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3/14/15

Lionel Messi today

As well as doing this (or watch it here for those having international video blocking problems)...



...he scored both goals in Barcelona's 2-0 win over Eibar. One penalty, one very good headed goal from a corner (please don't tell Pele, who still thinks Leo can't head the ball) and plenty of other moments too. 

But that above is the type of thing that's hard to do against a Sunday league defence, forget La Liga. Memories of the famous 2007 Getafe goal, then the thought that when you're 19 you get to the edge of the penalty area and then just plough on and try to beat the next man and then the goalkeeper. When you're 27 you do the pure skills and then play the better percentage pass to your team-mate.

UPDATE: I'll never get tired of watching that Getafe goal, on a pure skill basis it's the best I've ever seen. 

Ritholtz's Three Commandments of Stock Valuation

A good piece from Barry Ritholtz, the right sort of weekend chew-it-over article on investment. It's on this link and it's recommended reading.

3/13/15

Allied Nevada (ANV): Yes, Kitco's reporters really are this stupid about the markets

I wish I hadn't read it, but it cannot be unread. Here's what Kitco had to say today about Allied Nevada (ANV) (ANV.to) and its Chapter 11 announcement earlier in the week:

(Kitco News) - Allied Nevada Gold Corp.'s (TSX: ANV) (NYSE: ANV) bankruptcy filing stole center stage in the mining world this week. Allied Nevada filed for chapter 11 protection on March 10 creating a restructuring supported by the majority of its creditors that included a fresh cash injection of $78 million. Daily operations are expected to continue with no interruption in business.
Allied Nevada closed out the week as of Thursday's close on the New York Stock Exchange with a 3.7% percent decline, settling at C$1.08. This week Moody's Investor's Service downgraded Allied Nevada's rating to Ca from Caa1.
  • So, it's down 3.7% is it? 
  • So, nothing about the fact that the tickers have been halted since the news dropped?
  • So, not a word about the new pinksheet trading in ANV that's taken the place of the halted stock, via the ticker ANVGQ?
  • So, not a word about the way ANVGQ is trading at 12c, or around 85% down since the Ch11 announcement?
Yes, Kitco's staff really is this stupid about markets

The Friday OT: JS Bach, Cello Suite 3 in C major (BWV 1009), played by Wen-Sinn Yang

Jemi Fibre (JFI.v): The Bobby G pump about to start

Global Securities are the chosen paper merchants. Here's what they're sending to the world this week:

From: Syndication 
Sent: date
To: Brokers
Subject: Jemi Fibre - National Retail Conference Call - Monday, March 16th @ 10:00 am ET

Please be advised Mike Jenks, Chairman & CEO & Brent Lokash, President will be hosting a National Retail Conference Call, details are below.

Note: the management presentation will be sent prior to the call.

Date:                     Monday March 16, 2015
Time:                    10:00 AM – 11:00 AM ET
Dial-In:                 416-695-7806 / 866-696-5910
Code:                    8563022#

Replay:
905-694-9451 / 800-408-3053 
4547806#

All orders should be entered to syndication@globalsec.com and may be subject to allotment or rejection.

Hat tipping round numbers

Ding ding ding.


In The Collapse of the Dollar and How to Profit from It, financial gurus James Turk and John Rubino show how the dollar arrived at this precipice, why it will continue to plunge, and how you can profit from the resulting financial crisis.

Goldman on gold

Not a fake this time. From today's edition of Goldman Sachs' Commodity Watch (dated March 13th)

After trending lower throughout most of 2014H2, gold prices rallied in the first few weeks of 2015 as US economic data softened, the CHF peg was unexpectedly removed and European QE was unveiled. While negative interest rates in Europe have led to an increase in gold ETF inflows and some support for prices, the subsequent normalization of US interest rates (10Y TIPS increased from a 3bp trough in late January to almost 40bps currently) has been the dominant force pushing prices lower. Indeed, prices have fallen more rapidly than our previous forecast path suggested. We roll our forecasts forward to $1,270, $1,220 and $1,100/toz in 3-, 6- and 12-months (from $1,290, $1,270 and $1,175 previously). 
In line with our economist’s forecasts for continued growth, labor market recovery and increase in US real rates, we maintain our long-held bearish outlook on gold prices. Consensus now sees the first Fed rate hike arriving in June, compared to our expectation for a September lift-off. But the exact timing is likely to be data dependent. As such, we have greater confidence in our longer-term directional bearish view on gold, while recognizing that the next few months could see higher volatility.



Breaking: Amazing news about Steve Letwin, CEO of IAMGOLD (IMG.to) (IAG)

He's still CEO of IAMGOLD (IAG) (IMG.to).



Freakin' amazing, isn't it?


2015 year to date chart of gold, silver, precious metals miners and the S&P500 index

Here:


So the precious metals mining ETF (GDX) was flying much higher and has come down with the chunky bump. Fine. But when you consider the rah-rah that the broad US market gets and compare it to the derision of silver (1% worse 2015 to date) and gold (3% worse than the SPX 2015 year to date) it kind of gives one pause.



The future of the junior mining exploration sector

IKN is a little late to this (it kicked off Feb 26th) but thanks to reader 'FG' not too late, because tenders are accepted for another two weeks. Roll Up Roll Up Laydees an' Gennelmun.

Even though the specific circumstances of this one are different (Teuton lost a court case vs American Creek and needs to pay up, so assets have been seized rather voluntarily put up for auction), expect this type of opportunity to show up with more frequency. Hopefully the rush happens in 2015, but the way these zombie juniors manage to live on even after all life-force is gone suggests that "Peak Disposal" will come in 2016.

Here is your link, here's how it kicks off:
COURT BAILIFF’S SALE OF MINERAL TENURES
LOCATED IN NORTHERN B.C.
For Sale: Mineral Tenures formerly held by Teuton Resources Corp. (the “Mineral Tenures”) pursuant to a Supreme Court of British Columbia Writ of Seizure and Sale filed on January 23, 2015 in BC Supreme Court Action No. S107895.
Approximately 235 Mineral Tenures, primarily in the Stewart – Premier – Sulpherets - Eskay Creek - Red Chris region of Northwestern British Columbia (the “Golden Triangle”), generally described by Teuton as:
Bay Silver, Big Gold, Bonsai, Campbell Ridge, Clone, Del Norte, Eskay Rift, Fiji, Four J’s, Gold Mountain, Harry, High South, High North, Konkin Silver, Lord Nelson, Melt, Midas, Orion, Pintore, Silver Bell, Silver Crown, Stamp, Tennyson, Tonga, and Yellow Chris.
A complete list of Mineral Tenures, Terms and Bid Documents may be obtained from Accurate Court Bailiff Services Ltd. (the “Court Bailiff”).
Bidding Ends: 12:00 Noon, Pacific DST, March 27, 2015
Terms/Conditions:


I quite like that 'Peak Disposal' title. Thanks for the headsup, FG.

3/12/15

B2Gold (BTO.to) (BTG) reports its 4q14

The Clive Speaks! (though no NR yet). B2Gold (BTO.to) (BTG) made a modest operating profit on revenues of $122.4m and cost of sales of $103.5m (which in BTO's case includes normal production costs and adds in depletion, depreciation and its royalties/production taxes).


But unlike FVI, BTO has bitten the bullet and taken the whopping impairment, as expected. Let's quote a part of the MD&A on this:
During the fourth quarter of 2014 and subsequent to the year-end, the Company completed an updated metallurgical sampling and analysis program as part of an expansion study for the Masbate Mine along with an updated life-of-mine plan based on 2014 year end reserve and resource estimates. The updated metallurgical study has resulted in 3% lower projected life of mine recoveries due to a number of factors including an increase, at depth, in the amount of sulphide ore type that has lower projected recoveries and the mining out over the course of 2013 and 2014 of predominantly oxide ore, which has the highest recoveries. 
The lower projected recoveries, lower long-term gold price assumption of $1,300 per ounce (as compared to a spot gold price of $1,676 per ounce at the CGA acquisition date) and a decision not to proceed with Masbate Mill expansion at this time impacted the current value of the Masbate Mine. As a result, the Company recorded a net impairment charge of $305.2 million (pre-tax $436.0 million less $130.8 million deferred tax recovery) at year end 2014 (See “Critical Accounting Estimates”).
There were other impairment and write-downs on some of its smaller stuff, too. All that meant the net result for BTO in Q4 was like this (again from the MD&A):
For the fourth quarter of 2014, the Company generated a net loss of $356.8 million ($(0.39) per share) compared to net income of $26.2 million ($0.04 per share) in the comparable period of 2013. Adjusted net (loss) income (refer to “Non-IFRS Measures”) was $(8.4) million ($(0.01) per share) compared to $0.6 million ($0.00 per share) in the fourth quarter of 2013. Adjusted net loss in the fourth quarter of 2014 primarily excluded the non-cash impairment of Masbate long-lived assets of $436.0 million, deferred income tax recovery of $109.6 million, write-off of mineral property of $21.1 million and a non-cash mark-to-market gain of $21.0 million relating to the overall change in fair value of the Company’s convertible senior subordinated notes.

What with the new big impairments (two in two quarters) plus the big extra chunk of shares now incorporated into the count thanks to the Papillon acquisition (we're at 917.6m S/O), BV/share is now down to $1.66 and BTO is roughly a 1X ratio to price as a result (ok, to be more exact 0.9X in U$ terms).


It's as if these last two years never happened...

UPDATE: Your humble scribe is asked what that last "It's as if..." comment means by regular reader (and occasional mailer) EJ, what with the share price lower than two years ago. The hack is to consider that back when bTO took over Masbate (1q13) the equity or book value (i.e. assets minus liabilities) was $1.545Bn. Today it's $1.525Bn, so roughly the same. What's different is that today's BTO has 917.6m shares out, when back then the count was 646.1m. More shares of the company + company worth same net amount = lower share price.

But if it makes you feel any better we can at least consider that the board and directors are still getting paid fat salaries. Y'see, feeling better already aren't you?

UPDATE 2: Friday morning, the NR arrives (whistling 'Happy' by Marvin Gaye Pharrell Williams)

Fortuna Silver (FVI.to) (FSM) 4q14 financials

NR here and I'm impressed that despite silver's drop (along with gold, zinc, lead) FVI takes no impairments or write-offs on its mineral properties, even though it assumed U$22.66/oz Ag for 2015 this time last year. FVI now assumes U$17.98/oz for the year ahead of us. And U$1.00/lb lead. And U$1.07/lb zinc. And U$1,248/oz gold. But no need to impair asset value, says the company. 

Which means FVI currently runs a 2.22X price/book value ratio.


Even though it made just $0.057m in profits in 4q14. Sales at $37.8m were down, though COGS at $27.77m was a good result that shaved nearly $2m from the previous quarter and turned what would have been a modest loss into that minor profit.


It's now up to you to decide whether you're willing to pay 2.2X book for what's basically breakeven miner (or a forex-adjusted 1.85X, which isn't quite as bad but still...)

A new computing device

It's been a harrowing week. On Sunday, just before the Weekly was ready and sent, the office computer that I should have replaced at least a couple of years ago finally gave up the ghost and died*. A year or so of knowing that I should do something but putting it off, never getting round to it, general procrastination (and you know what I'm talking about here) condensed into that "oh crap" moment when nothing you do gets it going again.

Since Sunday I've been getting by on the reserve/travel laptop and running back and forth trying to get a desktop bought, the hard disk of dead computer transferred (without transferring 6 years of broken archives and hidden viruses), configurations and (of course) waiting patiently while the nice computer man explains the latest delay, what needs to be done and how much more it's going to cost over the original estimate. The good news: The new machine is now installed, as of an hour ago. Not only is it about a hundred times more zippy and whizzy than the old thing, it actually works and has all my old archives. Which means business as usual today. And this weekend.

They used to say marriage, bereavements and house moves were the most stressful things for the modern human being to go through. The 21st century has added another to that list, but it's all over now. Until the next time, of course.


*Pro-tip: Write to the hard-drive, but backing up important documents on a USB stick while writing them is a very, very, very, very good idea.

Chart of the day is...

...copper, last week and a half:




$2.60/lb to $2.70/lb, your new new normal.

3/11/15

Latest from the wonderfully calm state of Guerrero in Mexico where nothing ever happens

This time a candidate for the June election local as mayor in one of the towns in Guerrero, one Aidé Nava Gonzáles of the left wing PRD party, was kidnapped last night and found this afternoon at the side of a road, decapitated. A message was found with the body purportedly from the 'Rojos', a regionwide narco gang, that said (and we quote), ""Esto le va a pasar a todos los putos políticos que no se quieran alinear". Translation; "This is what's going to happen to all the f___ing politicians that don't want to get in line."

We now wait for Fred Stanford to tell us that this has nothing to do with Torex Gold and for Timmins Gold to explain how the presence of mining companies in the region is helping things calm down nicely.

Racist fans out of the Champion's League

And that's the way we like it.

There's gold, there's gold miners, there's junior gold miners and then there's Timmins Gold (TMM.to) (TGD)

Guerrero, eh?



Here's company head honcho Bruce Bragagnolo's comments yesterday on Guerrero:
"The situation has had a lot of publicity recently but our essential view is that Guerrero is going to get better as more companies come to the area, and we can work with other companies and the government to make it safer for everybody,"

Oh well, that's all right then. A century's worth of unrest and violence, with whole regions under gang law and all it needed all this time were a few Canadian mining companies to move into the area. Beats me why nobody thought of this before.

Anyone who is interested in Focus Ventures (FCV.v) should definitely...

...go and read the latest shareholder update from the company, published this Wednesday morning. It's right here on this link and it explains a lot about the deal they announced yesterday morning (that, by the way, has shot the share price higher).

Nice fox, too.

Disclosure: Long FCV.v

Analysts: Gold set to drop to negative $100 per ounce

In a note to clients this morning, JP Squidworthy & Co recommended shorting gold and setting an eventual price target of negative $100 per ounce. Analysts at JP Squidworthy explained the call in the following way:
"We believe that due to the combination of dollar strength, the expected worldwide deflationary environment and physical holding costs, gold bullion will soon be worth negative dollars and people will pay you to take it from their ownership. In the real world, once an old and broken car is only good for scrap it is no longer an asset, but a liability. One needs to pay cash to get an old and useless automobile towed from your property, this is the future of gold bullion."
This trade recommendation from JP Squidworthy comes in the wake of the sell call on gold made by Vampire Trust LLC, who valued the future value of one ounce of gold at "...about the price of a modest hamburger, no cheese".

First Majestic Silver (FR.to) (AG): Style > Substance



A picture of a person named Keith who does not use botox on a 
regular basis. Totally unrelated to the contents of this post.

Substance: First Majestic Silver (FR.to) (AG) current has a negative working capital. For those of you just joining us, that means it owes more in the next 12 months (current liabilities) than it has on hand in the next 12 months (current assets). In realworld terms, money's a bit tight.

Style: today announced its decision to run a share buyback program. For those of you just joining us, that means it will spend money in a discretionary manner on something it doesn't need to buy, because it looks good in a news release or something.

Result:CEO Neumeyer's obvious financial ignorance is getting pretty freakin' boring. If you're not a CEO you're allowed to be dumb about such things, if you are a CEO you need to be laughed at in your face, up close, through gritted teeth for being the type of fool who says this about $102m impairments: "It's not a true loss, it's a paper loss". That's an exact quote, people. And now a pure BS hit air share buyback announcement. You need to learn about numbers, Keith. Quicktime. We recommend a visit to the Amazon website where you can buy yourself 'The Big Book of Number Learnin', 2015'. Buy the book, Keith. Get learnin' them numbers, Keith.

The gold vs Apple (AAPL) vs Bitcoin survey question: An update

Back on November 17th the IKN financial staff*, creative team** and management*** got together with the owners**** of IKN and ran a little survey to ask which of these three options would be worth more at the end of 2015:
  • 10 shares of Apple (AAPL)
  • 3 Bitcoins
  • One ounce of gold
 Then on November 23rd we closed the survey (300+ answers was enough of a sample), 47% said gold, 39% of you said the AAPL shares, the rest of you were stupid like me and went for the three Bitcoins. We're now four months in, let's see how things are getting on:


Apple is up 8.3% in the period. It owns the phone biz, your wrists and now the big IKN survey, so far at least.. Bitcoin has sucked worse than today but still sucks and is down a massive 26.8%. And despite all the wailing and death cries recently, it's notable that gold's only down $25/oz or so, or 2.2% in percentage terms.  

But there's still eight and a bit months to run on this, don't give up on those cryptocoins yet. The future is electronic, they tell me.

* me
** me
***me
**** me

Chart of the day is...

...crude oil, via the WTI contract:


After the December bloodletting, some said that crude would go even lower, others that it would immediately bounce back. The reality is less interesting, crude's decided to go the 'killing them softly' approach.

x

3/10/15

Janet Yellen, the bank ghost

Right here. And this...
"There is a lot of data out of the St. Louis Fed suggesting that having ghosts running round in banks is the most effective solution once standard monetary methods have failed."
...explains many mysterious things. An' she wudda gotten away with it if it weren't for those pesky kids and...wait, she did get away with it

Focus Ventures (FCV.v) news

Right here.

Focus Accelerates Purchase of 70% of JPQ, Owners of Bayovar 12 Phosphate Project, via Arrangement of a Credit Facility



VANCOUVER, BRITISH COLUMBIA--(Marketwired - March 10, 2015) -

Focus Ventures Ltd. (TSX VENTURE:FCV) ("Focus" or the "Company") is pleased to report on several transactions that will allow it to purchase 70% of Juan Paulo Quay S.A.C. ("JPQ"), the title holder of the Bayovar 12 concession in Peru, and provide immediate funding for its ongoing operations including the Preliminary Economic Assessment study.
Acquisition of 70% of JPQ
The Company's Peruvian subsidiary, Agrifos Peru S.A.C. has signed a purchase agreement with the shareholders (the "Vendors") of JPQ, titleholder of the Bayovar 12 concession, whereby the Company will pay to the Vendors US$4.0 million to purchase an outright 70% interest in shares of JPQ (the "Bayovar Interest"), and thereby cancelling its previously granted option agreement to earn such interest. The terms of the purchase agreement are as follows:
  • the Company will purchase the Bayovar Interest by paying US$4 million cash to the Vendors;
  • the Company will commit to spending a minimum of US$14 million in development of the Project, without dilution to the Vendors' remaining 30% interest;
  • if after spending US$14 million, further funding is needed to determine the viability of a phosphate operation, the Company will make additional expenditures of up to US$4 million of which 30% will be treated as a loan to the Vendors;
  • the Company has agreed to complete a pre-feasibility study by December 31, 2015 or else a US$500,000 penalty payment will be due to the Vendors, plus additional $500,000 penalty payments for each additional year that the study is not completed, to a maximum of US$2,000,000 in penalty payments;
  • port and loading services for the future export of phosphate rock will be provided by the Vendors at commercial rates at the JPQ Maritime Terminal located 40km west of the Bayovar 12 Project;
  • the Vendors will maintain responsibility for gypsum operations on the concession until the completion of the pre-feasibility study; and
  • the Company will retain a right of first refusal for the purchase of the Vendors' 30% interest in JPQ.
Loan Facility
In order to provide funding for the purchase of the Bayovar Interest and for further advancement of the Bayovar 12 Project, the Company has executed a Term Sheet with Sprott Resource Lending Partnership (the "Lender") in respect of a US$5.0 million secured loan facility (the "Facility").
The Facility is subject to a number of conditions, including among other things completion of non-technical due diligence, completion of loan documentation, approval by the Lender's partners, and approval by the TSX Venture Exchange. Focus and the Lender are targeting satisfaction of the conditions precedent and first draw down of the Facility on or about 25 March, 2015.
Key terms of the Facility are:
  • Facility amount of US$5.0 million, with an interest rate of 12% per annum;
  • Facility to be repaid by September 30, 2016;
  • Repayable prior to maturity, in full or in part, at the option of Focus, provided a minimum of 6 months of interest has been paid; and
  • Structuring fee of US$75,000 cash, a drawdown fee equal to 2.5% of the amount drawn, and a commitment fee ("Commitment Fee") of 1,250,000 warrants to purchase shares of Focus exercisable for five years at a 30% premium to market.
In addition, Focus has agreed to an exclusivity period through April 27, 2015, where it is restricted from engaging in discussions with alternate finance providers. Should Focus elect not to proceed with the Facility (in a situation where the Lender is prepared to complete the closing and advance the Facility), Focus is required to pay a fee to the Lender equal to 50% of the Commitment Fee.
The securities referred to in this news release have not been, and will not be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from the registration requirements of such Act. This news release shall not constitute an offer to sell, nor the solicitation of an offer to buy, any securities. Any public offering of securities in the United States must be made by means of a prospectus containing detailed information about the company and management, as well as financial statements.
Sprott Resource Lending Partnership is a natural resource lender focused on providing financing to mining and oil and gas companies. In July 2013, Sprott Inc. completed the acquisition of Sprott Resource Lending Partnership which now operates as a subsidiary of Sprott Inc.
Royalty Sale
In order for the Company to continue funding the Bayovar 12 Project through its current operations and engineering studies, it has agreed to sell to Radius Gold Inc. ("Radius") (TSX VENTURE:RDU) a royalty equal to 2% on the Company's 70% interest in future phosphate production from the Bayovar 12 concession for the sum of US$1.0 million. The Company will have the right for 12 months to buy back one-half of the royalty for US$1.0 million. If Radius decides to sell any of its royalty interest in the future, the Company will retain a first right of refusal.
Focus and Radius have two common directors, and the transaction is subject to TSX Venture Exchange approval.
About Focus

Regarding Jay Taylor and his "Buy Allied Nevada (ANV)" call on Feb 13th 2015

Please, if you would, compare the message contained in this post dated January 21st 2015 in which your author tried his very, very hardest to get you to stay well away from Allied Nevada (ANV) (ANV.to), with this post dated late last month that documented how newsletter writer Jay Taylor told the world they should buy ANV. But to put it succinctly:

  • IKN: Stay away from ANV, its financials are a disaster and it's going under. All you need to do are two things: 1) look at the financials and 2) understand them. I even pasted out the balance sheet page for you that time, with notes scribbled on it and everything.
  • Jay Taylor: Buy ANV because he'd been talking with a "major shareholder" who was "baffled" by the recent price action at this company, one of the "most economic" in Nevada. Also while over there checking the post, notice how the word "myth" turns up while discussing the $500m debt.

People, this is beyond a joke. This is not funny. It is not something that should be ignored any longer. People like Jay Taylor have every right in the world to throw their own money down the toilet, but they are an active danger to the investment world due to their utter stupidity and numerical illiteracy if they're going to pretend expertise on mining companies without having the first clue about how to read a company's financials.

You don't have to be the world's best forensic accountant to be able to pronounce on a mining company, nobody expects you to be able to burrow down hard and fast on each line item. Hell's bells I know that because at best I'm box standard average at reading financials. But there is a bare minimum of understanding and comprehension necessary about company financials these days and that's just for the private, retail investor. You need to be able to open a P+L, open a statement of cash flows, open a balance sheet and at least be able to get a general idea of the financial health of your mining company, particularly the producers. For a retail investor to be totally ignorant about a company's financial position is bad, for a so-called mining professional such as Jay Taylor to be able to recommend Allied Nevada LESS THAN A MONTH AGO to people that pay him money for advice is little short of criminal.  Jay Taylor and all those like him who offer the world investment advice without knowing anything about numbers need to be ignored forever, as of today.

The Allied Nevada (ANV) (ANV.to) news

If you want it in words, click here. It starts like this...

Allied Nevada to Implement Financial Restructuring


- Files voluntary, "pre-arranged" chapter 11 cases - Restructuring supported by majority of creditors and includes a cash injection of $78 million - Daily operations expected to continue unaffected with no interruption in business - New capital structure to provide liquidity and support growth


...and is a jolly read for a Tuesday morning.

If you want it in an easy to recall image..

Late night extra: Timmins Gold (TMM.to) (TGD) 4q14 results

Filing on SEDAR at 9:30pm and no news release to accompany it either, jeesh.

Anyway, TMM returned a $3.7m net loss, a $1.85m operating loss, working capital dropped by nearly $13m and all that before they made the dumbass move into Guerrero....hey, wonder why they filed all quiet like?

3/9/15

A Flash update...

...has just been sent to subscribers on this cool and pleasant Monday evening, several hours after the closing bell. Checking over some Rob McEwen numbers, that we are.

The Apple (AAPL) gold watch, goldbugs vs Otto Rock smackdown; Let's check the scoreboard

Goldbugs: "The Apple Gold watch will take one third of the world's annual gold production."

Otto Rock: "You people are certifiably insane. STFU forever."

Apple: "The entry level watch will be $350. The gold version $10,000."

So, who do you think is going to be closer, the goldbug mouthbreathers and their "1m gold watches moved per quarter" or this humble corner of cyberspace with "50k max, probably much less"? Yeah you're right, IKN wins the internetz again. Available for weddings, bar mitzvahs, social functions etc, you know the address.


Sound the all-clear siren

America has decided not to hate gold today:


Mining PRs and the Ottotrans™, Part 88


It's time for another installment in our occasional series that takes junior mining gobbledegook news releases and translates them into something that normal human beings can understand. These days we tend to do the translations in as few words as possible, too.

So here we go with today's episode, which comes from our old pal Serafino Iacono over at Gran Colombia Gold (GCM.to). We got this one down to just four words too, which makes for succinct and concise reading. Make sure that Frank Holmes gets to hear about this, won't you? Thanks in advance. (edit: apparently Frank heard earlier this morning. Hoodathunkit)

TORONTO, March 9, 2015 /PRNewswire/ - Gran Colombia Gold Corp. (TSX: GCM, OTC: TPRFF) announced today the details of the monthly interest payments it will make on March 31, 2015 on its Senior Secured Gold-Linked Notes due 2017 and its Senior Unsecured Silver-Linked Notes due 2018.
Gold Note holders of record as of March 20, 2015 will receive approximately US$8.77 per US$1,000 face value of the notes, leaving a balance of interest in arrears after the March payment of US$17.26 (approximately two months) per US$1,000 face value of the Gold Notes. Silver Note holders of record as of March 20, 2015 will receive approximately US$4.38 per US$1,000 face value of the notes which will be applied against the interest in arrears from December 31, 2014, leaving a balance of US$17.13 per US$1,000 face value of Silver Notes after the March payment. These payment amounts are derived based on a 32-day period from February 28, 2015 through March 31, 2015, inclusive.
The interest payments are being made by the Company while we continue work on a comprehensive plan moving forward. The Company has recently received an optimized mine plan for its Segovia Operations from SRK Consulting (U.S.), Inc. and is commencing to undertake the required actions to implement it. The Company is continuing to work closely with its financial advisor, GMP Securities L.P. to evaluate its various options related to the capital structure of the Company and its future debt service abilities on both Gold and Silver Notes.  
About Gran Colombia Gold Corp.

And this is what it means:

We have no money.



.

Chart of the day and book review of the day is...

...the US Dollar index (USD) longview...

...along with James Turk's classic of modern economics and investing, "The Collapse of the Dollar and How to Profit from It" published in 2008. Here's the blurb from its Amazon page:
The dollar is in trouble. Its value on foreign exchange markets has been falling for the past six years, and now its gradual decline is about to become a rout. This spells big trouble for the American economy—but potential riches for smart investors. In The Collapse of the Dollar and How to Profit from It, financial gurus James Turk and John Rubino show how the dollar arrived at this precipice, why it will continue to plunge, and how you can profit from the resulting financial crisis.

The United States today is the world’s biggest debtor nation. To finance this mountain of debt, we’re flooding the world with dollars. The resulting oversupply of dollars will cause its value to decline until it is displaced as the world’s dominant currency.

My word, you have to admire how financial guru James Turk called that one, no?

What? "No" you say?

Anyhow, you can get your copy today, only thirteen useless fiat dollars and be quick, there are only seven copies left in stock

3/8/15

The IKN Weekly, out now



Говорит Москва

IKN 304 has just been sent to subscribers. We love Ari Sussman.

Zinc in 2015: Clarus vs reality

Reality:



Clarus Jan 2015:
There has been a lot of bullish talk in the metals community about zinc and nickel over the past couple of years, as many insiders believe those commodities are poised for a rally. You can include Clarus Securities analyst Mike Bandrowski in that group.
He published a detailed note on Tuesday that suggests zinc and nickel have “imminent” upside and will perform very strongly over the next two years as inventories disappear.
In the case of zinc, Mr. Bandrowski noted the market is already in deficit, and that deficit should get bigger following the closures of the Lisheen and Century mines this year. He said exchange inventories have fallen by more than half over the last two years and should be at “critical” levels later in 2015.
“We believe the lack of funding in zinc mine development and exploration has now caught up with the marketplace and zinc prices will respond in 2015,” he said in a note.
“Despite the broad commodity sell-off, zinc has held up quite well, likely an indication of the favourable supply/demand fundamentals.”
Seriously, what is it about zinc? Every freakin' year you start with anal ysts calling it higher, every fraakin' year the same BS supply/demand argument, every freekin' year nothing happens, and the end of every frookin' year it's re-set and replay from these purveyors of sellside tripe.

International Women's Day according to Latin American politicians

For women:


For men: