JUst a suggestion to conserve funds and possibly get Minago Nickel on track
Victory Silica should consider allowing a Large Frac Sand Producer (LFSP) to drill within the Minago Sand Quarry Licenses (MSQL) with the understanding that when the LFSP comes up with a sufficient tonnage of Frac Sand Reserves and Resources in the drilled Quarry areas, a JV would be formed covering those specific areas at a then agreed upon percentage.
A condition prior to drilling by the LFSP to obtain its JV, would be if sufficient reserves were found in the MSQL, that the cost for overburden removal on the Minago Nose Deposit would be at the LFSP 's expense, but that Frac Sand mining and profits from the Frac Sand overlying the Minago Pit would be 100% Victory Silica's.
Thereafter, Costs to mine those agreed upon Frac Sand Reserves in the MSQL and their subsequent sales would be shared by Victory Silica and the LFSP at an agreed upon JV basis.
If such an agreement were possible it would lower the CAPEX for the Minago Nickel Project while the lowered strip ratio relative to the Nose Deposit would look better to potential lenders.
In addition Victory's Silica Division would earn money to help development of the Mimago Nickel Project.