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I say things on Twitter

9/8/18

The top three most visited IKN posts this week are...

...in reverse order:
.
Third Place: "The Pretium (PVG) short report". Providing the link to somebody else's work. Easy life.

Second Place: "How Palisade Global works, part deux". The vast majority of IKN traffic is straight to the front page, so when an individual post gets busy it means people are handing the link around, not just coming to the blog to have a look and that happened here. The funniest repercussion of this post was watching Sean Zubick take his Twitter account private, suddenly he doesn't want the world to see what scams he has in store for you. Cockroaches and sunlight, they say.

 
First Place: "Kirkland Lake (KL) makes its move. " The traffic to the Palisade post would normally win the week, but not this time. A scoop and a market mover post (with info confirmed by several other sources post date), OSK added $70m or so to its market cap on this. Don't ever say IKN isn't trying to improve Canada's economy. Kung Fu.

9/7/18

The Friday OT: Eddie Izzard; Cake or death

Could have chosen this Lego version (seriously) that goes straight to the two minute highlight, but this way you even more Eddie. Which is good.




Language both NSFW and genius. Youtube here.

Frank Holmes and Frank Giustra have fallen out bigtime

We can confidently predict that Giustra will not be taking part in the upcoming HIVE Blockchain (HIVE.v) placement. Though erstwhile friends, Holmes has been badmouthing Giustra in many corners due to the way Giustra (and all his cohorts) have almost totally sold out of HIVE.v. Adding insult to Holmes' injury, the Giustra mob have all left themselves a tiny remnant holding so they can say to anyone they ask they're "long HIVE" but the truth is that they've bailed on 99% of their stock, Bri-Bri, Tommy Haw-Haw Humphreys Pokrandt and Giustra's ex, to boot. Meanwhile, Giustra is not happy about the way in which Holmes has been talking about him (the egomaniac cares most about his public image) and things have now gone from bad to worse. It remains to be seen whether Giustra exits from USERX as well.

Pretium (PVG) update: The Empire Strikes Back

This humble corner of cyberspace has it on good authority that Pretium (PVG) is currently preparing a rebuttal to the Viceroy short report, published yesterday, that may possibly see publication today but (legal beagles and all that) will most likely go live on Monday morning. PVG is confident about being able to blow holes in the short report's details, too.

To repeat: I am and will remain neutral PVG, no position at all.

Osisko $OSK.to and the tale of the tape

The tape this morning is telling us that...



...Canadian sell side has actually foregone the triple martini lunches, done some DD for a change, caught up with your humble scribe and found out that he wasn't telling fibs.

Once again pwned by a pissant blogger on blogspot. How do you feel, guys?

Good news from Tahoe Resources $TAHO (THO.to)

The blockade by locals at La Arena is over. And they'll never have any problems ever again. Ever ever ever. Plus this piece of legal-speak from the NR is just wonderful:
"...we do not believe there will be a material impact to annual production as a result of the eight days of suspended mining operations. However, this event, together with the labor strike in the second quarter at La Arena have disrupted production, and the Company now expects to be near the low end of its annual production guidance at La Arena of 160 to 185 thousand ounces of gold."

Get that? Production is best defined as unaffected when it is affected. And the reaction is...


...Kevin McArthur, resign.

Are you a mining sector newbie? Take this one question quiz and find out

The question hangs on this Spott mailer on Auryn Resources (AUG.to) that went to the world this morning...


...and here's the question:
On reading the headline, did you immediately think "Wow, Sprott must be holding a serious bag there!"?
If your answer is no, you are a newbie.

Happy Friday.

9/6/18

The Pretium (PVG) short report

Find it here. They make several points, for me chapter six is the most interesting.


No position at all in PVG (that hasn't changed), no connection to Viceroy.

Kirkland Lake (KL) makes its move.

We've had plenty of talk and chatter as to what Kirkland Lake (KL) will do next. The answer is Osisko Mining (OSK.to). Remember that big-ass 18m share block that went thru OSK a month ago? That was bought by KL and since then, they've been quietly accumulating. We should be close to that magic moment when KL files its "hey guys we own 10.01% of this" document and Sean realizes that Eric is treading on his loafers.

You heard it here first.

Still no word on Lundin Mining's (LUN.to) illegal insider trader, director Paul McRae...

...and whether the Canadian authorities are investigating the clear-cut case of his use of non-public material information (i.e. illegal insider trading) to make ill gotten gains.

Nothing from the company either regarding reprimands for this director who clearly broke the company's ethics rules.

Why so silent, Lukas?

9/5/18

Continental Gold (CNL.to) transport vehicle attacked UPDATED

Details are sketchy so far, but we hear that a vehicle transporting personnel from the Continental Gold (CNL.to) Buriticá mine in Colombia came under attack this morning. No word on who the aggressors were or their motive as yet.

UPDATE: We now hear that one employee at the mine died in the attack, another was injured. The vehicle in which they were travelling came under fire just outside of Buriticá.

UPDATE2: The first local news report on what happened, here. Spanish language. Translation:
The criminal incident occurred against two engineers in the Mine Training and Control department (of Continental Gold), who were attacked by gunfire from the high point of the mountain when travelling in a truck.

During the crime committed just outside the Buriticá urban area, while travelling to the mine site in order to start their shift, the engineer Óscar Alarcón, 27 years old, died while his colleague Jorge Armando Tarra was injured and transported to a hospital in Medellín. The other people who were in the vehicle were not injured.
Police are pointing the finger at the Clan del Golfo as potentially behind the attack, this is the ultra-right wing paramilitary group that has previously operated in the zone. We should stress that this is only a hypothesis at the moment, though.


UPDATE3: Probably just coincidence.



UPDATE4: CNL.to published its NR on the incident, here.

Understanding Pretium (PVG)

1 It goes over U$9 on news.
2 It drifts down to under U$8 after.
3 It then goes over U$9 on news.
4 Afterward, it drifts back to under U$8.
5 Then it goes over U$9 on news.
6 At which point it drifts back down under U$8.
7 The stock proceeds to jump to over U$9 on news.
8 At this moment it drifts back to under U$8.

Etc

HIVE Blockchain Technologies (HIVE.v) is looking to run a placement soon

IKN sources report that it should happen in the next few weeks. No fix on the price, but the size being floated by those close to the company (as the saying goes) is 100m shares. Frank Holmes' GROW fund will take down a decent percentage of the placement.

Don't say you weren't warned. Hey Giustra, get a plumber in to fix those leaks, yeah?


GLD inventories, 2016 to date

We're now under 750 tonnes and plunging back to where we were in January and February 2016, the period gold re-launched after years in the wilderness.


Wall St has better things to do with ts money than leave it languishing in the barbarous relic, it would seem.

9/4/18

Your New Gold $NGD update

On May 9th 2018, while welcoming Raymond Threlkeld as new President and CEO of the company, the chairman of New Gold (NGD) Ian Pearce had this to say:
"Under Ray's leadership, New Gold will continue to focus on delivering steady, operational performance at Rainy River and enhancing our financial flexibility to execute on our capital priorities. "I look forward to working with Ray as we continue to advance a disciplined approach to both productivity and value creation from our portfolio of long-life assets.  We want to ensure that every dollar we generate is applied to the highest-returning opportunity – whether that is building our balance sheet strength or enhancing the ability of our assets to deliver strong and stable returns."
Advance... discipline... productivity... value creation... dollar generate... high return... building balance sheet..... mmmmmmm yummy mmmmmmmm yum yum mmmmmmmm, tasty stuff. And how have they been doing?


Keep creating that value, guys.

I can juggle three balls...

...and that used to be four, give me a couple of weeks' practice and that would come back again quite quickly. I can also read upside down. And do hand-stands. My youngest daughter plays the flute and is doing well in her violin lessons, too. My eldest daughter has a real eye and ability for drawing and painting, there's a budding fine arts student there. They're both doing really well at school too, always strong results in exams.

Should we send in our CVs, Lisa?

TORONTO, Sept. 4, 2018 /CNW/ - Guyana Goldfields Inc. (TSX: GUY) (the "Company") is pleased to report the appointment of Ms. Lisa Zangari as the Company's new Chief Talent Officer effective as of September 10, 2018.




Kevin McArthur, resign

Tahoe Resources (THO.to) bought Rio Alto Mining in February 2015. They paid U$1.09Bn for the company, in shares of THO. Today those shares are worth U$212m. 

Since that time (see chart) THO has overpaid for Lake Shore Gold in Canada, ruined a profitable mining company in Peru and dragged its reputation into the dirt, lost all reputation (and production) in Guatemala.

He can change all the management roster as much as he wants, CEOs that come and go etc, but ultimately only one man is responsible for this destruction of wealth. That's Kevin McArthur, who also happens to be the man who was selling his own shares in the company when it was a $20 stock.

9/3/18

UPDATED: Tahoe Resources $TAHO (THO.to): The Guatemala court rules on Escobal tonight

This evening, Guatemala's Constitutional Court has called a press conference and is set to rule on the case of Tahoe Resources (TAHO) (THO.to) at its Escobal mine and whether it will ratify its permits as stands, or require the company to seek community approval.

Expect this post to be updated with the court decision later.

UPDATE: The court has just ruled that TAHO must hold a Community Consultancy.

The exact wording of the ruling may be important here. What the court has said is that once the Ministry of Energy and Mining has conducted its Community Consulting, the mine can re-start operations. There is therefore a possible loophole created, in that the ministry and the mining company do not need approval, all they need to do is run a consultancy (no matter what the locals say, with or without a vote). This is also the current interpretation of OIT169 in Guatemala (see OXEC case).

This ruling may have created more problems than it has solved. A real can of worms.

How Palisade Global works, part deux

EDIT: I see CEO two-faced pumper Goldfinger has posted this to his "private" trading lab on CEOca. Why don't you tell your flock about the cash you charge for your "sponsored coverage" of stocks too?

Further to the post last week "How Palisade Global works, Giga Metals (GIGA.v) edition", your humble scribe received a most interesting mail from a long-term, reliable contact in the biz. He told of how he'd learned about Palisade Global and the way they do business a while ago, after watching as one of his positions got whacked by a flood of selling the moment a specific placement came out of escrow (I do have the details and they all check out, as does all the rest of the info in this post below, but my friend has asked me to be general about his specific involvement with the company in question so that's how it's going to be). Intrigued, my friend naturally investigated the source of the avalanche selling and sure enough, it traced back to Palisade Global. Interested and now with a thread or two to pull upon, he checked out other trades that Palisade Global had recently entered into and strangely enough, they all had a lot in common:

1) The target companies were all tinycap penny stocks, short of cash and desperate for funding.
2) Palisade Global would enter the companies by taking down a private placement, run at a penny level, always with cheap warrants attached (and normally full warrant per unit).
3) They then entered into a "marketing agreement" with the companies, typically for a six figure sum that would be paid in advance. Suddenly they're on a no risk deal with their new client.
4) For that marketing agreement, Palisade Global would run some articles on its website (Palisade Research), would often get them covered by their sister company "Comprehensive Research", get them segments on their web/Youtube show "Palisade Radio".
5)  Very often, the main slug of promo pump from the Palisade Group would coincide with the lifting of the escrow in the previously closed placement (the typical 121 day thing) and the liquidity event of high level coverage would allow Palisade Global to do what they did to the original stock my friend watched...i.e. hammer it into the ground.

After he'd investigated a while, my friend (who is an out-and-out capitalist) couldn't help but admire the business model used by Palisade. ID a desperate company, offer the insiders a cast-iron opportunity to make some money and/or run a financing at a higher price down the line, get papered up and use timing and the hoards of gullible sheep in JuniorWorld to make out like bandits. This wasn't just a pump and dump, but one on steroids using high traffic media channels, paid-for analysts saying the right things at the right time and would even come with nicely timed NRs and exploration results from the company to whip up even more buying interest...right at the time Sean Zubick and his merry pals were selling their dirt cheap paper.

As for the names of companies that have been lured by the cheap money and Palisade's bizplan, it's probably not a complete list but all these have been identified as takers:
  • Mexican Gold Corp (MEX.v)
  • Giga Metals Corp (GIGA.v)
  • RJK Exploration (RJK.v)
  • Benz Mining Corp (BZ.v)
  • Sokoman Iron Corp (SIC.v)
  • Aben Resources Ltd (ABN.v)
  • Makena Resources Inc. (MKNA.cse)
  • Triumph Gold Corp (TIG.v)
  • Duckworth Capital Corp (DUKE.vP)
  • Lincoln Mining Corp (LMG.v)
  • New Age Metals (NAM.v)
And one of the clues to spot whether Palisade Global has its claws in a tinycap can be found on the balance sheet. If there's a line-item of "pre-paid expenses" in the current assets section, at somewhere between $50,000 and $250,000 (it gets paid down on a quarterly basis), bet a dollar on it being Palisade.

UPDATE: Hi Sean!


The new Argentina export tax on primary goods is four Pesos per dollar

In the Kirchner years, there was a 5% export tax on mining products, which was loudly booed by the industry. So when in February 2016 the newly inaugurated President Mauricio Macri scrapped the tax it was cheers all round and "oh isn't Argentina wonderful now?". And here's exactly what Macri said when announcing the end of the tax, at a presser in the province of San Juan:
"Mining had begun to develop under clear rules and, unfortunately, more than 10 years ago somebody violated those rules and imposed an export tax on mining operations, snatching away resources from San Juan and taking them to the national coffers, which were resources that San Juan needed to keep growing. This is why I want to announce today that the export tax is finished."

Today he has just reinstated the export tax on mining goods (and other primary exports such as wheat and soybeans), but not at a mere 5%. It's set at 4 Pesos per US Dollar, which is 10.5% at today's forex. Now just wait for the financial experts to applaud this move and tell you "it's for the good of the country". And while you're listening, make a note of every person who tells you it's just a temporary measure because it's always handy to have a list of names who either know nothing about the subject or are plain straight lying into your face.

The organized crime that is currently raping Argentina

Except that they do not call it "crime" because it's being organized by The IMF and its friends (Macri included, don't think for a moment he's not a part of this nefarious cabal).We remind readers of this script, published on these pages 10 weeks ago:

"...this is also another page  straight  out  of the  1990’s playbook  and  I  for  one  am  under  no illusions about what happens next. The  government is basically offering free dollars to the market and they will eat them all up.  Once the supply is gone (the first part of this  bailout package  ends  mid  Q3) a  country  still  ravenous for dollars will belch and demand  MORE,  if  not  the  Peso  will  go  into  freefall again. And once they’ve taken as much as  they  can in  hard  dollars  out  of  the  country, the  plug will be pulled and  it’s  bankruptcy  again.  The banks in charge of this rotten and  inhumane treatment do this because they  can,  they do not care about Argentina nor its  people in the slightest, it’s just to get as much  money as possible out of the country before  they  hit  the  big  red  button  and  watch  it  collapse,  there  is  no  other  reason. Back  in  the 2000  to  2002  period  I  witnessed  the  country  get  drained  of  its  money and it was,  quite  literally,  the  financial  lesson  of  my  life. There is no doubt at all  in  my  mind  that the North and the powerful financial institutions  in  charge  of this  unholy  scam,  from the IMF all the way  down,  will  do  it  all  again."



The IKN Weekly, out now




IKN484 has just been sent to subscribers. Happy Labor Day up there, guys.

9/2/18

Tahoe Resources $TAHO is lying to you (again), the La Arena strike is affecting production according to...Tahoe Resources

On Friday August 31st, Tahoe Resources (TAHO) (THO.to) announced to the world that its La Arena gold mine in Peru was under blockade and a strike action by locals around the mine. The interesting bit is how they tried to make out that production wouldn't be affected by saying (and we quote):
"Leaching activities continue normally at this time."

The very next day, Saturday September 1st, Tahoe Peru SA (the wholly owned subsidiary of Tahoe Resources) sent an internal communique to its employees regarding the blockade by locals of its La Arena mine and the suspension of activities. It was a seven point memo, this is point six:


And here's a translation of the important bit at the end:
"We regret that this stoppage implies diminished production that will affect State royalties, the payment of taxes and the worker participation bonus for our employees, as well and for the contracted companies that also find themselves paralyzed."
In other words, TAHO has one message for stakeholders in the North in English (production unaffected) and another for stakeholders in Peru in Spanish (production affected, profits hit). Or put even more simply, they are liars.

Also for the record, on this Sunday afternoon the blockade is now into its fifth day at La Arena and continues unabated.


Structural Geology: A forgotten discipline in mineral exploration

It's an hour long, but rockbuffs will love it. And you''ll all love the intro.




Heads-up thanks go to reader DS. Youtube here.