Things appear to be moving along great for Auryn of which I don’t have converted/dividend shares of.
It was reported Mdmn has them in possession but no word of distribution for a very long time now, Why not?
I’ve asked but the only answer I hear is either focus on AUMC or I don’t have anything to do with Mdmn anymore,
Until we have AUMC shares, we’re stuck with Mdmn and who knows where it will end up.
Wish they’d exercise their fiduciary duty and inform us!!!
I am guessing that they are waiting until positive AUMC news gets the share price up. I suspect they don’t want to release all these shares while the price is this low. Just my opinion.
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We were also told it will be done at a time that is more beneficial to shareholders. What was implied from that statement is that when AUMC is trading higher, Medinah will need to sell less of the AUMC shares to cover the outstanding debt that remains before the rest can be dividended out to shareholders. The higher the price on AUMC therefore means the best rate of converted/dividended shares you will receive. That passes the logic test and aligns with being told that they are waiting for the the most beneficial time for shareholders.
Now, why can’t they just come out and officially say that it is the reason? It would be nice if they did confirm the reason publicly but instead we received the above paraphrasing in someone’s communication with Raul, CEO.
Perhaps there are still some legal entanglements that they don’t feel like getting into publicly right now. Wiz seems pretty confident on the 200 to 1 rate so that makes many of us less anxious. AUMC will rise rapidly and quickly along with MDMN when they start releasing production numbers and financial forecasts as was outlined as their objective in the last quarterly update.
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Shareholders have speculated on what the company is doing for years.
Mdmn could simply say they will be issuing the Aumc stock when the time is right.
I don’t want to hear what their intent is but rather the stock is forthcoming when the time is right!!
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That is exactly what this says . . .
January 2021 Shareholder Notification | Medinah Minerals, Inc. (medinah-minerals.com)
Medinah Minerals, Inc. owns 16,104,200 common shares of AUMC received from AURYN Mining Chile, SpA. These shares are currently restricted. The Company intends on removing the restriction, selling a small portion of its shares to satisfy corporate liabilities and legal expenses, and allocating the remainder of its AUMC shares to its shareholders, pro rata, in the form of a dividend payment. This is subject to a final recommendation by our securities attorney and approval by regulatory authorities.
The timeframe for these actions is to be determined and is based on the Company’s desire to maximize the number of AUMC shares it is able to retain and allocate to its shareholders.
Getting these shares cleared post LP fraud is not as easy as you think. Nor is the process of getting FINRA to approve an allocation or dividend or however it has to be done per attorney’s recommendations.
It will be done when it’s done. The company should not say another word about it, in my opinion, until they have an approved and unobstructed path with defined timelines.
The stronger and more solid AUMC becomes the easier it is going to be to get this done. When AUMC achieves consistent production, audited financials, and proper reporting it will be much easier for MDMN to execute on the plan outlined in the aforementioned shareholder notification.
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Thanks WIZ, I agree with everything you just posted. Probably one of the most important recent posts on this forum’s current thread. Also, I’ll add that we will all get our AUMC shares distributed one way or another when the regulatory path is clear as either an allocation or dividend from ownership in MDMN. It makes no sense to promote Auryn until MDMN shareholders can directly benefit from ownership in MDMN in a substantial way that benefits all shareholders (i.e. both former CDCH owners and present MDMN holders). There is no reason to primarily benefit only the relatively few current shareholders of AUMC (there are actually only about 2.5 M freely trading shares in the float) who can directly benefit from increased liquidity and trading today if information was aggressively publicly promoted. Strategically it just makes sense to bring value to AUMC through free cashflow, quarterly disclosures of mining activities, regulatory progress of increased permitting, and the clear path with defined timelines to distribution of unrestricted AUMC shares to MDMN shareholders.
But it is really no surprise given all that has occurred since in Dec 15, 2017 when AURYN Mining Chile SpA sold it’s mining claims to Cerro Dorado. There was a tortuous process to bring us to where we are today with this investment. Yes, looking forward is where we should all be looking, but it is important to remember discussions and expectations we had at the time that were speculative, and still are, but to a much lesser degree. There is probably good reason for not allowing previous direct quotes from previously closed Quarter discussions of years past. I know most everyone here has lived through this adventure and doesn’t like bringing up the past. But at the risk of recalling our history, I think it would be of benefit to reread some of the lively posts from the 2018 Q2 General Discussion that occurred prior to the company’s name change and the dreaded “cone of silence”.
Then, as now, I see illiquidity as quite likely strategic and purposeful. When I look back, what I see is a carefully mapped out strategy to navigate the regulatory requirements needed to eventually file with the U.S. Securities and Exchange Commission and become a fully reporting company. Then the question that was being asked at that time will be answered. “Does AURYN still intend to move onto the OTCQX® or OTCQB® tier of OTC markets?” I believe that is where management is steering this company. That’s the company I want to own!
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Speaking of one Mr. LP, did he ever pay his court mandated fines? Is he behind bars, if not, why not? Also, I apologize if this is taboo for this forum.
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I think you are allowed to trash LP all you want on this forum!
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Late afternoon volume came in. Reached .004 again. The next positive update should move us above .004 and hold.
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Time for another tweet from Auryn
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I’ll be happy with at least a Christmas card from MC that has a nice update in it. We shall see
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Really? Given all the advances on the project this year? They could do nothing the rest of the year and I am still delighted in comparison to 1997 through 2020.
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Considering the price of coal the kid should be smiling. 
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Well said my friend! Thanks for all you contribute to this site.
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I second that. Not just this site, but representing us all as a shareholder advocate. I feel a lot more comfortable having him in this investment along with us. Thanks again Wiz
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The Christmas gift this year are these sub penny prices to load up on. I think we are getting close to the last time we will be able to say that. I firmly believe MDMN pps will be back over .01 in 2022.
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expect nothing less and nothing more than quarterly updates, unless there’s a tweetable event. That’s the established pattern for AUMC. Each update gives the success and failures of the quarter and outlines goals for the next. It’s good transparency and I for one am thankful that they are hitting 90% of their quarterly goals. AUMC SHARE DISTRIBUTION NOT INCLUDED IN THE OP-ED ABOVE
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Last December 14, 2020, MDMN traded for 0.0005
Today, December 2, 2021, MDMN closed at 0.0032
Up 640% since the low.
My second-favorite year in MDMN so far…
Trailing only next year!
– madmen
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THE AURYN/MEDINAH SCENARIO IS ABOUT THE MOST INTRIGUING YET COMPLEX INVESTMENT SCENARIO I’VE EVER WITNESSED IN INVESTING IN THE MINING SECTOR FOR 41 YEARS
Over the Thanksgiving holiday, I was approached by a couple of very large shareholders in Medinah and to a lesser extent Auryn. They wanted my 2-bits worth on progress to date and some guidance as to where I thought this thing was going. I found myself saying that this thing has so many moving parts that the complexity is beyond comprehension. I did get the opportunity to bore them to tears on the history of developing mesothermal vein deposits in the Western Hemisphere but I was able to revive them with a couple of ampules of ammonium nitrate/smelling salts.
I explained to them that you need to broach this topic from two different angles. First and foremost, there’s the geology. Even as a card-carrying Geo-dork, I couldn’t be happier with the geology. The mesothermal vein system has both “geological continuity” and “grade continuity”. It’s kind of like a smorgasbord. With the developments made to date, where in the heck do you start producing from? I would liken the current development efforts within the Antonino Adit to adding more entrees to the smorgasbord spread.
I tried to impress upon them the concept of “cherry picking” a new vein deposit. Auryn gets to pick the juiciest and lowest hanging fruit available. I don’t know if they’ll do it or not, but I referred them to the NI 43-101 done on the El Penon Mine by a combination of Meridian Gold and Yamana. This deposit was recommended by the head of the Mining Engineering Dept. of a university that Auryn is working with. He has intimate knowledge of both the ADL mesothermal veins and the epithermal veins at El Penon where he had done some consulting. You can find the 43-101 Technical Report at:
In regards to the “cherry picking” of a somewhat virgin vein deposit, pay special attention to Figure 6.1. Notice how in 2002, Meridian gold was mining ore with gold grades of 15 gpt which is an excellent grade. In 2020, all of a sudden, the average grade dropped to 4 gpt gold. Meridian made their shareholders a lot of money right from the get-go. They also managed to attract the attention of Yamana who took them out in 2007. The big money is made up front, when you can “cherry pick”. My read is that Auryn is currently listing out their mining options. They’ve told us several times that they’ve especially got their eye on two what they refer to as “massive veins”, which averaged over 2-meters in width at surface as well as showed exceptionally strong surface grades. These two veins are located west of, deeper into the mountain, from the apparent intersection with the DL1 Vein.
From a geology point of view, management summed it up pretty well when they recently stated that “all indications are that the primary target, the DL1 Vein, is widening with depth and getting richer with depth”. This is exactly what mesothermal vein systems are supposed to do.
I promised my 2 friends to put some thoughts onto paper and get back to them on the various share structure and ownership structure complexities. The following is the best I could come up with as a description of those complexities.
A lot of people use “market caps” (share price times the # of shares O/S) to compare two investment options. With similar assets, one would probably opt to buy the shares of the corporation with a lesser market cap. The (MIS-)assumption being made would be that ALL CORPORATE SHARE STRUCTURES AND ALL CORPORATE OWNERSHIP STRUCTURES ARE CREATED EQUAL. The corporate share structures and ownership structures determine how a mining corporation’s assets are “packaged”.
The corporate “packaging” can be highly determinative of the success of the investment. How many shares does Auryn really have “outstanding” from a COMPARATIVE point of view with other mining investment options? I would argue that for all intents and purposes it’s not the 70 million shares that the financials say are TECHNICALLY “outstanding”. It’s also not the 2.9 million share figure representing the miniscule readily sellable “float” of shares. It’s somewhere in between.
Although they are technically “outstanding”, RESTRICTED SECURITIES and CONTROL SECURITIES (as per Rule 144) are not “free-trading”. They are not part of the “supply” variable that interacts with the “demand” variable that determine share prices via the “price discovery process”. But what about the metaphorical category of “eventually will be SUPPLY” of AUMC shares like those that Medinah has in its coffers? People that use market cap comparisons ASSUME that all corporations have perhaps 2% of their shares in a RESTRICTED status and that management owns perhaps 3% or so of the shares. How do you deal with a corporation like Auryn in which management owns over 60% of the shares “outstanding” (as opposed to 3%) and about 80% of the shares (as opposed to perhaps 3%) are currently RSTRICTED? Obviously, market cap comparisons are not going to work and would only be grossly misleading.
Maybe we need a couple of new terms in our vocabulary. How about “EFFECTIVE number of shares outstanding” or “EFFECTIVE market cap”. Should we be making an apples-to-apples comparison of shares outstanding with Auryn which TECHNICALLY has 70 million shares o/s with a “float” of only 2.9 million shares and “Company X” with 70 million shares outstanding, ZERO RESTRICTED SHARES and a “float” of 65 million shares? Clearly, the standard measure of “market cap” doesn’t go far enough in providing the basis for comparing the potential profits associated with an investment in corporation “X” versus “Y”. But who is going to tell prospective investors in Auryn/Medinah of this extremely favorable corporate share and ownership structure that Auryn features?
In regards to Auryn, if your investment intentions are to be in and out before any of the currently RESTRICTED shares become UNRESTRICTED, then those RESTRICTED shares, for all intents and purposes, don’t exist for you. For comparative purposes, is Auryn’s market cap really 90-cents times 70 million shares or about $63 million? Or, for comparative purposes, might it be more like $20 million or so? How do you compare two corporations each with 70 million shares TECHNICALLY OUTSTANDING, the exact same mineral deposit, but one is made up of shareholders needing a 10-bagger to get back to even (like Auryn/Medinah) and the other has most of their shareholders sitting on triples and just waiting for a cue to sell their shares?
From a potential for a successful investment point of view, the two choices differ like night and day. Keep in mind that the old Cerro shareholders, who now own the vast majority of those 2.9 million shares contained in the free-trading “float” of Auryn shares, are down somewhere in between a 5- and a 10-bagger just to get back to even. If it weren’t for market makers willing to “inject liquidity” by selling nonexistent shares into buy orders, there would be pretty much no liquidity whatsoever in Auryn. You may have noticed a recent transaction in the trading of AUMC in which an approximately 200,000 share block was “crossed” from one account to another. This may or may not have been a market maker with an existing naked short position “refreshing” that short position by “crossing” it from his left hand to his right hand. It is not necessarily illegal for a MM to sell fake shares into buy orders in thinly-traded securities. It is, however, very subject to abuse. Market maker are going to be all over any stock with a 30% “spread” between the bid and the ask. They live off of the “spread”.
I guess the message would be to be careful of your ASSUMPTIONS in regards to corporate share and ownership structures. I need to admit that I’m in uncharted waters in regards to Auryn and its share and ownership structures. I’ve never seen a more favorable share or ownership structure when it comes to the prognosis for the success of a mining investment. It will be interesting to watch how things play out once the world figures out that Auryn’s mineral assets are for real.
It’s almost like we need a bunch of asterisks when describing Auryn’s share structure and ownership structure. Auryn technically has 70 million shares o/s* ………….but the “float” is only 2.9 million shares instead of perhaps 290 million shares for company “Y”. Auryn technically has 70 million shares o/s*……but management owns over 60% of them in a RESTRICTED/CONTROL SHARE format in which they can’t sell any without filing a Form 144 warning investors that they want to sell a little bit per quarter. Rule 144 restricts the number of shares an “affiliate” can sell in any one quarter.
These RESTRICTED/CONTROL shares held by management aren’t part of the SUPPLY of readily sellable shares often referred to as the “float”. Auryn is in the process of going into production*…….but they have bypassed the dilution that other miners face at this time because management advanced the funds necessary to go into production at zero interest rate i.e. Auryn’s “cost of capital” is zero. There was zero dilution involved in either the percentage of the asset owned (still at 100%) and the share structure (still at TECHNICALLY 70 million shares o/s). Management even went to the extent of saying that the cash advanced to date need not be repaid unless and until the profits from the operation allow it to be repaid. Who knows how long this zero “cost of capital” might continue into the future?
How does one place a ”value” on this “zero cost of capital” policy or all of these other asterisks? How do you do an apples-to-apples comparison to other potential investment opportunities whose management doesn’t circumvent all of that dilution? The answer is simple, you can’t. I guess the message should be to just be aware of these realities because you’re not likely to see them again in any future investment.
Note that a teeny tiny “float”, like 2.9 million shares, is wonderful from a potential share price appreciation point of view when positive news is released but when it comes to cash dividend distributions all RESTRICTED SHARES get to participate. The question arises as to how the management team of a corporation with that many “asterisks” should strategize differently than how the management team of more of a “plain vanilla” type of mining corporation might when management might own 2% of the shares instead of 62%. I think that the answer lies in providing shareholder rewards through a mixture of share price appreciation and cash dividends.
One fact that people should be aware of is that Medinah is currently holding down the PPS of AUMC. Almost all investors interested in placing a bet on the ADL go to Medinah because of the 200-to-1 ratio and better liquidity and tighter spreads. This morning the spread on the AUMC market is 30%; it’s 3% on the MDMN market. Oddly enough, an insanely tight share structure will temporarily actually PENALIZE AUMC’s share price instead of benefit it.
This is because Medinah offers a different route to invest in the ADL Mining District. When the distribution of Medinah’s 16.1 million AUMC shares occurs, all interest in the ADL Mining District will funnel into the purchase of AUMC shares alone and the “float” will still be plenty tight. Right now, circumstances cause all of the buying attention to be routed to Medinah. The supply of readily sellable AUMC shares will go up with distribution but it’s offset by the funneling of ADL buying interest to AUMC only AND THERE WILL BE MORE INTEREST IN AN ABSOLUTE SENSE AS DEVELOPMENTS ROLL OUT.
I would bet a dime to a donut that some investors are reticent to buy AUMC shares today because of the concern about 16.1 million shares being added to the SUPPLY variable of readily sellable AUMC shares. How about the DEMAND for AUMC shares variable? One would think that the spreads between the bid and the ask for AUMC shares might tighten post-distribution of Medinah’s AUMC shares. Do prospective investors currently on the sidelines know anything about these complexities and all of these “asterisks”? Of course not. To them, Auryn has 70 million shares outstanding PERIOD. There’s a big spread between the bid and the ask and I refuse to pay it PERIOD.
So how are all of these complexities and “asterisks” likely to work out in real time when Auryn goes into profitable production? Once it has started, I think it’s going to go fast. Both the share prices of Medinah and Auryn will probably find their new levels rapidly. Auryn’s tiny float could “pull” on that 200-to-1 STEEL CABLE linking the two share prices or for that matter Medinah’s share price could “push” the PPS of Auryn upwards. What I think that the participants of this investment forum might tend to forget is that literally nobody has ever heard of the ADL Mining District, Auryn or Medinah. The number of interested “eyeballs” watching this scenario should escalate rapidly. What’s going to happen when a prospective investor steps up to the plate and decides to buy a couple hundred grand worth of one or the other’s shares?
I’m coaching my 4 kids to keep a close eye on the 200-to-1 ratio for now. Take advantage of the “discount” accorded to Medinah. Medinah had corporate governance issues many years ago but that damage has been incorporated into a bloated share structure. The damage has already been absorbed and now they’re just a boring holding company. I’m sure there are some people that associate “Medinah” with corporate governance issues and that’s just fine. It allows Medinah to trade at a “past corporate governance” discount to reality. The allocation/distribution process will rectify that issue. The discount can be measured by how much the two share prices vary from that 200-to-1 ratio.
What makes sense to me is to buy the Medinah discounted brand of ADL assets and later sell the AUMC brand of ADL ownership with that Lamborghini-like tight share structure. But I warn my kids that soon Medinah WON’T be a lead weight around AUMC’s share price and that Lamborghini-like share structure of AUMC will have its day. The key thing is to think of that 200-to-1 ratio as a STEEL CABLE. It is an eventuality on the dividend Ex-date no matter what that ratio is today.
It’s not clear to me if Auryn management is going to choose to continue to advance the Antonino Adit NOW so that they can intersect the two massive veins and add them to the smorgasbord spread or to start the dining experience and concentrate on producing from the DL1 Vein intersection or perhaps a combination of the two.
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