As far as the enhanced grades coming in from the gravimetric fire assays, the question arises as to what effect they may have on the agreed upon formula to calculate the cash portion of the purchase price and what effect might it have on the NPV of the 15% equity stake post-option exercising.
You also have to realize that insanely high grades will move up your production and cash flow schedule because it will make sense to ship them straight to ENAMI prior to any processing facilities being set up. You donāt have to worry too much about the transportation costs as long as the grades are high enough to make a good profit. Thereās plenty of ore to go around once the on site facilities are designed, permitted and set up.
The other thing is keeping in mind just how big this epithermal system is and are those insane grades likely to be reproducible elsewhere once AMC gets around to developing āelsewhereā. It didnāt take them very long to greatly expand the Gordon bx as well as the lineal extent of the veins making it to surface from 400 meters to 5,000 meters in the Merlin area. I just get the sense that they have the resources to attack these epithermals with a vengeance and that they are in as big of a hurry (think upcoming listing) as we are.
Whereās the money?? Why was this not put out as a PR on a newswire? Maybe tomorrow? Now I am really angry that I bought shares today. When is the money??
Lean, I have been in this stock for 6 years. I would have preferred that the news comes out as a PR first. I am not lucky to have cash to buy-Iām using money that should be used for other things, like rent. This stock has sucked up all my money in the last 6 years just to be able to keep part of what I orginally bought. A lot of selling today hurts everyone also.
IMO. The issues plaguing our share price (besides a crappy market) are related to ownership (Caren, etc.). Iāve seen the claims map but I guess Iām not smart enough to understand who owns what (today) ā¦AND if shares of Auryn will be issued for various option agreements vs. hard cash. The acceptance of shares of Auryn would require reworking of the prior agreements. Iām hoping we get clarity on these questions for both MDMN and CDCH in the Auryn corporate update.
Weāve seen remarkable results before (although itās been a while since weāve seen a release with numbers like this). I see this sort of report as confirmation that the mountain does indeed hold what we all hope it does - and make no mistake, thatās fantastic. But neither does it change my perception of this investment nor does it elicit any actionable response. More powder for the cannon, I suppose.
That being said, Iām optimistic (and very slightly expectant) that weāll see a few of our major roadblocks give way before the option period expires (ending the JJ conflict, releasing a solid post-option plan, shaking off the penny stench, etc). Until then, weāll be doing what weāve been doing - ābuying cheapā.
So at about 75 meters. The update doesnāt address the question on whether those high numbers occur at higher elevation or notā¦as they have only been assayed in the adits and at the very surface that has been oxidized/leached.
Sorry to hear that Leanā¦I do not see this stock moving north of .02 for quite awhile. Unfortunately, more patience will be required to realize a profitā¦
On another note, the very high grades in todayās Update are quite narrow if you note in the āsizeā column. This agrees with the Fortuna historical data.