The government doesn't want to pay cash for chattree.
Kingsgate doesn't have and cannot risk $50M which could be lost again future. KCN want an iron clad guarantee
Government owe damages.
Chattree mined 125,094 ounces in 2015. The royalty is $100 per ounce. For Thai government the revenue was $12M USD.
The government could lend the company USD $48M for the mine restart. The interest rate would be LIBOR or 0.
The loan will be paid back in lieu of royalty payments.
After 4 years, the government would have collected USD $48M for the loan.
The $100 USD royalty payments will resume.
On a net basis the government would not be in a loss - they'd re-gain their $12M a year revenue stream; $50M for $12M a year is a better deal than $0 for $0 a year.
KCN can continue its business without risking further capital loss in a political situation.
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