Of course. I think a few posters here do more to confuse investors than help especially to those that aren’t following things closely.
The news spigot from Auryn will continue to flow.
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Time to load up again
[quote=“leanandgreen, post:273, topic:808”]
So a “no go” on the much anticipated corporate update seems strange.
[/quote]Not strange at all. Since AURYN has taken down members of their management team from their website it should be apparent they do not want to promote whom this team (deep pockets) consists of. Material events are not required to be reported by AURYN. Details of material events emanating from signed contracts are required to be released MDMN and CDCH. We will likely get to see a summary describing the contracts until AURYN is ready to release and promote the contracts themselves. Shareholders will likely be told that early exploitation contracts were agreed upon for the core properties already under contract.
That would be good provided U are not tapped out like most of us. I can not justify putting any more funds into this stock until we see the share price on the rise. Then it is still a maybe. It doesn’t appear to be happening any time today. We are getting killed right now on level 2.
Oh trust me papple I’m tapped out. I’m just putting it out there for those who scream another buying opportunity
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Without putting any thing on the news wires we will not see any positive movement in our stock. We need to have it made visible to the rest of the markets. This all needs to be PR’ed and promoted properly first.
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It seems that someone is unloading some shares the past few days don’t know if its one seller or not but someone seems very happy to scoop them up @.015. Who ever is selling will be greatly disappointed within a couple of weeks.
Since everyone is throwing rumors all over the place. Here’s one for you JJ was offered .16 for the shares and refused.
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I guess the follow up question is; Is he just being greedy or is there an undisclosed more to the mountain than what has been divulged to us.?!
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I really do not want believe they offered him .16 cents and he refused.
Why? because some here have stated a TO between .10 - .20? nobody knows nothing at the moment.
Actually the rumor is that the offering is $0.08 with the potential for an $0.08 kicker if everything turns out roses on the property. It probably got converted to $0.16 somewhere during the phone line.
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[quote=“Baldy, post:250, topic:808”]
This would mean that none of the “non-ADL” assays will impact the scalability of the $100M option.
[/quote]NUOCO/LDM and Fortuna contracts both looked easily attainable within the timeframe of the contracts. You make an important point concerning the value of the scalability of the $100M option contract on the ADL. Terms of the early exploitation contracts may minimally benefit shareholders if AMC has 100% control of NUOCO/LDM and Fortuna as you state has been rumored. The major benefit would await until the 15% TO is negotiated for the AURYN equity stake. This will not occur until the $100M cash option is exercised.
I disagree with your assumption that AURYN must have a controlling interest, so we do not ALL agree on this. A 40% interest would allow AURYN more than enough controlling leverage. There is no existing contract or intent to take over all of MDMN as I’ve stated previously (IMO), therefore no TO for the entire company, just the 15% equity in AURYN after acquiring the core claims of interest. AURYN has a long term plan for mining the claims that are under contract, including the CU much further into the future. The shorter term part of the plan is focused on the Merlin high-grade veins and on the old Fortuna mine site. This will add value to the 15% equity interest in AURYN. At this point we don’t know what “the split” of any proceeds will be, or if there even is a split. How much will be “valued in” to the 15% equity TO 18 months from now after AURYN fulfills all the options? Only revealing the new contracts will tell. There will be little work on the ADL breccia to add to the scalability value, but this contract must be exercised before the July 31 termination 18 months from now, or AURYN’s “earned” interest in the mountain will be gone. Will all of Cerro’s value be wrapped up in AURYN if AURYN has just used it’s “sole discretion” to exercise the agreement at any time? Will Cerro shareholders only then see what we have in the way of shares on the TSX exchange? We do need an update. Material events have apparently just concluded. If AURYN is not providing details of the news and agreements, then we must see them in the upcoming days from MDMN and CDCH releases once they are properly recorded.
I am going to disagree to a point of detail.
The Jan 4, 2015 MDMN PR announcing the MDMN / NUOCO agreement states:
This purchase is subject to a performance agreement by AURYN Mining Chile SpA with NUOCO, which agreement calls for the completion of work programs including geophysical, geochemistry and drilling programs on the NUOCO group of claims. The completion of this work will entitle AURYN to earn a 60% interest in the NUOCO properties. In the next phase, AURYN will earn an additional 25% by investing U.S. 2.5 million dollars in a feasibility study.
While one certainly hesitates to spend too much time parsing MDMN PRs verbiage, the “feasibility study” element does NOT seem easily obtainable by Aug 2017. It does not appear on Auryn’s presentation timeline either. One may try and tame the requirement by saying it is merely a need for a 43-101 resource document. But that would be a major step back in the requirement.
There may be other ways to try and speculate on solutions to this, such as, it states “investing … in” not “complete”. Or of course they could just negotiate that requirement away and make the problem disappear. But if one takes the words of the update in the simplest way it is not clear how that could happen. Feasibility studies are intense complicated documents that require lots of data and lots of time to complete. Taken literally, this goal is very unlikely by Aug 2017.
This is just one complication among a fertile field of complications. Until they give us more information / better information even our speculations have run into a dead end.
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Point well taken. New agreements, not yet released, may have amended the requirement in order to expedite exploitation and consolidate the NUOCO/LDM into the main ADL contract.
I look back at this statement:
The Company has three option agreements – Medinah Mining Chile (MMC), Cerro Dorado Chile (CDCH) and SCM Nuoco (LDM).
Under these agreements, AURYN has the following hectares: MMC and Nuoco 7,233 h, CDCH 570 h.
AURYN holds an additional recently acquired 4,000 h making the total area over 11,800 hectares.
The option agreements can be exercised at any time at the sole discretion of AURYN.
Further drilling of the Gordon Breccia commenced in October 2014. The area has 18 historic drill holes that have intersected significant intervals of gold-silver-copper mineralization.
Hi CHG,
My gut is that any potential early production opportunities were not addressed in the early option negotiating. With the high grades encountered near surface all over the place the emphasis might have switched midstream to exploiting the early production opportunities on these various groups of concessions and putting the blocking out of reserves and resources on the back burner. I’m assuming they came up with some sort of agreement on the exploitation battle plan and dividing up of the cash flow and “ownership” of the various concessions were gladly signed over to AMC.
At the end of the day the goal is to get the contents of the mountain to a mill and get a big fat check into the bank account. The presence of extremely high grade near surface early production opportunities can have an enormous positive effect on the economics of the overall deposit.
The timing of the upcoming NI 43-101 and its role in fulfilling the listing requirements for the TSX and/or TSX.V might have necessitated tucking “ownership” into AMC’s back pocket. The TSX.V listing requirements have always mandated “material and/or significant ownership” in the assets of the issuer seeking a listing plus you need to “own” the concessions that are the subject of your NI 43-101. All of these developments plus the new road hooking up to the PanAmericana Norte highway suggests it’s full speed ahead. I would think that the next task would be to get “ownership” of the Medinah properties into AMC because most of the data collected over time that would serve as the subject material for an NI 43-101 was done on the Gordon bx.
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The speculation is that the contracts were reworked as, to your point, that would be the only way Auryn could now have outright ownership in NUOCO/Fortuna and the Caren (which JJ owned). This is where some of my concerns related to insider concessions in return for agreeing to sell these assets early, originate (see earlier post). Always easier to play games when transactions are labeled “private” as we witnessed on the LDM. But there’s always the possibility that our BOD has finally changed their stripes, under the supervision of Auryn, and the common shareholders will benefit from these (rumored) developments. The good news, even if Auryn got some of these assets on the cheap, these actions bring us closer to an “event” in MDMN.
As it relates to CDCH. Keep in mind, the Days don’t make money on their preferred shares with any price lower than 10 cents. I highly doubt Auryn agreed to purchase the Fortuna claim for $25M so this would, theoretically put the Days in a bind (self interest vs. the interest of the common shareholders). Also keep in mind, the Days have a voting super-majority via the preferreds and could, in theory, reject any “unfair” (2-3 cents?) offer for the Fortuna. This would complicate matters “on the hill.”
Another alternative: the Days could take the money, pretend they have the expertise to run a company, make an acquisition, and attempt to grow the company to a $25M valuation. This course of action, vs. a cash distribution would meet heavy resistance. Keep in mind, for those with a keen eye on the NSS situation, CDCH has always been rumored to have a few hundred million shares “short.” A cash dividend and potential squeeze could happen for CDCH before MDMN, if you believe the rumors, and the cards are played correctly. One could even speculate that CDCH could set a “trial balloon” for MDMN, if MDMN were ever to receive cash.
How’s that for speculation?
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Did the Day Brothers really have a say in the sale of the Fortuna? CDCH USA is simply a minority shareholder in CDCH Chile. CDCH Chile is, or maybe was at this point, controlled by Les and JJ.Les and JJ could have done what ever they deemed the best for them and then informed the Days. They Days were not invited to go to Chile. I trust the Days to do what is right for the shareholders, even if they cannot convert their preferred shares.
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[quote=“Baldy, post:290, topic:808”]
As it relates to CDCH. Keep in mind, the Days don’t make money on their preferred shares with any price lower than 10 cents. I highly doubt Auryn agreed to purchase the Fortuna claim for $25M so this would, theoretically put the Days in a bind (self interest vs. the interest of the common shareholders). Also keep in mind, the Days have a voting super-majority via the preferreds and could, in theory, reject any “unfair” (2-3 cents?) offer for the Fortuna. This would complicate matters “on the hill.”
[/quote]Here’s what may have been signed off on as “satisfied” and completed (note, this was 1 year ago - I just added the 2015 for clarification):
Fortuna de Lampa Mine – Agreement Signed with S.C.M. Cerro Dorado Chile
(January 29th, 2015 at 12:12:00)
AURYN Mining Chile SpA is pleased to announce the signing of the option/ Joint Venture agreement with S.C.M. Cerro Dorado Chile covering the Fortuna de Lampa mine property located on the Altos de Lipangue plateau approximately 30 kilometers northwest of Santiago, Chile. The property consists of the two mining concessions: Lonco Millarepu 1-60 and Fortuna 61-120 that are adjacent to the eastern boundary of AURYN´s Altos de Lipangue project. The agreement gives AURYN the right to earn an initial 60% interest in the property by completing a minimum of 3,000 meters of diamond drilling. An additional 25% interest in the property (85% total) can be earned by the expenditure of a further US $ 1.5 million on the property by or before August 1, 2017.
Shareholder’s (presumably JJ and family included), now would receive 15% (net) of all future production and valuation until a TO is offered. Fortuna historically offers some of the best early exploitation opportunities that could turn to the earliest cashflow. Shouldn’t this discussion properly flow to the CDCH thread?