Rob, you still seem to be prepared to listen selectively and then reason on the basis of what you thought you heard, not what was really said.
Doug did mention that they are still waiting on the Initiation Act in the GRZ call. To say he failed to mention it is simply false.
On the financing issue, GRZ's updated capital cost for the Brisas mine is now $730 million. They have already spent over $30 million of that on the deposits for the mill equipment (which is being produced right now - delivey scheduled at the end of 2009) and for the many pieces of Caterpillar heavy machinery already delivered and ready to start construction. (Photos of this brand new equipment are published on the GRZ web site)
They have a consortium of banks organised and who have agreed to provide $425 million debt finance and GRZ has $135 million cash in the bank.
Add that up and you will find that GRZ needs only $140 million in additional capital to fully meet the updated capital cost for the Brisas mine, and that cost already includes an allowance for additional contingencies.
Apart from issuing additional equity, which could easily raise that sum, GRZ's management have already investigated and received positive responses from firms prepared to pay for forward sales of the copper concentrate Brisas will produce.
The Brisas mine will produce 60 million pounds of copper annually, worth at current prices around $230 million a year. A forward sale of just 30% of the annual production for 3 years would raise over $200 million and still leave 100% of the gold and 70% of the copper completely unhedged.
As an aside, Brisas' annual income from copper will be almost as much as the total gross return for LC annual average gold production using current prices and plans as granted (in GRZ's case) or applied for (in the KRY instance.)
