Prairie Mining provides update on mining approvals delay
Hey! Looks like you have stumbled on the section of our website where we have archived articles from our old business model.
In 2019 the original founding team returned to run Next Investors, we changed our business model to only write about stocks we carefully research and are invested in for the long term.
The below articles were written under our previous business model. We have kept these articles online here for your reference.
Our new mission is to build a high performing ASX micro cap investment portfolio and share our research, analysis and investment strategy with our readers.
Click Here to View Latest Articles
Prairie Mining Limited (ASX:PDZ – LSE:PDZ) has today released an update on its Jan Karski Mine project in Poland.
PDZ completed an Environmental and Social Impact Assessment and made submissions to the relevant administrative body for an Environmental Consent decision in October 2017, as required by law. However, Prairie is yet receive the required Environmental Consent decision from the Polish government.
Consequentially, PDZ has not been able to apply for a Mining Concession for the project due to the delay in the issuance of an Environmental Consent decision — the proceedings of which are still in process.
The approval of the company’s Geological Documentation in 2015 conferred upon PDZ the legal right to apply for a Mining Usufruct Agreement over Jan Karski for an additional 12-month period beyond April 2018, which precludes any other parties being granted any licence over all or part of the Jan Karski concessions.
The result of the Geological Documentation being approved was that PDZ became the only entity with a legal right to lodge a Mining Concession application over the area for the period up and until 2 April 2018. The documentation covers areas of all four original Exploration Concessions granted to PDZ and includes the full extent of the targeted resources within the mine plan for Jan Karski.
Under Polish law, the Ministry of Environment (MoE) is obligated to provide approval (if all appropriate requirements are met) within three months of a company making an application for a Mining Usufruct Agreement.
PDZ applied a Mining Usufruct Agreement in late December 2017, and the three-month period has now been surpassed. The company has sought legal advice and concluded that failure of the MoE to grant the Mining Usufruct Agreement is a breach of Polish law. PDZ has commenced legal proceedings accordingly.
The legal proceedings are undertaken by PDZ with an intention to protect its security of tenure over the Jan Karski concessions. If this step fails to result in the company receiving the necessary Mining Usufruct Agreement, other parties may be able to apply for a Mining Concession for all or part of the Jan Karski concession area. Hence, the company is considering all necessary future options to ensure its concession rights are reserved.
PDZ has been listed on the Warsaw Stock Exchange since September 2015 and has a strong Polish shareholder base. Further, Australia holds the status of “Most Favoured Nation” with Poland, and the countries signed a Promotion and Protection of Investment Agreement in 1991 stipulating reciprocal protections for investments made by residents and entities of both countries, which includes licences for exploration and mining.
Last week PDZ announced it had entered into a non-disclosure agreement with Jastrzębska Spółka Węglowa SA (JSW) to progress PDZ’s Polish coal assets.
The company advised it would be updating the market as a when any future developments occurred.
PDZ is an early stage company. If considering this stock for your portfolio you should take all public information into account and seek professional financial advice.
General Information Only
S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (CAR No. 433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.
Conflicts of Interest Notice
S3 and its associated entities may hold investments in companies featured in its articles, including through being paid in the securities of the companies we provide commentary on. We disclose the securities held in relation to a particular company that we provide commentary on. Refer to our Disclosure Policy for information on our self-imposed trading blackouts, hold conditions and de-risking (sell conditions) which seek to mitigate against any potential conflicts of interest.
Publication Notice and Disclaimer
The information contained in this article is current as at the publication date. At the time of publishing, the information contained in this article is based on sources which are available in the public domain that we consider to be reliable, and our own analysis of those sources. The views of the author may not reflect the views of the AFSL holder. Any decision by you to purchase securities in the companies featured in this article should be done so after you have sought your own independent professional advice regarding this information and made your own inquiries as to the validity of any information in this article.
Any forward-looking statements contained in this article are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results or performance of companies featured to differ materially from those expressed in the statements contained in this article. S3 cannot and does not give any assurance that the results or performance expressed or implied by any forward-looking statements contained in this article will actually occur and readers are cautioned not to put undue reliance on forward-looking statements.
This article may include references to our past investing performance. Past performance is not a reliable indicator of our future investing performance.
