RSG - Resolute Mining

[qldfrog]

और मैं अपने फोन की चपलता का धन्यवाद करता हूं जो एक बटन के क्लिक पर सबसे अधिक क्षमा किए गए भाषा का भी अनुवाद करने में सक्षम है।

Training for india taking over..

 

[qldfrog]

Training for india taking over..

Backing away from Google translate, how is the SP going to react..160 millions today, how much next month,,?
And noone wanting to buy the assets
Could these problems be the results of some naive honest Aussie manager refusing to pay bribes?

 

[mullokintyre]

Can you two take it to the translation thread?
This is all about RSG.
My future depends on it.
mick

 

[qldfrog]

Can you two take it to the translation thread?
This is all about RSG.
My future depends on it.
mick

I really hope Mick your future does not depends on these guys

 

[Country Lad]

Could these problems be the results of some naive honest Aussie manager refusing to pay bribes?

Probably

 

[Garpal Gumnut]

Could these problems be the results of some naive honest Aussie manager refusing to pay bribes?

Unfortunately it is against Australian law to pay bribes in a foreign country and many Australians in high positions have been prosecuted for this in Chinese and African based countries. It is not naivety, it is fear of the consequences of facing court back here in Australia.

Bribery is part of the cost of business in these hell-hole African countries and I feel that the Australian law puts our country at a disadvantage. It also puts staff in severe danger if the goons running the show decide to harm them in an attempt to get what they see as a normal business cost.

I just hope the employees of RSG get out in one piece.

gg

 

[Garpal Gumnut]

Latest from Reuters 5h ago.

Resolute CEO still held in Mali, diplomatic sources say, as shares suspended​

By Tiemoko Diallo and David Lewis

BAMAKO (Reuters) - Resolute Mining CEO Terence Holohan and two other employees of the Australian company were still being detained in Mali on Thursday, two diplomatic sources there told Reuters.

Resolute said on Sunday that Holohan and the two other employees had been temporarily detained by government officials in the military-led West African country.


It has not provided any further update on the situation.

The executives were in Mali's capital Bamako to hold discussions with mining and tax authorities regarding general activities related to the company's business practices.

Resolute's shares fell as much as 8.1% to A$0.395 on Thursday, their lowest level since late March, after Bloomberg reported that the Malian military junta was seeking at least $161 million from the company to settle a dispute mainly concerning alleged back taxes.

Trading in Resolute shares was halted on the Australian Stock Exchange and the company said in a filing it "will provide further updates as and when appropriate".

It did not respond to a Reuters request for comment.

In its statement on Sunday, Resolute said that the three executives had been discussing "unsubstantiated" claims made against the company during their meeting with the authorities.


Mali's junta adopted a new mining code in August 2023 allowing the country to increase its ownership of gold concessions and recoup what it said is a major shortfall in production revenues.

The move has strained relations with major gold mining conglomerates operating in Mali, which in addition to Resolute include Barrick Gold, the world's second gold miner, and Canadian rival B2Gold.

Authorities in September briefly detained four Malian staff working for Barrick and have demanded at least $500 million in outstanding taxes and dividends. The two parties are in talks.

($1 = 618.0000 CFA francs)

(Additional reporting by Alessandra Prentice, Jessica Donati and Felix Njini; Writing by Sofia Christensen; Editing by Alexander Smith)
............................................
SMH states that Mali Junta are seeking $250m. from Resolute.

............................................

gg

 

[mullokintyre]

Listening in to BTL re this issue, he pointed out that the amount of money disputed is not a lot in the sceme of things, especially as they had already provisioned in the financial reports for the payments of back taxes.
The question is whether the generals in charge have the 150mill as an addition to the provisional amount.
The 50% share price fall is more about a loss of confidence, and we will need to wait for some time ro elapse to see how long that confidence os held back.
Long term, I don't have a problem, but for 12 months the confidence levels will be low.
Sitting on the fence as to whether I take my losses and run away, or grit my teeth and hold out.
probably the latter at this stage.
mick

 

[mullokintyre]

So the first trance of the hostage settlement is paid.
Mick

 

[Sean K]

So the first trance of the hostage settlement is paid.
Mick
View attachment 188128

The crocodile that jumps out to me is the migration of assets to the 2023 Mining Code.

Not sure what the big change is or what it might mean.

Any guesses?

The priority dividends is an interesting on. If not sufficient cash flow 'take out a loan'.

The Environmental Defenders Office lawyers must have written this one up.

 

[peter2]

Your "crocodile " is a minor concern while the tiny cash sucking internal parasite that's just grabbed 160M is my major red flag.

I'm giving Mali a miss and perhaps all of West Africa as well.

 

[Sean K]

Your "crocodile " is a minor concern while the tiny cash sucking internal parasite that's just grabbed 160M is my major red flag.

I'm giving Mali a miss and perhaps all of West Africa as well.

It's trouble for anyone doing business in the region now. The other juntas must be thinking 'how easy is this? Take a couple of executives hostage and you get to change the rules.'

But, some of the other juntas may have a big enough brain to understand that you don't kill the golden goose. How likely is that?

 

[Dona Ferentes]

It's trouble for anyone doing business in the region now. The other juntas must be thinking 'how easy is this? Take a couple of executives hostage and you get to change the rules.'

But, some of the other juntas may have a big enough brain to understand that you don't kill the golden goose. How likely is that?

look around. Russians with Wagner as enforcers will be milking the goose going forward.

 

[finicky]

I'd posit that they may well not care about killing the golden goose. They're not in politics for the benefit of posterity. It's for personal power and wealth. This way they get instant gratification. One reason why these societies remain backward.
(From my unpublished Phd in sociology.)

 

[qldfrog]

look around. Russians with Wagner as enforcers will be milking the goose going forward.

And China in other parts.the us has never been big in Africa, and now France and UK are definitely out.not good to be a western country there

 

[Sean K]

Looks like a lot of punters have grabbed the knife this morning.

 

[mullokintyre]

The Hostages have been released after the ransom was paid.
Not surprisingly, all three have hitailed it out of West Arica.
Probably for good.
Mick

 

[Sean K]

The Hostages have been released after the ransom was paid.
Not surprisingly, all three have hitailed it out of West Arica.
Probably for good.
Mick
View attachment 188293

It's going to be interesting how this unfolds going forward.

The Junta now have an easy play book to follow.

Claim there's some back taxes owed, kidnap a few senior executives, ask for the bribe and move on to the next company.

I wonder who will be next? They must be all crapping their pants. And, adding some extra security, or not ever going into the country, somehow.

 

[Garpal Gumnut]

It's going to be interesting how this unfolds going forward.

The Junta now have an easy play book to follow.

Claim there's some back taxes owed, kidnap a few senior executives, ask for the bribe and move on to the next company.

I wonder who will be next? They must be all crapping their pants. And, adding some extra security, or not ever going into the country, somehow.

The Hostages have been released after the ransom was paid.
Not surprisingly, all three have hitailed it out of West Arica.
Probably for good.
Mick
View attachment 188293

Just to play devil's advocate here, is the risk premium worse for Mali than it is for sub-Saharan Africa in general? Corruption is pretty much endemic everywhere now. And not just in Africa. A recent article in the Economist debated whether a New York Mayor on the take is any different from an African local Governor on the take. The article explored risk premium for investing there and also the high government debt in those countries, so even an honest government would be inclined to pressure the Anglo/American or other 1st world countries who are brave enough to invest there.

I guess the involvement of Russia and Wagner in Mali makes investing there more hazardous atm. I've always avoided African associated companies. Just some thoughts.

gg

 

[Dona Ferentes]

It's going to be interesting how this unfolds going forward.

The Junta now have an easy play book to follow.

Claim there's some back taxes owed, kidnap a few senior executives, ask for the bribe and move on to the next company.

I wonder who will be next? They must be all crapping their pants. And, adding some extra security, or not ever going into the country, somehow.

when I lived in Switzerland in the late 1990s, a funny thing started to be observed.

Swissair 'rationalised' their services and many W African flights no longer went to Geneva direct but went via Zurich. Then there was a noticeable increase in airport transit lounge muggings. Kosovars and Albanians would do a day trip, fly to Zurich, hang around the transit lounge, follow the fat Francophone Africans taking their suitcases to the bathroom, relieve them of said USD or gold, then pass to a mate and fly on. No entry to Switzerland.

There's always someone looking for an angle.