We/I appreciate the update. I can only reiterate that they best way for everyone involved to actually make some money here is by taking the proceeds of the Fortuna sale and a) distributing those shares to shareholders while winding down CDCH or b) maintaining the company at a near zero expense rate to avoid dilution while waiting for the value of AMC to materialize. I happen to believe that the ultimate path forward for Auryn will be to tender for MDMN and all other AMC holders within the next six month. This would unlock some real value.
One question for you. Can you please provide an explanation for the current ownership split between CDCH and CDCH Chile? It looks like JJ’s ownership was reduced based on the shares returned but I can’t find any details on the capital structure that can quantify what 2490 shares translates to.
I’m not sure if CDCH should expect 5% of cash generated by AMC b/c our ownership is equity not a royalty but, as you say, CDCH will benefit as the value of AMC appreciates. For those arguing that MDMN should consider a larger stake in AMC vs. cash (something I clearly don’t agree with), CDCH represents a far greater value with the equivalent of 30% of AMC when incorporating the outstanding shares (I have a sneaking suspicion that JJ’s ownership through CDCH Chile is close to nil).
Help a fellow investor here. You say that CDCH represents a better value, 30%, taking into account the outstanding of MDMN vs. CDCH - but are you adding the $100,000,000 option amount to MDMN’s 15% of AMC into your comparison? What am I missing? Thanks,
Many are speculating that the % ownership in AMC will dwarf the 100 million. If that is the case then CDCH is in a much better position when time comes for dividends or when Auryn or another party wants to buy the % of ownership from us. I think that is what Baldy is getting at.
If 15% of AMC is worth more than $100M as the likes of Decosta repeats over and over and over and over again than CDCH’s 30% equivalent (when factoring in 1/6 the amount of shares outstanding) is a far better value than MDMN with $100M and 15%…
whether 15% of AMC is actually worth more than $100M is a longer conversation…but I wouldn’t be surprised if tweedle dee (Les) and tweedle dumb (Chapin) would consider taking 25% of AMC instead of the cash and 15%…If this were to transpire…CDCH would be getting a stake equal to 5% greater than MDMN…
to put another way…in this example the 10% would be valued at $100M…so 5% would be $50M…which would equal 20 cents a share for CDCH… MDMN’s 25% would be worth $250M or 17 cents a share (for comparisons sake)
Return for MDMN > 1000%
Return for CDCH> 2000%
The question remains. What is AMC actually worth. Sure as hell ain’t a billion $$ today.
Would it be reasonable to anticipate that CDCH would receive proceeds from early production long before MDMN? It would certainly be interesting to see market reaction to a dividend of any size.
How about this (pure speculation understood), will CDCH see revenue from production before MDMN sees the option exercised? Curious as to thoughts on this.
5% of AMC is currently worth $2.5M (CDCH’s market cap)…MDMN’s 15% would be worth $7.5M
For those looking for a direct investment in AMC, this is it.
AMC’s current value (with CDCH as the only public indictor) is currently $50M (CDCH 5% at $2.5M)
For those claiming we should give up 10% of the AMC for $100M they should be buying CDCH up to 20 cents.
There’s no reason to have separate boards for CDCH/MDMN as they are now officially one in the same. In fact, the news (early production) and price action (AMC valuation) for CDCH will probably be more active and telling vs. anything we see on MDMN for the next couple months.
Exactly my rationale to start accumulating CDCH finally after all this time yesterday and one order up to 1 cent this morning. CDCH has 5% of AMC in hand. Buying CDCH is buying a portion of that 5%. No more Les. No more Juan. 5% of AMC. No optionality. Just 5% of AMC who is pouring money into the mountain to let it sing at last.
And you have a potential initial mover advantage over MDMN should CDCH actually see some early money out of the production. Auyrn has said “cash flow positive” by the end of 2016, so this is not certain by any means, but possible. But BE already said that.
I did my initial thing. I am through for now unless we slip under 1 cent again.
Perhaps you didn’t see this statement in Medinah’s latest filing?
“During the year 2015, the Company accepted 750 million shares of newly issued Cerro
Dorado, Inc. in exchange for payment of a $151,325 receivable. At the time they were received,
the shares had a value of $593,100, leaving an extraordinary gain to the Company of $441,775.
These shares are on deposit in the Company’s brokerage account.”
You’re right. I did. Points for you, Mr. CDCH hater.
1.25B shares for Cerro (750 + 275). That will hurt the end score. Had to have been in Q4 because as of the Q3 filings it was still 275M and that still shows on OTCMarkets.
But I have enough MDMN I am sick of looking at it. I picked up 200K of that earlier this morning. I suspect I will be good on both.
750M for $151K or $.0002 cents per share. Nothing ridiculous about that.
