Almost exactly a month ago, I posted here for the first time about Euro Sun Mining ($ESM (+6.4%) ) for the first time. I see it as a promising bet in the mining sector... well many see the company as a scam and were accordingly critical, but so be it. Reason enough to take another look at ESM and its performance! 😉
🔎 A short recap...
Euro Sun Mining is a Canadian listed mining development company focused on the development of the Rovina Valley project in Romania. The focus here is on the mining of copper and gold.
The company has actually been trying to get this project up and running for years... so far unsuccessfully. This was partly due to local opposition over concerns about environmental impact and the resulting revocation of an environmental permit that had already been granted.
... and where are we now?
- Completion of the EIA (environmental assessment) completed, submission in January
- Objections from various NGOs to the strategic classification of the project under the CRMA by the EU completely rejected as unfounded
- Conclusion of a Binding Off-Take Agreement in the amount of USD 200 million with Trafigura
For us (or anyone invested in ESM), each of these steps means further de-risking. Of course, there is still a long way to go before we have a mine, but ESM has never been in a better position than it is today to finally realize this project. In addition to the political back-up, the financing has now also been largely secured. Now it is a matter of obtaining the missing permits.
Where does the share stand? 📈
Since I joined the company just over a month ago, the share has moved upwards bit by bit. In the meantime, it has gained 30%. I believe that the share still has considerable upside potential with further good news, but as is the case in the mining sector... nothing is guaranteed! 😉
But I'm very excited to see how things will continue here next year! Are any of you still involved $DE000EWG0LD1 (+0.25%) ?
