The Mining Play

CDCH - Discussion


#660

CDCH at .014 and MDMN at .006 is finally showing approximate valuation parity. Not a lot of volume pushing these things around but…it was a great opportunity for those who were sensible enough to do the math and add to C over M. Wish I could have been one of them but I was too close to the inside conversation to be buying. Here’s to hanging on to these levels and eventually moving a lot higher


#661

CDCH had about double the PPS over MDMN for many, many years owing largely to it’s better share structure as MDMN kept diluting shares. (Loss of claims by CDCH is an entirely different matter.) It will likely take more than a couple of years of work on the mountain by AURYN to get both CDCH and MDMN anywhere near the “parity” of what these two were bought at by many current shareholders that held and had an “average down” strategy. As Maurizio puts it, “AURYN continues to execute its mining plan,” and will be judged by results. Shareholders need to see some cashflow, regardless how things are IPO’d. It’s all up to AURYN and the mountain going forward.


#662

Agreed. however, I’m hoping that both mdmn and cdch move higher from here.


#663

My average for MDMN is another story altogether.


#664

Shared sentiment. My guess is that CDCH falls below a penny before marching higher but the technicals are clearly improving (albeit on low volume).


#665

Back of the envelope equivalent parity estimate between the two stocks is about the same as historical values. Currently the estimate is based on the ratio of OS (MDMN/CDCH = 9.66) divided by ratio of percentage ownership of AURYN owned by both, which is approximately (MDMN 26.5%/CDCH 5% = 5.3). Therefore, 9.66/5.3 = 1.8 is the equivalence PPS conversion between the two stocks. CDCH should approximate 1.8X whatever the price of MDMN is trading at. This does not take into account the liquidity of the two stocks, so perhaps CDCH will continue to trade at a slight premium over this ratio.


#666

The Attorney Letter is awaiting. What’s the holdup?


#667

Up 55% on 100k volume, NOICE!


#668

We’re current! OTC Pink
http://www.otcmarkets.com/stock/CDCH/filings


#669

Nice. The next step, I believe, should be the announcement of the closing of the agreement with Auryn and the changing of management.


#670

Yes we are in the 4th quarter :wink: It’s time


#671

Dumb question but want to ask if Kevin resigned from Medinah I’m assuming he’s resigning from Cerro BOD as well…no?


#672

Other than acting initially as a liaison for CDCH and Auryn I doubt Kevin is currently involved. Just an educated guess.
The man is high up in the Microsoft
Chain. He has bigger fish to fry. :smile:


#673

Yes, took long enough to just get the Q2 out. Filings were a year behind when CDCH finally caught up. AURYN’s new management for Cerro is likely responsible for not only getting the Q3 out in a timely fashion, but also updating/renewing the expired Nevada registration. There have been noticeable delays since the CDCH annual meeting and the notification of AHC and CDCH reaching agreement that met terms of the MOU. I expect AURYN will announce closing of the loan agreement with Cerro Dorado next, meeting it’s cash call obligations. I’ll be pleasantly surprised if we see the new management listed on the OTC site before the Q3 is out, but not likely. MDMN also needs it’s management updated on the OTC and will likely do so with the Q3. We should have a Cerro website available up about the same time with everything finally moving forward. As Marizio said, Cerro’s “ownership interest in AURYN is secured and their overhead is reduced. AURYN continues to execute its mining plan.” Can news be far behind?


#674

Using the info from CDCH Report (June) -

“As of June 30, 2017, the 5% interest is reported at a value of $270,960.”

$270,960 * 20 = $5,419,200 (value of AURYN)

$5,419,200 / 296,333,350sh = $0.0183 per sh


#675

$270,960, lol that’s peanuts, wait until the property is officially declared , world class gold cooper deposit.


#676

Rod. Your math is off. If the 5% interest in Auryn were valued at $270k this would equate to .0009 a share.

A $5M value for Auryn is a bit ridiculous and the market is clearly discounting the same.


#677

How is his math off, looks correct to me.


#678

$270,000/296,333,350

value divided by outstanding shares…Auryns total value is not part of the calculation


#679

Yes, we’ve been through this exercise a few times. AURYN has 100M shares of which Cerro has 5%, or 5,000,000 of the shares that formed the company (5% to Cerro and 25% to MDMN). 100M shares of AURYN is not necessarily the number of shares that AURYN issues to go public if/when the F-1 is approved and AURYN does go public. The implied value, correctly or incorrectly, at the time AURYN was formed was roughly equivalent to the $100M option originally offered for the ALTO, before all sh*t hit the fan. Using that valuation of $100M for AURYN (granted - it may take 2-3 years for AURYN to have that valuation - it could be more, it could be less), CDCH is roughly valued at $5M / (300M shares) = $0.0167 per share. No one knows if/when AURYN will reach that $100M valuation, but they are certainly making an effort to get there, and beyond. See my previous post on how the F-1 might be structured to take advantage of the 2-3 year time frame):

Continuing the discussion from Medinah Minerals (MDMN) - 2017 Q3 General Discussion: