The SAHARA Mine 47-5034635 | Government Grant Application

The SAHARA Mine | Application Preview

The SAHARA Mine is seeking a government grant of $500,000 to support the launch of their gold mining business. The total funding required for start-up amounts to $520,000, which includes both expenses and assets. The founder has already contributed $20,000 and incurred $8,000 in start-up expenses.

The proposed budget breaks down as follows: - Start-up expenses: $5,000 (covering legal fees, advertising, and website development). - Long-term assets: $342,000 (including $260,000 for mining equipment and $80,000 for building). - Short-term assets: $153,000 (which includes $151,000 in working capital).

The mining operation aims to process at least 25 tons of gold daily initially, with plans to ramp up production significantly over the next five years, eventually reaching 400 tons per day. This scalability positions the project for projected annual revenues of $1.5 million or more.

Funding approval is framed as an opportunity for investors to contribute positively to the local economy of Pennsylvania through tax revenue and employment. Additionally, the SAHARA Mine emphasizes its commitment to clean mining practices, avoiding harmful substances such as cyanide and mercury.

In terms of competition, the SAHARA Mine identifies several competitors in Zimbabwe's gold mining sector, noting their long histories and established operations. However, SAHARA aims to leverage superior production quality and quantities, promising a notable impact on the local community and industry. The business claims an edge through experienced leadership, strong environmental safety commitments, and a strategic focus on community benefits.

• General Information

  Business Registration Number: 47-5034635

  Location: Cresco, PA, United States

  Length of Operation: 1-5

  Number of Employees: 1-10 Employees

  Annual Gross Income: Less than $100k

  Annual Gross Expense: $100k to $250k

  Open to Loans: YES

• Funding Usage

  START-UP SUMMARY The following table detail the business's funding to bring the vision to reality. Start-up funding includes all the expenditures, both start-up assets and start-up expenses, incurred before the Company starts earning revenue. The asset table's working capital element represents the cash balance at the beginning of Month 1 of the financial projections. Use of Start-up Funding Expenses Legal Fees $2,000 Grand Opening Advertising $1,000 Website Development $2,000 Total Start-up Expenses $5,000 Long-term Assets Furniture $2,000 Mining Equipment $260,000 Building and Build-out $80,000 Total Long-Term Assets $342,000 Short-Term Assets Working Capital $151,000 Inventory $2,000 Total Short-Term Assets $153,000 Total Expenses & Assets Total Start-up Expenses $5,000 Total Start-up Assets $,000 Total Funding Requirements $520,000 Total Start-up Funding Total Amount Being Requested $500,000 Total Funds Already Received $20,000 Total Funding $520,000 New Start-up Funding Being Requested Amount Being Requested $500,000 Total Amount Being Requested $500,000 Start-up Funding Already Received Owner Contribution $20,000 Total Funding Already Received $20,000 Start-up Capital and Liabilities Loss at Start-up (Start-up Expenses) ($3,300) Total Funds Received & Requested $520,000 Cash Balance on Starting Date $153,000 As shown in the charts above, the total start-up funding needed to implement this venture successfully is $500K. The founder/owner has invested $20K in personal funds to create the Company's brand and has already spent $8,000 in start-up expenses. As depicted above, $5.0K will be used for start-up expenses, $260K to purchase long-term assets, and $2.0K to buy inventory. The remaining balance of $153.0K will be used for working capital.

• Business Plan

  The business is Gold Mining. It is planned that at least 25 tons be processed daily. This will mean a production rate of 150 tons a week (6 workdays: Sundays will be non-workdays) and a total of 7, 800 tons per year having taken into consideration all holidays and non-working days(approximated). This production capability should put the mine well on the way toward achieving gross annual revenue of $1, 500 000 or higher. Year 1 -25 tons per day = 650 tons per month = 7,800 tons in the first year. Year 2- 50 tons per day = 1, 300 tons per month = 15, 600 tons in the second year. Year 3 -100 tons per day = 2, 600 tons per month = 31,200 tons in the third year. Year 4- 200 tons per day = 6, 200 tons per month = 62,400 tons in the fourth year. Year 5- 400 tons per day = 10,400 tons per month = 124,800 tons in the fifth year. It is anticipated that higher numbers of grams per ton will be produced when processing materials from as deep as 2 meters or more. However, for the purpose of calculations in this business plan, a conservative 4grams per ton is used. Investors should invest in me because the SAHARA mine that I am starting will make significant contributions to the state through tax revenues. That will in turn impact many people in the state of Pennsylvania. I want to make the SAHARA Mine a leading supplier of Gold in the marketplace. This should make financiers proud to facilitate such a great outcome. The SAHARA Mine will also be on the fore front of clean mining; that means a di-gration from the use of Cyanide and mercury This project will be implemented in Zimbabwe - Africa. Certainly, it will help local people who will get employment and the establishment of this company will impact the local economy.

• Self Identified Competition

  COMPETITIVE ANALYSIS The identified competitors are described below: RIOZIM LIMITED Founded: August 29, 1956 Location: Harare Zimbabwe Website: riozim.co.zw Email: [email protected] Phone: +263 86 77 007 168 RioZim was incorporated on August 29, 1956, as Rio Tinto Southern Rhodesia Ltd. It was set up initially to develop and mine the Empress Nickel deposit in the Midlands and was the first mining operation to be set up outside Europe by Rio Tinto plc. RioZim separated from Rio Tinto plc in 2004 and became a wholly owned Zimbabwean company that produces gold, coal, and toll refines nickel and copper. The company is listed on the Zimbabwe Stock Exchange (ZSE). Since its breakaway from Rio Tinto plc, RioZim has had an eventful number of years in which it launched a new vision, mission and value statements, and has some of its operations certified for quality and adherence to world-class standards in occupational health, safety and environmental management. FRIDA REBECA GOLD MINE Location: Bindura, Zimbabwe Founded: 1980 Phone: +263 77 241 1258 Facebook: https://www.facebook.com/groups/136768560025704/about LinkedIn: www.linkedin.com/company/freda-rebecca-gold-mine/ Freda Rebecca gold mine, located 90km northeast of Harare in Zimbabwe, has proven reserves of 2.4 million tons (mt). The development of the Freda Rebecca gold mine began in the 1980s by Cluff Resources through two open pits (Freda and Rebecca). Oxides are extracted at Freda and Sulphides at Rebecca sections. The mine poured its first gold in 1988. Later, it was refurbished and ran its first gold on 13 October 2009, producing 180oz. Phase two was completed by June 2011 and increased production rates to 50,000oz of gold a year by September 2011. BLANKET GOLD MINE Founded: 1904 Location: Gwanda, Zimbabwe Website: https://en.wikipedia.org/wiki/Blanket_Mine The mine was established in 1904 at the northwest end of the Gwanda Greenstone Belt. Gold was previously mined on an artisan basis but was industrialized by the Matabele Reefs and Estate Company, which operated the mine until 1911, when it was sold to Forbes Rhodesia Syndicate. It ceased operations after 1916 but resumed in 1941 under a new owner, F.D.A. Payne. The Canadian mine company Falconbridge Ltd. took it over in 1964 and ran it until 1993, producing over 500,000 ounces of gold from 4 million tons of ore. It was sold to Kinross Gold, which had another 400,000 ounces of gold from 2.4 million tons over the following 12 years. COMPETITIVE ADVANTAGES The following is a listing of the Company's primary competitive advantages upon entering the market.  The samples from the project site indicate that our reef, which is on the surface, carries 2.5g per ton to 4.5 grams per ton. The Company, however, believes that samples to be taken from 2 meters down will yield much higher numbers of grams per ton.  The competitive advantage will rest on the production quantities and the quality of gold we generate.  The Company also anticipates growing fast based on the anticipated success.  The Company believes that the impact on employees and communities will be significant.  The Sahara Mine's contribution to national and international business will be noticeable.  The Company is determined to grow and be competitive in the gold mining industry.  Outstanding leadership skills  Experienced management team with decades of mining industry expertise and extensive sector connections  Proven resource based on many years of mining and prospecting of anticipated acquisitions  Commitment to environmental safety, including the hiring of an on-site Environmental Compliance Manager

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