Factual updates JULY 23, 2013.
PDI Update - Plan to spin out PDI to shareholders. Shareholders will receive 1 share of PDI for 4 shares of PTQ they own. Petaquilla’s wholly-owned subsidiary, Panama Development of Infrastructures (PDI), has US$75 million to US$100 million Aggregate and Screened Rock contract in place with Minera Panama S.A.
Company Panama Operations Update - Profitable every quarter consecutively since Q3 FY2011, with compelling multiples.
Established low-cost gold producer with cash cost of US$550-US$600 per gold equivalent oz. sold. Heap leach process in Panama will increase production.
Currently annual production at 70,000 gold equivalent oz. at Molejon mine in Panama with plan to increase mine life with the Botija Abajo and Palmilla deposits.
Cooperative new relationship with First Quantum Minerals, owner of the $6.2 billion Capex, Cobre Panama copper project, next to Petaquilla’s Molejon mine.
RED KITE LOAN TO PAY OFF DB - Widely known fall of POG has made it obvious to all parties, and the public who follow such matters, that the advanced payment of DB loan is obviously not a reasonable or viable proposition. It is unnecessary to make further comment. As the moderator has stated and the company verified there is sufficient money to do cap/ex necessary to ship ore to Panama. Any prudent Financial VP would obviously wait for better terms and times while managing a PROFITABLE company under no presser to borrow money.
