If all other contracts, agreements, etc are cancelled, that also means, the 1.5 Billion ceiling is off the table. Past performance of shares issuance should be a concern to all shareholders with that lid off.
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Will be getting a follow-up from Medinah with more details in the next day or so.
With the terms now clearâŚI hope those that arenât happyâŚwill simply exit stage right.
Looks like my days here discussing Medinah are close to an end. Not much more to discuss besides what Auryn officially puts out.
What will I do with all my free time?
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Once the mountain proves up MDMN does not have to sell any percentage to Auryn if the price is not right. They would start a bidding war between Auryn and an outsider. The shoot to the moon maybe over short term but it still exists long term.
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Actually I think we the shareholders got the better end of that deal. We were at 900+ million and only owned 50% of the claims. For 350 million shares more (38%) we obtained 50% of the claims. I donât think all of JJâs shares hit the market â he still has 110 million in cert form for sure. Many (if not all) of Claroâs did.
Yes, we can only hope âŚ
Mike what do you think of the update? Do you think we will get some positive SP movement from todayâs release?
Medinah said âAprilâ in their Feb 25th Update:
The properties will be put into production on the presently permitted area as AMC develops their plans. The first production phases are scheduled to begin set up in early April 2016.{1}
Auryn has said âthis yearâ now twice:
TODAY: AURYN Mining Chile will commence production on the Caren mine this year
and
FEB 01: AMC expects to start production this year on the exposed high grade veins, namely Caren-Merlin-Fortuna. A team of mining engineers is travelling to Santiago in February to start the preparation and design work to achieve AMCâs production goal. We expect it to be cash flow positive {2}
You may want to consider giving the âAprilâ thing the typical Medinah discounting treatment. My guess, as I have guessed before, is âAprilâ has been a known date for a while as when things would move onward via a change to the Option agreement. Medinah just felt free to throw âAprilâ in for ânext yearâ, because thatâs how they roll.
But the direction is clear. And as has been stated before until they decide to really spend some big money (tens of $M) they should be able to have a nice gig going by second half of 2016 without back-breaking capital requirements, as long as those Merlin veins are as advertised to date. This ânice gigâ will fund a big up-tick in exploration and ultimately probably the TO step, imo.
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I donât think we will be saving our share of the mining proceeds to purchase another 5%. I believe even our BOD is itching for some cash ASAP. As a practical matter the $50 for 5 is probably an option for Mr. Big Miner if they come along sniffing us out, once the value is proved up.
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I think thatâs a good alternate suggestion. Instead of looking for Auryn to save up money for a MDMN TO, their exploration could entice a âMr Big Minerâ who wants 25% of Auryn with an option for another 5% (plus 15% of NUOCO and about 7.5% of Fortuna) to buy out MDMN. Undoubtedly this would be coordinated with Auryn but it is a definite real-life possibility, should the mountain sing the appropriate songs especially over on the P.Nero side of things, which is where Mr. Big Miner would be be looking most closely if /when they do.
However, having said that, it will take significant drill result and formal reserves to be in place before the probability of that move rises above pure speculation.
Looking at this as giving up $100million cash for an additional 10% interest in Auryn is incorrect.
We have to remember that the original 7/31/14 option agreement included the LDM claims ( 1-10 ) and MDMN was going to be required to purchase ( issue shares ) the remaining 85% of NUOCO ( which included the LDM claims ) we did not already own.
We know that Auryn ended up purchasing that 85% directly, probably because the NUOCO owners and MDMN BOD could not agree on the number of MDMN shares to be distributed.
Since Auryn purchased the NUOCO 85% ( which included the LDM claims ) there had to be an adjustment to the original agreement. Auryn is not going to pay twice for the LDM claims.
So, we need to understand that we did not just give up $100million in cash for an additional 10% interest in Auryn. Some part of the original $100million was attributable to the LDM claims and when they were pulled out of the agreement ( Due to Auryns direct purchase ) There had to be a corresponding reduction in the agreement. How much of the $100million was attributable to the LDM claims?
The bottom line is we received an additional 10% stake in Auryn by giving up something less than $100million cash.
JMO
Wow did les really say that?! I sure would like to see that on email or text and hold that against Lester. Thatâs pure BS! This man cannot be trusted!
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please reference: âThe first production phases are scheduled to begin set up in early April 2016.â
Again itâs how MDMN rolls and has rolled for years. Iâm sure Les used the appropriate qualifiers like âbegin setupâ so that if you ask him today he could legally claim: âI did not say thatâ and you could not prove otherwise.
Of all the news today, probably the biggest is that the manipulation of shareholder expectations via the MDMN penny stock rumor factory can be declared over. As MG stated there is little to discuss going forward other than what Auryn will formally and openly disclose. It will move apace, but at a mining pace. TMP should become a slow still backwater.
Les, your work is done, man (except for that final fingerprint thing). Go have a cold one, start your thumb exercises in prep for one last notario visit, and start Googling âCaribbean Retirementâ.
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How do you do that?
[quote=âBaldy, post:71, topic:1133â]
âŚ(assuming 1.5B shares outstanding)
[/quote]How can we stop more shares being issued? Doesnât the new deal open up MMC to issuing shares ad infinitum?
At some point Iâll get around to posting a part 2 / 3 and providing some more details regarding AMC. Iâm sure AMC will be posting more details themselves at the appropriate time.
I think those of us who have been used to over promise and under deliver and never actually explore or do anything with your property will be floored with what AMC does over the next 18 months.
I realize thatâs a long time for some who need this investment to hit NOW. But the reality is, this investment was never going to hit NOW. See Cornhuskerâs post about shareholder expectations.
Aggressive exploration, project development, and production is the answer we need. They are already hitting the ground running and I believe it starts on MDMNâs claims in 3 weeks after this closes.
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