So in the meantime the market makers can make good on their naked short shares by fleecing desperate shareholders and pick up millions of shares at .0001
Also, BB are you ok that MC has not disclosed the details of the financing arrangement now that it has been finalized?
Exactly re covering short shares. They eliminated our shot at a big squeeze!!
Its abundantly clear that thereâs nothing that MC can or will do that doesnât warrant immediate praise. Thereâs something to be said for blind optimsim and support but, at a certain point, thereâs a loss of credibility when any and every move made my AUMC is spun as bullish. Eight years and 95% losses in the underlying investment may indicate a âfewâ misteps for the objective observer.
In an earlier post BB referenced a âbuy strategyâ he had implemented where he would buy additional blocks in MDMN as certain milestones were met/boxes were checked. Not an easy strategy to implement when the stock is trading at .00001 by appointment only. Somehow even this develpment was supported as some part of a grand strategy. It rings a bit hollow.
How does any investor understand what they own if the detailed terms of this financing are not disclosed. How does a $20M dividend fit into the next few years of cash flow? If you donât know, its literally impossible to assign a value to the company. Technically, AUMC as a penny stock doesnât really have to disclose anything but, for those trying to hold MC/AUMC to a higher standard, it should be mandated IMHO
When have we seen any contract from these guys?! Maybe jimmy is spot on, and this is an insider deal. Where is the transparency?
Baldy, There are a lot of things that ring a bit hollow as the years go on. It was back in January of 2018 you said,
"Bottom line: CDCH has been the better way to play this investment for the last couple years but MDMN is the better play, today, for anyone looking to add or initiate a position.â
⌠and I fully agreed then and now, as I was equal weight $$$ between Cerro and MDMN. But Baldy, You incorrectly rationalized âMDMN is the better play, today, for anyone looking to add or initiate a positionâ after the Dec 15, 2017 disclosure : 
âCerro now has 7 billion shares issued and outstanding, no debt, and owns 100% of the Altos de Lipangue mining district claims that AURYN Mining Chile SpA took several years to consolidate.â
You were clearly wrong back then and continue to mislead now as you did then. At least, I strongly disagree with you and many of your projections, all based on sound standard valuation practices, which this company has been in no position follow. MDMN did not consolidate 1 for 100 the way CDCH and Auryn did. That makes a difference today, which is rather hard to explain. 3 Billion shares in the OS may be partially responsible for why MDMN is a placeholder stock and not a trading stock. Just look at how far this company, AUMC, has come to realizing the goal of getting rocks out of the ground! Shareholders here are not the only ones that have suffered.
I recognized back in 2016 when responding to one of your diatribes, âThatâs why shareholders who are fully invested here need to put it in the sock drawer until we start seeing production numbers.â
Thatâs what was and is working for me, but granted, not everyone has the same means to diversify their investments as you surely do. There are a few here that have suffered greatly as both you and I have, but manage to rise above it elsewhere with our other investments. We are blessed in that!
Keeping up to date is important. Iâll paraphrase part of what Leigh Goehring had to say earlier today:
Leigh just posted on VRIC Media (Vancouver Research Investment Channel): Investors Will Be Shocked How High Commodity Prices Go in Historic Bull Cycle.
Going back to the late 1990s, of the 10 large companies with records going back that far and still producing, they are massively discounted from where they were before. Regarding the entire mining space, the smaller speculative companies get, relative to wherever they may have been before, cheaper! Leigh emphasizes, so on average, the big high quality producers are cheaper than ever! Looking at the small projects that are not yet producing, or are still exploring, those are the cheapest ones out there and as cheap as theyâve ever been as well. Iâm not at all surprised we fall into that space of âcheapest everâ, disappointed, yes, but not surprised. Thereâs no sense in continuing to beat down this stock for personal satisfaction.
There are many small companies nearing production that will surprise the investment community as they lag behind the larger producers. I count AURYN to be one that will surprise those shareholders with enough fortitude and patience to be around once all is in place and production begins. I just happen due to my own poor judgment early on to be fully invested here. Iâm not waiting to jump in right here like the crowd you, Baldy, seem to be cheering on. There are many small speculative stocks out there that are further along in derisking their assets and follow a more traditional valuation route to financing and mining. They are ready to be revalued well before this company and thatâs where Iâve been putting profits. I think we have a couple of very interesting and profitable years ahead as we wait for Maurizioâs team to put it all together.
EZ
Easy. I applaud you for spedning the time to try to find âgotcha momentsâ on something I stated 7 years ago but its important to get it right. In July of 2021 I stated:
Related to buying AUMC vs MDMN Iâd argue itâs paramount to consider the capital structure. This shouldnât be a linear math exercise based on percentages of assets. The NOLs held by MDMN will not survive as it is indeed a shell vs holding company. I donât see a new board taking the reins and bringing things âcurrent.â I believe BB previously asserted that it was wise for MDMN to not waste money on the same. Iâd also argue that having shares in AMNP does not equate to a percentage on those assets. The last 20 years of MDMN holding on to an increasingly smaller percentage of the âassetsâ should have taught us something. AUMC seems to be a cleaner plays if youâre going to play.
Whoopsie Daisy Easy you must have missed that one. And for what its worth, for the brief window when I claimed that MDMN was probably the better investment vs. AUMC it actually peformed inline with AUMC.
Also probably worth noting that while I was right about CDCH before 2017,and only slightrly right between 2017-2020 when I shifted to MDMN for the arbitrage play, then spot on after 2021âŚIn Jan of 2021 AUMC was trading 80 cents, now down to 50 cent, or a 38% loss at todayâs prices. MDMN was trading at .0015 and sold off to .00012, a 92% loss (not including the new exchange where it would be a 100% loss). I never bought shares. I was simply opining on what I would do if I were looking to add.
Seems like the only thing that is hollow is Easyâs despearate attempt to nail down Baldy while not being able to understand timelines. The archives exist for anyone, who can actually follow them, to vet past posters right and wrong predictions. Iâve said plenty of things that turned out to be incorrect. Just requires a bit more motivation and intellect for anyone looking to expose them.
Very suspicious to say the least. They have been touting their intention to give value to shareholders via cash dividends but now they ink a deal to give the financiers $20M in cash dividends with zero transparency. Cool
Why wouldnât they do a small raise by at least asking loyal shareholders first? The only reasonable explanation is that its favorable to insiders. Dont forget MC is the son in law of JJ. Why should any of them be trusted? Les committed fraud under MCâs nose? I doubt it. That was his leverage to take over the assets. Fine, canât argue we arent better off with someone actually developing the property. However if MC wants to maintain integrity, he needs to stand by the last part of his most recent update and actually provide transparency, not just say you will!
I wouldnât be surprised if Goodin and other insiders/ Board members are benefitting from this finance arrangement. If they were half smart, they would do it via under the table kickbacks. Not releasing the details only raises suspicion. So why not put that to rest if theres nothing to hide? Who the hell is this company lending us money?
Slightly right? 
You still believe you are never wrong and smarter than everybody else. Thatâs ok, these antics are progressively amusing. You deserve credit for having knowledge about the markets & mining stocks. Kudos. But others here have superior knowledge in other aspects of mining, geology & charting. NOTE: Itâs possible for TMP members to go back and change their posts, too. Knowing this, itâs really a waste of time to put as much focus on your posts, as you suggested - imho.
No matter. easymillions still quoted you correctly regarding your post from 2017 âŚ
You response was a quick distraction by placing the focus on a post from 2021. I donât see how that negates what you said a few years prior. Shareholders probably bought a lot of MDMN upon your recommendation instead of CDCH or AUMC. It worked out much better for those of us who bought the latter, though.
Slightly right. Sure John, whatever you gotta say to help balance this out in your own mind.
Its difficult to tell if you a) are too illiterate to understand what Iâm posting or b) too desperate to try to find a way to attack to me that you donât care to understand.
The point being: by mentioning that MDMN was a better play in Jan of 2018 and then going back to favoring AUMC in July of 2021 I was only slightly right in that MDMN was down 12% over that period and AUMC was down considerably more.
MDMN
Jan 1st 2018 $0.0033
July 1st 2021 $0.0029
Also only slightly right becuse owning neither stock was the âright callâ.
Whatâs fascinating is that you are trying to come after me for being âwrongâ (while I was right) over a three year period when I was simply offering an opinion (not actually investing) on MDMN vs. AUMC. Yet, you have nothing but sychophantic praise for a guy (BB) who has offered wildly bullish analysis and buy recommendations, mainly for MDMN, all the way down.
Shareholders probably bought a lot of MDMN upon your recommendation instead of CDCH or AUMC. It worked out much better for those of us who bought the latter, though.
Depite being inaccurate, and ingnoring that I was right to opine that AUMC was the better play for the 5 years prior and post, you are attempting to blame me for influencing shareholders to make bad decisions? But, not your boyfriend for being wrong the entirety of the past 20 years for wiping out millions of dollars across thousands of shareholders who followed his advice.
The moonshine in yâalls neck of the woods must be tip top.
I sleep pretty well in knowing that some of my skepticism on this board may have saved some folks from buying shares of MDMN. While my price target for AUMC (~$0.20) has not changed over the past several years I have been pretty consistent (since 2021) that it was, again, the better relative buy for anyone who felt the urge to make a bet. Thankfully, I did not.
No, John. Iâm not âcoming after youâ in any way you perceive, nor in the way you announce how persecuted you are. Au Contraire!
Usually I try to skip over your posts as much as I possible. Iâm tired of the constant vitriol against anyone & everyone who has different opinions or knowledge about the world of Auryn and junior mining.
Once upon a time I trusted every word you said, similar to how some members do now. But, through the years Iâve learned that you are talented at deflection. Heaven forbid should anyone disagree with you. Another tactic used to maintain your perceived flawless status, is how you cherry pick one sentence to attack while ignoring someoneâs entire post, thereby taking it out of context. One example: Auryn/Medinah - 2024 2nd Half General Discussion - #183 by MDMNJaded
Lately Iâve noticed a slight improvement in a few of your posts, but the tendency soon snaps back like a rubber band. A few specific people trigger you for no logical reason â eg, BB or easymillion â even when someone just mentions them.
I know, itâs very difficult for you to share the stage. But seriously, your snap-backs carry on so tediously to the point of ridiculousness; a habit for so long now itâs just amusing anymore. John, if only you would just post your opinions in a civil manner, without degrading others â that would be wonderful.
No, this is not an attack. Itâs a fact.
Cheers 
IF YOU CAN UNDERSTAND âAISCâ, YOU CAN GET A MUCH BETTER UNDERSTANDING OF WHAT THIS INVESTMENT IS ALL ABOUT
Auryn management told us a while back that they had developed âDETAILED CASH FLOW MODELSâ for the DL2 Mine operation. They shared these with the funders but not with us. I imagine a lot of us are doing our own âback of the napkinâ cash flow projections.
When you do these you never have all of the information you need but one trick to use when you come upon a blank that you canât fill in, is to use industry standard norms/statistics to provide you with a âbridgeâ to cross over in order to advance your efforts with other information you do have at your disposal. One of the key variables you need to estimate is, of course, ALL IN SUSTAINING COSTS or âAISCâ. We all know what the price of gold is but estimating the COST to produce each ounce of gold is more of a challenge. Since 2013, the World Gold Council has pretty much mandated that all COSTS in mining be reported on a âper ounce producedâ basis using âALL IN SUSTAINING COSTSâ or âAISCâ.
Whatâs nice about this is that we all have access to the 5 main categories of AISC, and we know that for the âaverageâ miner mining âaverageâ grade ore (4 gpt for underground vein miners), the worldwide average AISC is about $1,150 per ounce. We also know the approximate percentage of AISC that each of those 5 main categories represent.
The 5 categories of AISC COSTS are: ON-SITE CASH COSTS (we used to call these C-1, C-2, and C-3 cash costs), TRANSPORTATION COSTS, SUSTAINABILITY COSTS, GENERAL AND ADMINISTRATIVE COSTS (âG AND Aâ COSTS) and EXPLORATION COSTS.
The 2 big ones are ON-SITE CASH COSTS, averaging about 50% of AISC, and TRANSPORTATION COSTS which average about 20% of AISC. With this information you can fill in a lot of blanks when they appear. So, you start with the fact that a vein miner mining âaverageâ grade ore (4 gpt) will typically have an AISC of around $1,150 per ounce. This becomes your benchmark.
By far and away the most powerful parameter in estimating AISC and cash flow is GRADE. There is a very, very strong INVERSE relationship between GRADE and AISC. âVERY HIGH-GRADEâ vein deposits typically have VERY LOW AISC COSTS. Extremely HIGH-GRADE deposits, like the DL2 Mine, typically have EXTREMELY LOW AISC costs. The reason for this becomes very obvious when you keep in mind that all COSTS must now be reported on a âPER OUNCE PRODUCEDâ basis in the case of âON-SITE CASH COSTSâ or âPER OUNCE TRANSPORTEDâ in the case of TRANSPORTATION COSTS.
For example, in regard to TRANSPORTATION COSTS, it costs most miners about $500 to ship 20-tonnes of ore to the chosen destination point. Because there are 31.1 âgramsâ per Troy ounce of gold, a grade of 4 gpt represents about one-eighth of an ounce per tonne. Therefore, a 20-tonne truckload of 4 gpt gold ore will contain about 2.5 ounces of gold (1/8th ounce per tonne times 20-tonnes). In this case, the TRANSPORTATION COST PER OUNCE then becomes $500 per roundtrip truckload divided by 2.5 ounces of gold per truckload, or $200 per ounce transported. Remember this is for 4 gpt âaverage gradeâ gold ore. This $200 per ounce figure lines up closely with an average AISC of $1,150 and TRANSPORTATION COSTS averaging 20% of AISC as 20% of $1,150 equals about $230.
Without their own FF plant, if Auryn were to ship 25 gpt gold ore to Enami, there would be 500 âgramsâ of gold in that truckload (25 gpt times 20 tonnes). Since there are 31.1 grams per Troy ounce, this represents 16 Troy ounces of gold per truckload. Under these circumstances, Aurynâs AISC TRANSPORTATION COST would be $500 divided by 16 ounces equals $31 per ounce transported. Note that Auryn shipped about 6-times as many ounces as the âaverageâ miner for the same overall cost, therefore their cost PER OUNCE would be about one-sixth of the âaverageâ miner.
Now letâs suppose that Auryn gets their FF plant funded and that the FF plant further concentrates the original 25 gpt âgold equivalentâ (an estimate) ore by a factor of 4. This is the worldwide average âCONCENTRATION FACTORâ for an FF plant. Now Auryn is shipping a 100 gpt âFLOAT CONCENTRATEâ to the buyer. This represents (100 gpt times 20-tonnes equals=2,000 grams or 64 Troy ounces of gold per truckload) at the same $500 per truckload cost. Now the AISC COST PER OUNCE TRANSPORTED becomes $500 divided by 64 ounces equals $7.81 per ounce. Recall that the âaverageâ miner mining and shipping âaverageâ grade (4 gpt gold) ore paid about $200 per ounce or about 25-times as much âper ounceâ.
The math is pretty straight forward but very revealing. The Auryn ore was a little over 6-times as rich as the âaverageâ grade ore (25 gpt versus 4 gpt) and the FF plant further concentrated that already extremely high-grade ore another 4-fold. Equally important is that the average cost to froth float ore on-site is only $10 per tonne. Now you can see one reason why miners put in FF plants and why they pay for themselves so quickly.
As far as the ON-SITE CASH COSTS category of AISC goes, you donât get a 25-to-1 effect here because the FF process hasnât occurred yet. The ON-SITE CASH COSTS for Auryn would be about one-sixth that of the âaverageâ miner because the Auryn ore is about 6-times as rich (25 gpt versus 4 gpt). The âproductâ of the ON-SITE CASH COSTS is basically a wheel-loader with a bucket full of ore, or if you have your own FF plant, a truckload of âfloat concentrateâ.
It costs Auryn and the âaverageâ miner approximately the same amount to drill holes in the âworking faceâ of the adit, load the explosives, blast the âworking faceâ, scoop up the ore and deliver it to the portal to the adit. The labor, diesel, dynamite, electricity, wheel loaders, etc. all cost about the same. The key is that there are over 6-times as many ounces of gold in each Auryn bucket load than those of the âaverageâ miner. When it comes to ALL IN SUSTAINING COSTS, GRADE IS EVERYTHING AND SO TOO ARE MECHANIZATION ADVANCES LIKE INEXPENSIVE FF PLANTS THAT CAN MAGNIFY GRADES.
Profits are based on TOP LINE INCOME minus AISC. Whatâs interesting about GRADES in this equation is that GRADE is a primary determinant of BOTH TOP LINE INCOME AND IT IS ALSO A PRIMARY DETERMINANT OF AISC COST. So, high grades markedly increases the spread between the TOP LINE INCOME and the AISC, which is the PROFIT MARGIN.
In regard to the other 3 components of AISC: SUSTAINING COSTS, G AND A EXPENSES, AND EXPLORATION COSTS, I would suggest that these too are going to be extremely low for Auryn. âSUSTAINING COSTSâ refer to the necessity of major miners to replace on their balance sheets, via expensive diamond drilling, the ounces they mine annually. The majors need to show the world that they have plenty of âmine lifeâ and plenty of ounces of âMR/MRâ in the pipeline. Auryn doesnât have to drill one hole in this regard. Anybody can look at the 1,000-meter strike length of the DL2 Vein and 700-meter depth and conclude that Auryn is going to be busy mining this vein for a decade or so. After that comes the other 5 Main Veins which are part of Aurynâs âpipelineâ.
As far as âGENERAL AND ADMINISTRATIVEâ expenses (âG and Aâ), Auryn is not paying outlandishly high salaries to anybody. They have no corporate campuses to maintain. Maurizio owns 64% of the shares so it wouldnât make sense for him to pay a huge salary to himself.
In regard to âEXPLORATION COSTSâ, the need to âexploreâ in order to add projects into the âpipelineâ, again, Auryn has enough work cut out to keep them very busy mining extremely high-grade ore in the 6 Main Veins.
For me, whatâs scary about Auryn is the TIMING and the confluence of so many factors. GOING INTO EXTREMELY HIGH-GRADE PRODUCTION WITH ONLY 70 MILLION SHARES OUTSTANDING AND TWO-THIRDS OF THOSE âRESTRICTEDâ, AT A TIME WHEN THE POG IS AT ALL-TIME HIGHS, WITH AISCs PROBABLY IN THE LOWEST 10% OF ALL MINING OPERATIONS, IS JUST A BIT SCARY.
Make no mistake, there is a lot of work yet to do. Once the new FF plant has been functional for a month or so, we should have some cash flow projections from management. Iâm modeling an AISC of somewhere around $900 per ounce based on what I know to date. Once we get some data on ârecovery ratesâ and âconcentration factorâ numbers for the FF plant, weâll know a lot more. What I am really interested in acquiring is the âGRADE-RECOVERY CURVEâ for this plant. FF plant âconcentration factorsâ or âconcentration multiplesâ range from 2 to 20-times worldwide. I gave you the numbers for a 4-fold âconcentration factorâ hoping for a surprise to the upside.
As far as the projected 25 gpt âgold equivalentâ grade of the ore coming right out of the Antonino Adit, which represents the âore feed gradeâ, to date BOTH the GRADES and the WIDTH of the vein have increased nicely with depth. This means that not only is the mineralized ore sitting on the adit floor after a blast of a higher average grade, but there is also more of it. This is a very powerful combination if it continues.
If youâre having trouble picturing what is going on at the DL2 Mine, assume that the plateau surface has a giant watch dial on it. The DL2 Vein runs from NNW to SSE. This would represent from 11:00 to 5:00 through the center of the watch dial. The Antonino Adit was started at about the 2:00 position on the watch dial. It was directed towards the SSW and it intersected the DL2 Vein at the center point of the watch dial, essentially bisecting the DL2 Vein.
As the Antonino Adit was being constructed/âdriftedâ, it intersected about 24 mineralized âstructures/veins/faultsâ. A 48-tonne sampling of this material was taken for assay sampling and the results came back with an average grade of about 20 gpt âgold equivalentâ or about 5-times the average grade being mined in similar underground vein mining operations.
These various âstructuresâ ran in parallel to the DL2 vein i.e. from NNW to SSE. So, the adit basically went through the narrow width of these âstructuresâ which averaged about 0.5 to 1-meter. After going through a structure there was a stretch of about 20-meters of boring, somewhat sterile, host rock granodiorite. Picture these âstructuresâ as being colored light-yellow indicating mineralization of a certain nature. The host granodiorite would be colored white as it was nonmineralized. The 48-tonne sample would have been âcoloredâ a very faint yellow.
The grades of the DL2 Vein are heads and shoulders above that of the Antonino Adit. They averaged about 150 gpt at the intersection point of the adit and the DL2 Vein. Picture this ore as being âBRIGHT YELLOWâ in metaphorical âcolorâ. Upon intersecting the DL2 âBRIGHT YELLOWâ Vein, the geoscientists made a right-hand turn (to the NNE) and now their mining efforts are in solid âBRIGHT YELLOWâ ore for about 500-meters in length. At the intersection, they also made a left-hand turn (to the SSE). That branch of the adit is also mining âBRIGHT YELLOWâ ore, for many, many years to come.
Auryn will be doing this exact same type of mining at dozens of different levels below this new level 3, i.e. that of the Antonino Adit.
The days of going through a perhaps 1-meter width of vein material. As experienced in the Antonino Adit, are over. Itâs all âBRIGHT YELLOWâ ore from here on out. If you look at a âworking faceâ of these 2 adit branches at each level, the âBRIGHT YELLOWâ material will be in the center of the âworking faceâ of the adit. Its width might average about 1-meter or so at level 3 but it is getting wider with depth. To each side of this âBRIGHT YELLOWâ VEIN PROPER material will be a strip of less well-mineralized wall rock material that you should picture as being whitish in character.
Since the adit width is 3-meters, and the average width of the VEIN PROPER (containing the âBRIGHT YELLOWâ material) is about 1-meter, you need to divide the grade of the âBRIGHT YELLOWâ material by 3 to estimate the grade of the ore being mined on a daily basis. The 150 gpt average grade VEIN ONLY (âBRIGHT YELLOWâ) material now becomes about 50 gpt âgold equivalentâ ore of a âMODERATE YELLOWâ metaphorical color. ONE HUNDRED TONNES of this material gets âfedâ into the FF plant every morning as âORE FEEDâ. For the sake of conservatism, Iâm rounding down the expected average grade of this material from 50 gpt gold equivalent to 25 gpt gold equivalent in the interest of âMANAGING EXPECTATIONSâ. Itâs extremely difficult to assert that this material will âAVERAGEâ 50 GPT âgold equivalentâ when the average grade being mined worldwide is only 4.18 gpt gold.
The grades of the silver and copper are also extremely high and they have been determined to be âPAYABLE METALSâ. In a scenario like this, what you do is talk in terms of âgold equivalentâ grades and you add to the grade of the gold, the contributions of the silver and copper. In this ore I am penciling in at averaging 25 gpt âgold equivalentâ, about 20 gpt of this is from the gold itself and about 5 gpt of it comes from the âby-product contributionsâ of the high-grade silver and high-grade copper. This is called a âPOLYMETALLIC DEPOSITâ and might be of interest to anybody seeking exposure to any of those 3 metals.
If youâre confused about the complexities of a froth flotation plant, try to think of it in terms of the working faces of the DL2 Vein. You have a 1-meter or so wide strip of âBRIGHT YELLOWâ material in the middle of the âworking faceâ. You have a 1-meter wide strip of nonmineralized or lesser mineralized âWHITEâ material on each side of the âBRIGHT YELLOWâ material.
When you crush this ore and run it through a ball mill, youâre going to get a pile of sandy like material with a âMODERATE YELLOWâ color to it. This material goes into the FF plant that has a string of cylindrical âcellsâ lined up in âbanksâ. These are full of water. A stream of bubbles is introduced into the bottom of these âcellsâ. A âreagentâ called âethyl xanthateâ is introduced into the water and an âagitatorâ mixes up the sandy material and the bubbles.
The âreagentâ coats the gold particles and makes the gold become âhydrophobicâ which means that it hates the water part of this mixture. The gold particles covered with the âreagentâ makes a beeline to the air bubbles and they ascent to the future of these âcellsâ where they form a âfrothâ. The high-gold-content froth is periodically skimmed off and kept. The nonmetallic material is âhydrophilicâ, it likes water. This worthless material, the âtailingsâ, drops to the bottom of the cell from which it is discarded to an on-site âtailings storage facilityâ. The EXTREMELY HIGH-GRADE FROTH is sold.
In essence, when you go back to the image of the working face of the adit, the nonmineralized âWHITEâ material is the stuff that sinks and is discarded. Some of the âBRIGHT YELLOWâ material also has worthless material incorporated into it. This also drops to the bottom of the cell and is discarded. What youâre left with is âSUPER BRIGHT YELLOW FROTHâ which is sold. All of this âmagicâ only costs about $10 per tonne to occur. This includes both the âCAPEXâ to buy and build the plant as well as the âOPEXâ (operating expenses) to run the plant and buy the reagents. That discarded material, the âtailingsâ will never have to be TRANSPORTED anywhere, which costs money, and it will never have to be SMELTED which costs a lot of money (about $184 per tonne). In essence, you spend $10 per tonne to save $184 per tonne in SMELTING COSTS and âXâ amount per tonne in TRANSPORTATION COSTS.
The details of your post explains the mystery of how the mining all comes together, including how itâs valued. I particularly like the details of how the complex FF plant functions from crushed mineralized sand to its inner workings. Then introducing âethyl xanthateâ thatâs agitated together with the ore-sand & bubbles of water, all the way to to the extremely high grade FROTH produced at the end. The process is genius. EZ provided a visual diagram of this in the recent past; now your written details connect with that visual quite well. Nice. Iâm just gonna highlight that part here âŚ
You saidâŚIf youâre confused about the complexities of a froth flotation plant? Doc Iâm confused about most of the stuff you are saying but when I know you knowâŚall is good! 
Stop name-calling! Everyone.
How does this statement (amongst many) jive with:
Our management team is diligently developing the Mining Plan for Fortuna with the goal of achieving our mineral extraction production targets as quickly as possible
Without prodution targets a âdetailedâ cash flow model does not exist.
BB, as the de facto cheerleader and loyal shareholder âspokespersonâ do you feel any responsibility to insist that AUMC provides the details of the recently completed debt financing?
While we also appreciate the small novel dedicated to your analysis (wild guess) on the AISC, could it be argued that the terms of the debt financing may have a larger impact on this investment?
Maurizio recently ârevealedâ to you that the FF plant would result in FF concentrate sales. Build on that valuable nugget of inside information and your recent correspondence to gain a bit of transperency on the terms of the financing.
Truly a waste!
New highs for Gold at 2620! Will this be even higher once we get into production? Time will tell.
Itâs not a waste!
As moderatorâs weâve tried to be respectful of the fact that everyone has a voice.
We would truly dislike removing more posts or suspension because of unnecessary tit for tat responses!!!
This is a warning!
I meant tit for tatâŚâŚ
Hay Done Deal,
What do you figure that stockpiled ore is worth now? (Iâm sorry, I couldnât resist!)
Seriously, if you review the press releases, you will learn that Auryn was indeed in âmining and stockpilingâ mode for a little over 200 days. During this time, the mining was done âDIRECTLY FROM THE VEINâ. This suggests that the grade of the ore was very high because of the lack of dilution from the less well-mineralized granodiorite âwall rockâ. The problem is that management never gave us any indications for the TONNAGE that was stockpiled.
Whether they stockpiled $5 million worth of ore or $25 million worth of ore, it doesnât really matter in the long run. The key is that on Day 1 during the commissioning of the FF plant, you want plenty of âfeedâ available in order to keep the 100 tonnes per day âthroughputâ maxed out.
If there is a lag period between when Auryn can produce 100 tpd out of the adits and the commissioning date, you want stockpiled ore available to fill in the void. In the last update, you read that the adit is all cleaned up again and ready to go. In Chile, weâre right at the beginning of Spring. With a little luck we might have 10 or so good months of weather in store. Iâm going to guess that we might get word soon that theyâre back into âmining and stockpilingâ mode from now until the commissioning date in May or so. Weâll see.
When the price of gold is on a roll like this, itâs very comforting to know that we are officially âin productionâ even though the checks arenât rolling in quite yet. The whole intent with the FF plant is that the checks are going to be a lot larger once that ore has been âfroth floatedâ. Also, keep in mind that in this industry, the incremental gains in the POG tend to fall directly to the bottom line. The POG is up over $700 in just the last 12 months.