoPotash, Potassium Chloride and Potassium Sulfate."
Also the statements from the Brazilian government have repeatedly pointed out their reliance on imported potash and their determination to develop local resources. So it is not a big leap to say that Verde should enjoy very strong support for their efforts and everything we've seen so far indicates that is the case.
Cheers,
tsl
