start here

start here

The Daily IKN email digest, get all daily posts sent to you next day (& no ads)

I say things on Twitter

6/1/18

The Rio Blanco mine project in Ecuador has just been stopped...

...by a judicial ruling. The judge has decreed that locals had not been given the right of prior consultancy and therefore the project must be suspended immediately.

Rio Blanco, owned by China's Junefield, is in construction phase and due to go into production in 2019.

Daniel Ameduri is a proven liar

It is now June 2018 and "Future Money Trends", the website owned and run by Daniel "Davidoff Cigar" Ameduri, is still alive, up and on air.

We can therefore conclude that he is a proven liar.

The Friday OT: Nick Mason and Saucerful of Secrets; One of These Days I'm Going To Cut You Into Little Pieces

Nick Mason (yes, he of Pink Floyd) along with his new band played a small venue in London a couple of weeks ago. Among the tracks he played this Floyd classic and it turned out top notch.



For all you fellow dinosaurs out there, fine music. Great thanks to reader "JP" for the headsup. Youtube here.

5/31/18

The Core Gold (CGLD.v) NR today

There are only three possible reasons why the share price of Core Gold (CGLD.v) didn't drop like a stone on the release of its NR today:

1) No shareholders read the NR. Or if they did, they stopped reading before they got to the second half of it.
2) If shareholders did read the second part, they didn't understand it.
3) If shareholders understood it, they were arrested, kidnapped or died before they managed to put a sell order in.

I'm betting on 2) in this one, because they'd need to be pretty darned stupid to buy into this über-POS in the first place.


Standing Room Only

MIF Vancouver did slightly better. Close-run thing, though.


The difference between the guy standing up and the others is that the guy standing up gets paid for going on a cruise.

Novo Resources (NVO.v): A NR, a chart and a no comment


A chart here:



As for comment, this humble corner of cyberspace has nothing further to add to this post and message of late November 2017. Here's how that ended:

4. The issue: how to prove QH is right. And it's here where I have my major issue with NVO as an investment today because for the life of me, I don't know how anyone can prove what's there under the sand without digging it all up first. We've already seen drill assays are going to be a non-starter to get to an accurate resource because of quite literally the nugget effect (x100). We're about to get results from one small area and they'll be talked up/down by both sides of the argument no matter what they contain, they will not provide any sort of resolution. So, Large Scale Bulk sampling? Yup, take 500kg from here there there and here. Process it. Then tell me all the areas between the samples are the same. Okay. Time for that? Expense? F___ dude, suddenly you're just mining!

5. Now I know you like the play geologically. All good, but where's the investment? Honestly, I see this stock trading where it is for years (or diluted as new paper becomes treasury) because it simply doesn't have any way of proving anything. It's ultimately risk management and the de-risking of the NVO equity is going to be very difficult.

Bottom line: I have no issue with the geological arguments, no matter which side is eventually proven right. But the key word is "eventually", I see years of price inertia as the most probable near, medium and long-term future for NVO.

And nothing has changed since, either. Neutral NVO, staying that way, not falling for the BS hype being slathered all over the unwitting fools by people with hidden agendas over at CEO dot CA, either.

My favourite bit of the Great Panther Silver (GPR.to) (GPL) NR today

With fanfare (and weirdly a ConfCall later today, Lord only knows why), Great Panther Silver (GPR.to) (GPL) released its NR on the magical work of numerical unicorn flowers and love Preliminary Economic Assessment (PEA) for the Coricancha gold/polymetallic mine in Central Peru today. Promising 3m oz AuEq production and an 81% IRR, it's a wonderful document for anyone who remembers just how much of a moneypit it's been under its recent owners (it virtually bankrupted Gold Hawk, then even a company the size of Nyrstar threw in the towel after losing a crapload of money). So anyway, the best bit? This:
"The PEA economics include the closure costs attributed to the mine plan and exclude the closure expenses associated with legacy operations which are reflected on the Company's balance sheet."
Anyone who's ever travelled up from Lima on the Carretera Central will know exactly why. 

Can we please put an end to these joke PEAs that aren't even worth the pixels they're printed upon? An 81% IRR for a mine that couldn't even make money when gold and silver were hitting their highs? A environmental nightmare that GPR bought into and now wants somebody else to clean up for them for free? Give us all a break here, this BS isn't just annoying, it's an insult to the intelligence of even newbies to the sector.

Your David Erfle quiz

Originally booked to travel to Wesdome Gold (WDO.to) on a mine site visit in June 2018, David Erfle has suddenly and unexpectedly pulled out of the trip. Why has this last minute change occurred, ladies and gentlemen readers? Your choices are:

1) He found out Otto Rock was on the same site visit.
2) His wife denied him permission to travel.
3) He has decided that WDO is unworthy of his presence.

Place your bets!

5/30/18

The Lucara Diamond Corp (LUC.to) chart is quite a thing

Your humble scribe readily confesses to being just a little bit obsessed with the share price action of Lucara Diamond Corp (LUC.to) ever since that "disrupt diamonds" silliness back in late February when LUC.to announced the purchase of some diamond market tech blockchain company that was about to wrest control of the whole darned world from De Beers and Alrosa. What made it extra special was how LUC decided to hire Vancouver's very own chief among BSsers, Marin Katusa (yes, he of the Northern Die Nasty debacle), to pump the whole idea to a band of willing idiots with more money than commonsense (aka "his readers"). Here's a section of the IKN post that day:
"Marin Katusa manages to get a seven thousand word report out on the LUC plan, with nuance and the whole "disrupt mining" strategy, within about three minutes of the  NR coming out yesterday. Katusa of all people! The single worst and most blatant pump and dumper in the sector (and my stars there's competition) gets the quiet inside backstory from the Thomas/Lundin/McLeod Seltzer triumvirate and manages to put it all into a long 'splainer words of two syllables max for his willing crop of retail, proofed to within an inch of its life and all shiny-clean ready to roll. I mean, gimme a break here, the quiet tip-off to the chattering classes is one thing, blatant inside information from a supposedly whiter-than-white board of directors to the worst offending BS artist in Vancouver is quite another."
Anyway, cut to here in late May, one quarter later and how are things looking for LUC?


That's fascinating price action for the last two months, is it not? It would seem that somebody, somewhere is extremely keen on keeping this price floating above the C$2.00 line. 

However, this would definitely not be a case of a band of high-powered directors in LUC with undue influence on brokerages exerting pressure or calling in favours. No, no, perish the thought. Not even a suspicion of backroom dealings here.

The Hidroítuango dam in Colombia: Things are getting worse, authorities call for emergency evacuation

Maybe ten days ago, this humble corner of cyberspace brought you news of a potential disaster in Colombia. The Hidroítuango hydroelectric dam near Medellín in Antioquia is a new civil works project, was supposed to go online late last year but because of serious miscalculations in its design along with abnormally heavy rains is now under serious threat of collapse. If that happens, the houses and around 130,000 people living downstream could quite literally be wiped out (the boffins talk about a 26m high wall of water rushing down the river valley...not funny in the slightest).

Well people, news from Hidroítuango this morning tells us this story hasn't gone away. The latest is that the the danger level has been risen to Red Alert (highest level), the reservoir is full to overflowing, mountain peak overlooking the dam is now unstable and engineers expect landslides in the next few hours into the dam and reservoir area, roads 13km below the dam have been closed and local authorities are now calling for the evacuation of everybody downstream. Yup, 130,000 people. 

Apart from that, they're having a great day.

PS: I've been asked so here's the answer. The dam was built by a Brazil/Colombia consortium known as CCC, a JV between Brazil's private capitals company Camargo Correa (which has been closely linked in several of the Odebrecht bribery scandals), Colombia's Conisa Ramón HSA and Colombia's Constructore Concreto SA. They won the tender for the contract back in 2012.

UPDATE: An evacuation order has just been signed by the mayor of the local area, affecting 30 regions.

5/29/18

Wesdome Gold (WDO.to)

Without putting too fine a point on it...



...about bleedin' time, too.

Disclosure: Long and holding.

Future Money Trends is closing down

Daniel "Davidoff Cigar" Ameduri vowed to his readership in May 2017 that if Zinc One (Z.v) had not doubled from its 65c share price, he would close down his stock touting website. We quote:

Dear Reader,

We are so certain that this extremely undervalued company is a strong buy here, we are staking our entire careers on this single stock pick.
 
I, Daniel Ameduri, fully expect this company to lead the rally for zinc stocks, to the point that if my recommendation to you here today at CAD$0.65 doesn’t at least double over the next year, I will officially close down my letter.
 
In fact, I see this stock as a coiled spring, and I believe that I may be proven right over the next 30 days, with 11 months to spare!

Today is May 29th, 2018. Zinc One (Z.v) has never even got close to the $1 line, let alone reached the $1.30 level so confidently predicted by Ameduri. In fact Z.v is now a 24c stock and down 63c from his reco pump price. We therefore conclude that Daniel Ameduri is obliged to pull the plug on his stock promo empire and close Future Money Trends.



5/28/18

A question for David Erfle

How much has Palamina (P.v) paid you, in cash or shares, to pump their worthless POS of a stock to the naive sheep that listen to you? Hopefully the same as Mickey Fulp's payola, for the sake of your own back pocket.

A simple question for alias "goldfinger" on CEO.ca

How much money, in cash or shares or whatever else, have you been paid to pump Fiore Gold (F.v) to the readers of CEO dot CA?


Is it more or less than your readers have lost per person on average? What with full disclosure being fair to one and all.

A good read on the Colombia Presidential election result

This English language report and anal ysis by Matt Youkee on the result of yesterday's round one Presidential election in Colombia, fresh out the box at America's Quarterly, is as insightful and accurate as anything I've read on the matter in the Colombian press this morning. Here's a snippet:

After winning close to 40 percent of votes on Sunday, Duque is the odds-on favorite to sit in the Casa Nariño come August. That suggests a business-friendly climate under Colombia's next government.

Find out why that's true by reading the whole thing.

Pan American (PAAS) informs on Dolores

Yes indeed, the IKN First Law of Mining NRs in full operation. Funny they didn't mention anything about the decapitated body left at the mine gates or how the narcos are threatening to down anything flying out of the mine with Surface to Air Missile systems...wonder why that is? Anyway, here's the NR:

VANCOUVER, May 28, 2018 /PRNewswire/ - Pan American Silver Corp. (NASDAQ: PAAS; TSX: PAAS) ("Pan American Silver", or the "Company") today announces that it has initiated steps to reduce certain activities at its Dolores mine in Mexico following recent security incidents along the access roads being used to transport personnel and materials to and from the Dolores mine. The Company is working with state and federal authorities to provide safe access to the mine. The mine site remains secure. Ore stacking to the leach pads and the processing plant are currently operating at normal rates.

"Our priority is the safety and security of our personnel. We have been monitoring the situation, and with the recent incidents that have occurred along the access roads, we have determined the prudent course of action is to suspend personnel movements to and from the mine until the roads are safe for our employees," said Michael Steinmann, President and Chief Executive Officer of the Company.
The Company will maintain personnel at the mine at levels necessary for site security and reduced operating activities.

5/27/18

The IKN Weekly, out now




IKN470 has just been sent to subscribers. A re-balance, an addition, a warning. Other things, too.