CHG, thanks for your thoughtful and incisive observations. OT: Nice to see Riley is working out for Husker Nation…
Well said, TR…or, the way I heard someone put it: The monkey is off our back but the circus is still in town!
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And a double thanks to Wizard for all you have done and are doing to keep us informed.
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I am interested to hear how the potential JV for the PN benefits MDMN in the near and long term.
I think we’re all sitting on the front two inches of our seats waiting on what brecciaboy has to say - well, most of us.
The benefits of any JV is that a bigger partner spends the money to prove up a property that the junior partner does not have the resources to do. AMC perhaps could do the initial drilling work. But they have so much other stuff to do and explore it is probably a good choice for them. Especially since it is certain, as Maurizio stated, that Auryn would not be able to put the PN into production by themselves as it just costs too much money. It could cost $1B+ to put a large copper / moly porphyry into production.
So assume the JV proceeds, and if the property is proven up and is viable. At each stage of the JV Auryn’s ownership percentage decreases but the proven asset value increases greatly. MDMN would own their percentage of this asset.
This continues for 2 or 3 phases of the JV, several years, and if all goes according to plan usually the end game is the senior big partner buys out the remaining ownership of the junior partner, or at least most of it. In this case, Auryn would end up with some kind of buyout event of their ownership of those properties and this would be cash to Auryn a pro rata portion of which could theoretically be distributed to Auryn shareholders. Alternatively, it is possible, as Maurizio spoke about, that Auryn could retain their portion of the properties (15%? ) and Auryn’s portion of the production capital costs could be footed by the major as a loan to be paid back out of production proceeds.
SUMMARY: for the next several years it will be about exploration results, increasing asset value, and the implicit value of having a major associated with Auryn and the mountain. This should bring a credibility boost. And it brings in new shareholders. There are significant PM and commodity investors whose investing strategy is simply to front run a buyout by a major. As a buyout becomes more and more likely you will attract more and more investors like this taking an early position expecting to be bought out by a major. Those guys can not buy Auryn directly. So MDMN / CDCH would be their options.
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Another takeaway for me was; we don’t have to figure out who was complicit with the fraud and who wasn’t. Who was negligent and who wasn’t. Who should give shares back and who shouldn’t. Who we should go after for damages and who should get a free pass.
The law firm hired is very professional and will be more than adequate to accomplish this and look under every stone. However, I’m sure there will be many opinions posted along the way until their report is finalized.
Some felt uncomfortable with Greg funding an investigation into his own possible error’s and omissions with a bridge loan to the company, thinking that may influence the outcome. Gary asked for anyone else to step forward, but I don’t think anyone did. I can see a few reason’s why Greg would do this:
- He thinks he can salvage his reputation in the eye’s of the shareholders.
- He’s a man a character and thinks it’s the right thing to face the consequences of your behavior/choices in a public trust.
- He recognized that it needed to happen as soon as possible or critical time/information would be lost.
- He thinks that if he’s the one paying and gets ahead of it, he will be excused or pardoned.
- He’s stupid and ignorant.
- He’s mad at Les and wants vengeance.
I’m guessing a poll from the attendees would have votes for all plus a few write-ins.
My impression was that any bridge loan is only a down payment on a very expensive engagement and will be repaid out of our share of smelter checks before the report is finalized.
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I guess we could put up a similar poll with similar choices on why Gary would jump right on this.
Great meeting!!! But where do we go from here? I am considering taking a loss and reinvesting. Then keep an eye on mdmn and perhaps reinvesting in 6-12 months. I don’t know if we trade over .02 by the end of the year. Any thoughts???
thank you to all who went to Las
vegas and then posted on here all of the information.
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Is his real name Les Price? Just seems too perfect/ironic (as in Less Price). And how old is this clown and are there any pictures of him out there on the interweb?
That is what intend on doing -take a loss come back in a year a see if anything was resolved still not out of woods from my perspective
Thank you all for keeping use informed this weekend stay away from sociopaths many are in this business thank god for the Letts family see down the road Four years waiting-I’m out
My eyes can’t bear looking at the screen that long! LOL
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Logic would dictate (to me anyway) that choice 2 and 3 make the most sense. These aren’t likely to be the kind of charges that will be forgiven by the authorities just because he paid for the investigation. I also can easily imagine that, considering LP supposedly forged signatures and I’d expect Gregs to be one of them, that Greg wants some form of justice.
I do have a bias in favor of Greg as I have seen him for some time as a bit of a savior for us shareholders. As I have stated before, without Greg’s financial support I doubt MDMN would even still exist. And yes, (Baldy), I do acknowledge that he does have some responsibility in regards to all of the shit we’ve been through as well, as do all the members of management over the years. At least Greg is appearing to make some moves that are worthy of giving him some slack.
Thanks again to everyone who shared info and commentary. I appreciate it greatly!!!
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I don’t understand the logic of selling at a penny. Unless one needs the money or the tax loss. There is a reasonable mining upside down the road. I’m treating this investment as a long term play. I’ll use a portion to swing trade with the sole purpose to increase my position. It will take some time but I believe in the long term benefit of staying invested.
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We should be hearing production results from Auryn in the near future and indications were profitable by end of year
We should get some credit for 27 percent even though it may not come into mdmn possession right away
The share issue will be resolved to closure at some point and may or may not take 18 mos.
is it possible for mdmn to receive profits in 2017 and use for shard buy back even though share issue not settled? Maybe
I don’t understand it either but it is a personal choice. And to give credit to Rich (TR), we all should be grateful that Medinah is still here thanks in no small part to Greg’s efforts and financial support.
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I spoke with Greg and can tell you he was absolutely devastated by all of this and felt betrayed as much as any of us. Any part his actions or lack thereof played in it weigh on him heavily. That he had the integity to show up and face us tells us a lot.
Not a “pass” or saying he has no blame. but I am sure he will do whatever he can to help resolve it all. It has cost him greatly, too. JMO
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Met and talked with Gary extensively and he seems very genuine. Part of the reason Gary was appointed to the board (not that long ago remember) was that he would not be a patsy to anyone. (No, he is not cozy with Les!) He is all in on straightening this out and getting us all the best restitution possible.
He found us a crackerjack legal team, experienced in dealing with the SEC. Jmo
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