The Mining Play

MDMN - 2016-03-28 Weekly Discussion


#152

Because our management team is close to the worst of the worst in incompetency. They negotiated a horrible deal. If you look at other option agreeement or farm in agreements, there are escalating expenditures requirements. We settled not only for a measly $1MM, but Auryn a 3 year option.

Then they negotiated, what I would call “near fair” deals for Nuocco and CDCH. Fast forward, they lost major leverage by letting the Nouco and CDCH go for 5% equity interest in a private company.

So now, AMC is holding all the cards and can dictate terms for the purchase of the ADL. I would hope, but highly doubt that our cracker jack team would negotiate a requirement that AMC/H publicly list on some exchange so the equity is at liquid. If not at least a requirement for a profit participation equivalent to MDMN, CDCH and Nuoco’s equity percentage. Or even a “put” option that AMC has to buy our equity percentage at 3-4 trailing EBITDA.

But back to reality, our team sold us down the road, better to just accept it, and get it over with sooner rather than later and make sure AMC has sufficent capital to build a profitable mining company.


#153

That is a relief! As has been pointed out, there are several possible solutions that are relatively inexpensive. At the very least a crusher and ore concentrator (floatation tank or gravity concentrator). Most likely, the simplest and most economical that is environmental friendly would be one based on gravity. For the initial high content ore it is designed for gangue rejection or pre-concentrating coarsest material that would be ideal for trucking to the San Pedro processing plant at Til Til. For the later larger scale operations, the vastly more efficient cyanide leach field process method as previously described would likely be employed.


#154

Kind of echoes the word of Mr. Kirkland at the AGM meeting “It’s Not that great of a deal” hmmmm he knew it all along that these guys are not even copetant to even tie there shoes.

Nonetheless lets hope Auryn can bring this mountain to fruition


#155

Here is a concern. If the deal is re-worked and the option is no longer in place, does the restriction on issuing shares get lifted?


#156

Yes it is a concern. Any issuance of shares from this point forward needs to be looked at with a microscope. I trust that Greg, Vittal, and Gary will not be part of any insider deals or generous packages to family and friends. It’s time to do things right and in the light of day!

More comments to come in this regard, but let’s see if we have a deal first. The way the market closed, I think we may have a deal. Also, rumors from LP seem to finally align with some of the non-LP rumors we were hearing.


#157

Rest assured that the insiders of MDMN have given themselves a great deal. I think they care little about us. Well, if the rumor is correct, we will have a percentage of an empty shell . We have no idea when Auryn will be listed on the Toronto stock exchange-hmmm 6months, 1 year, 2years. Let’s see the contract!


#158

ADMIN,

These kind of posts belong on IHUB.


#159

Mike, correct me if I am wrong. Does Auryn have any assets?


#160

And your reckless off the handle incorrect predictions belong?

How many next weeks and imminent news dates can you hand out? Just curious, as 99% of the time over the past 6 months you have been wrong. And since I disagree with you, go ahead remove my post or say go to Ihub I could care less. I’m just and idiot with over 5mil shares stuck in this POS stock with an incompetent BOD

WAKE UP, our BOD are a bunch of morons! Anyone standing behind them knows what category they are in as well. Anyone who thinks a long term position in AMC is better than getting a payday of $100mil plus a percentage is an idiot. How many more years are they going to be able to string you along with next weeks.

When there is no short term dividend like you are claiming there will be; you will be on this board touting, don’t worry next quarter, next quarter. Then next fall, then next year, at what point are you ready to admit tomorrow is never today???

We needed to get cash for any hope of a near term exit and it sounds like that’s not going to happen. Here’s to the next 15 YEARS! Hope you all have youth on your side!


#161

Could be why we see all this selling. Somebody (Claro) knew this is going to be a long haul and doesn’t want to wait it out. I wouldn’t either if I got free shares with a 0 cost basis


#162

?? Why are you asking me this kind of nonsense?

Auryn owns a World Class Deposit. They have already roughed out hundreds of millions worth of gold on the mountain. They have top notch Management/Staff. They have a real office in Santiago. They have real employees. They have ten’s of millions in monies to finance the project. They have a gold mine filled with bonanza grade gold that they getting closer to starting production

They are hardly an “empty shell”!


#163

And you know this how?


#164

I am with you on this one.


#165

My rough calculation is that they have more value in their assets than we do.


#166

If not we have gotten ourselves hooked up with another Ulander as far as available cash goes. That would be really sad. Somehow they hoodwinked a team of the best geologists along with me - they must be paying them with promises.


#167

Not from Les if that is what you are insinuating.


#168

At least Ulander got us to .16 :wink:


#169

I am sick of all of this. All this arguing back and forth, and the truth is nobody has a clue. Just get me to .05 and a small profit after six years, and I will be gone forever. And if it eventually goes higher, I will be very happy for those who were willing to wait it out. I have just run out of patience, with everything that has happened, along with the veil of secrecy, and non-disclosure agreements. Trading at .0138 sure doesn’t help, when we are supposedly on the verge of exercising the option or finalizing a new agreement…


#170

Can anyone who saw that 7 million trade go off explain? I didn’t see any BID/ASK that size or was it hidden?


#171

It would be funny if it weren’t so sad.

You have Wiz, who’s opinions I respect, convinced that our best deal is one where we go from receiving $100M to a higher percentage in an asset we used to used to own close to 100% of. This is essentially a farmed deal which isn’t terrible but something that the market sniffed out many months ago.

You have BrecciaBoy still talking about dividends and disconnects even though it’s clear as day the new negotiations do not involve any upfront payments. It’s like watching the same movie over and over again and yet somebody is still pretending there is a different ending.

I think it’s a major bummer that the morale of this board and our BOD is so low that they lack the balls to wait out the $100M option agreement. We do have leverage but, yes, we had more leverage before giving up the Nuoco and CDCH. There is no limit to the utter idiocy of the peeps running these companies.

However, as I’ve said in the past (consistency is a virtue) the more we own in AMC the higher the likelihood that they will TO for CDCH and MDMN. If the mountain is as valuable as most of us believe, AMC ain’t giving us goons 30-40% of it. As soon as they have a sense for the value of the resource they will offer us a tender at some discount. No idea if we are looking at 10, 15, or 20 cents but, as some of us have been saying for a loooong time, this is the most likely exit. Ignore the nonsense from Les and the hyperbolic BS presented, ad nauseum, on this board. All IMHO