The objective of the Company is to achieve maximum capital appreciation by investing and trading actively in raw gold / dore bars obtained from Artisanal Gold Mining. The Fund does not have a specific target for the investments, but carries out active opportunistic purchasing of raw gold with the lowest possible purchase price in order to maximize the potential returns on the investments.
The Fund will source and buy raw gold or gold dust and nuggets after analysis and selection on the advice of the Precious Metal Agent which comprises a professional team of experts well experienced in the purchase, and valuation, of gold. The raw gold collected will be then converted into a dore bar and sold as dore bars to either the wholesale retail or investor market or brought to the UAE and sold further to refineries in the UAE. All the above processes, in particular the purchase and sale of raw gold , will comply with the conflict free gold standard.
By surrounding itself with high quality professionals across every step of the purchase and sale cycle the Fund is willing to restrict some of its profit potential in exchange for security of purchase, and resale with the leading companies in the business. The Fund will only invest in raw gold and will not diversify outside of this field of expertise.
The fund targets professional investors who are experienced enough to understand the merits and risks on any potential investment of similiar nature.
The artisanal and small-scale gold mining sector is responsible for 20% of annual gold production globally.
Over 400 tons emerging from over 70 nations.
This represents a value of approximately $20B and a work force of 15 million miners.
The artisanal and small scale gold mining sector is responsible for 30% of the annual gold production in Mali. A work force of approx. 4 million
|Industrial||47 T||46 T||45.5 T|
|Artisanal and small scale||20 T||24 T||7.4 T|
|Total||67 T||70 T||53.2 T|
Mali has over 1.2 million km² of various geological terrains with potential mineral resources:
Proven gold reserves determined, as of 2015, to be at least 600 tons OR 21.16 million Oz
Majority of mines are located in the southern part of the country
The country has exported, on average 50 tons annually over the past decade
The most promising potential reserves are in the
|Tonnage||40 T||80 T||60 T||64 T||40 T||40 T|
The Kodieran mines owned by Wassoul’Or covers a 100 Km² Deposits are often situated from the surface down,
which allows cost-efficient mining methods without deep drilling and blasting
The Kodieran mines have proven recoverable reserves of 1.75 million ounces as per the international standard NI 43-101
Work in the gold field is well organised, all work is done by teamwork and proceeds in an orderly fashion
01. Penetration of Crust: The first step in gold extraction process. The team works until they reach the vein. From here work is taken over by the pitworkers, miners & washers.
02. Extraction and deep washing (working in the tunnel): This is essentially tunnel work followed by the delicate gold extraction process. These miners/diggers have more stamina as this step demands more physical effort. The underground work is very hard and these workers are dealing with more risk and danger hence, this step requires more experience and a great carefulness
03. Lifting and Processing of the Ore: Processing of the ore consists washing except when gold is present in hard matter. Much of the lifting is undertaken by women with rope and buckets.
Usually women wash the ore in a small pool or some even prefer to transport it on their heads to the nearest stream/river and wash the ore. These women possess calabashes and pans. When washing the ore in order to facilitate the process, women mix some soap in the water which can help them to separate gold from unwanted gangue materials.
From 1996 to date (22 years), Pieces D’or Mansa Mussa, SA and Mr. Al Sayegh , have been active in the field, working with locals and the Government of Mali to develop the informal artisanal mining sector
The gold is mined from the Kodieran deposits, located in south Mali near the Senegalese border.
The Kodieran mines have proven recoverable reserves of 1.75 million ounces.
Valuable information gathered over the past 22 years has been implemented to optimise utilization of gold mining resources for gold recovery keeping in mind
The protection of the environment
No support to armed groups or corrupt practices
Conditions in the mines are free of forced labour and child labour
The entire Transaction from commencement to completion includes each of the following stages:
01. Client money: Client money is deposited into the Custodian bank account at Commercial Bank of Dubai, from there at the instruction of the Investment advisor/manager the money is sent to the Orionis Bank account in Mali held with Banque Commerciale Du Sahel a local Bank
02. Collection: Collection of gold dust or nuggets on the concession is transacted by the local precious metal agent for which the digger/miner is paid 50% of the price by reference to the prevailing LBMA spot price. The above transaction is carried on with a number of diggers/miners on the concession on a daily basis. At the end of the month the miners are paid the remainder of money owed to them.
03. Transportation & Bailment: When a bailment batch is reached, the bailment batch is transported under secure transport to the Precious Metal Agents Vault in Bamako, Mali.
04. Refining into Dore bars:Once bailment is reached the local Precious metal agent consolidates the bailments into batches of Dore bars listing the fine ounces contained in each bar. After which they are sold in the local market or stored in a secure vault to be transported to Dubai refiners for smelting into 99.999% gold bars.
The Fund's assets (i.e. gold from the mine) are isolated from systemic risk and vaulted with private (non-bank) vaulting providers. This assures that the Fund retains the highest options for liquidity yet protects the Fund's assets from loss in the event of bank failures.
The Fund has successfully decoupled it self from the volatility of the price of gold
The Fund leverages its direct relationships with one of the largest mines in Mali for delivery to refineries in the UAE to ensure supply of gold as well as providing access to a global pool of liquidity.
Shares of the CIS/Fund are redeemable upon a 30-day redemption notice.
The CIS/Fund pays monthly cash dividends.