Thanks for posting this info.
When I didn't see any production numbers ramping up in the Q and of course, lack of revenue, I suspected they might be delayed due to that deceision to build their own processing plant or in this case contract it out on site as I think they originally planned to do. Obviously I wasn't sure, however, but the profit sharing agreement with the transportation costs must have heavily weighed on that decision coupled with the rights concessions seemed to have solidified that decision increasing their profit margins when they get ready to roll. It should also be noted that the small production amount generated is still under the conditional safety approval permit that is still in place until March 30th next year where it's up for renewal or, hopefully, upgraded for full permit production beforehand. I believe perhaps the ore was mined and transported to the processor as a proof of concept to ensure there wern't any issues before they have Baolin build a plant onsite. They will undoubtedly build it so that it can be debottlenecked quickly for expansion in the future, imo.
I think your last paragraph needs a little more clarification if I might interject a thought or two.
"remember that SGGV is one of the few companies with all the necessary permits, and land holdings to mine, making it a potential partner for much larger companies that have talking about getting into the market"
By building our own processing plant Baolin has now been reduced to running the plant on a contract basis without ownership so their profits will be less from this particular plant. By coming out the gate and maximizing their profits SGGV will start to garner attention from competitors so it is important for the company to expand and gather up the mining leases they don't currently have. All they have locked up currently is <3M tons est. I'm sure they will quickly grab the expanded lease area which will take them to 7M+ tons. Next is the big one which is the Tanjiachang Concession which incorporates most of the surrounding leases which the company has had a LOI on for awhile. This is the 58M tons the IBOX refers to. The company has budgeted $1M to acquire this area but after doing so $14M in royalty payments will have to be paid out over a 6yr period. This is done to keep a company from buying the Concession and just sit on the property without developing it.
So I think this is why Raoul has been keeping as low a profile on developments here until such time as he has all of this immediate area under his belt. Once that happens I think he'll be willing to court partnerships from a position of strength, imo.
