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6/1/19

Your friendly yield curve update: Yes, of course this time is different, darling...

...whatever makes you think things might be going bad?



Link here.




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

...in reverse order:
.
Third Place: "Core Gold (CGLD.v): Allow your humble scribe to do a little mathematics for you". CEOs sometimes lie. Ex-CEOs sometimes lie. Numbers never lie. This merger is happening so get used to it Piggott, you blowhard loser. All those years of ripping other people off come back to roost.

.
Second Place: "SolGold (SOLG.L) SOLG.to) revisited". Visitors from the UK go up when this company gets mentioned round here. Normal, I suppose. The fact that it dropped 12% after this was posted helped out, too.
.
First Place: "The last time this desk heard so much anger about the "State of the Mining Industry"...". This one was posted on Tuesday 28th, so after Friday's decent rally it's looking quite good. So far, at least.

5/31/19

Lucara Diamond Corp (LUC.to) in the Eira Thomas CEO / Marin Katusa pump era

Going well, isn't it?



 A diamond may be forever, reputations are not.

Mo' Sandspring (SSP.v) and the mess that Frank Giustra made

Further to yesterday's post on Sandspring Resources (SSP.v) and the $300k paid pump from Daniel Davidoff Cigar Ameduri that went the same way as all his rip-offs (i.e. South), reader "IC" was kind enough to remind your humble scribe of the time limit on its land agreement and the way that clock is now ticking loudly. Here's the relevant info from SSP's own filings:

 And...

Sooo...commercial production in seven months, or pay $20m, or lose the gig. And if the Feas Study doesn't show, Wheaton is out of there. Now you know why Gran Colombia Gold (CGM.to) are so keen on picking this thing up, Serafino and Frank are desperately trying to bail themselves out using your money. An absolute den of thieves and scoundrels.

Thank you IC for the nudge, it had slipped my mind.

The Friday OT: The Cult; Love removal machine

For Rudy, the world's finest Twitter account



Youtube here. If you start me up I'll never stop never stop never never never stop.

June and Tinka (TK.v)

By way of a brief reminder, June starts tomorrow and that's the month Tinka Resources (TK.v) has promised to deliver its PEA on Ayawilca. So far in 2019 it's been flatline, despite the decent price Zn continues to fetch at market. Time to see if that changes (in either direction), this time last year it was in the 40s and 50s:



And by way of another reminder, let's all rejoice at how sexy zinc is;






5/30/19

Useful perspective on the amount of utter dog mining stocks on the TSXV

If you want a good idea of just how many useless wrecks trying to pass themselves off as mining companies can be found on the TSXV, check out this link right now (Thursday evening), the SEDAR "New Financial Statements" filings for May 30th, limit date for TSXV Q1 reports. They're not all cruddy, but after scrolling down through them all I felt like taking a shower.

A couple of gold price charts...

...presented with no further comment:



Universal mCloud (MCLD.v) and Marin Katusa

In future BS Pump News, we can confirm that the $10m convertible debt deal announced by Universal mCloud (MCLD.v) this morning is being sponsored by the single worst two-faced snake in all Vancouver, Marin Katusa, who has been going around the city this morning telling the world how he is personally backstopped $5m of the total. Expect Keith Schaefer to get breathless on this one soon, these rats do not work alone.

Sandspring Resources (SSP.v) and another classic Daniel Ameduri rip-off moment

Remember when Sandspring (SSP.v) was forced to disclose in early January that it had paid Daniel "Davidoff Cigar" Ameduri $300,000 to pump the company? Remember when that pump started? Remember how we tuned in just days later to note that the pump had already fallen flat and the 35c on the pump was already down to 28c? Well, here's the latest from this Giustra P+D:

DENVER and VANCOUVER, British Columbia , May 30, 2019 (GLOBE NEWSWIRE) -- Sandspring Resources Ltd. (SSP: TSX-V / SSPXF: OTC) (“Sandspring” or the “Company”) announces a non-brokered private placement of 24,000,000 units (the “Units”) at a price of $0.125 per Unit for gross proceeds of up to $3,000,000. Each Unit consists of one common share of the Company (“Share”) and one share purchase warrant entitling the holder to purchase one Share at $0.165 for a period of five years from the date of issuance (“Warrant”).  It is anticipated that insider Gran Colombia Gold Corp. will purchase approximately two thirds of the private placement subject to TSX Exchange approval. A finder’s fee may be payable in association with this financing to arms-length purchasers.

A placement at 12.5c, which means Frank, Fino and all Da Boyz are loading up again, ready to take your money on the next cycle of this scam company.

Thank you reader E for the nudge.

5/29/19

And if you are wondering whether the Ottotrans series is valid...

...please check out the last edition, #103 from May 17th last year (it's been too long) about the Henk van Alphen bullshit rip off Wealth Minerals (WMT.v) and the way they stumped up a stupid number to Daniel "Davidoff Cigar" Ameduri to pump the worthless crap Wealth Minerals to the sheep end of the market. Here's the price chart of WMT next to the XAU index since then:



Further questions?

Mining PRs and the Ottotrans™, Part 104

 

It's been a while, but our occasional series is back with a look at Bobby G's ridiculous BS play Bunker Hill Mining (BNKR.cse), the CSE play he pulled out of the wreckage of his scam Liberty Silver. I mean, this one is so scammy that even Frank Giustra walked away. The NR is short and sweet:

This is what they wrote:

TORONTO, May 28, 2019 (GLOBE NEWSWIRE) -- Bunker Hill Mining Corporation (the “Company” or “Bunker”) (CSE:BNKR) announces that effective May 22, 2018 Julio Di Girolomo is succeeded by Mr. Wayne Parsons as the Company’s Chief Financial Officer. Mr. Di Girolomo who resigned for personal reasons served the Company since May 3, 2017. The Company wishes to thank Mr. Di Girolomo for his service and to wishes him all the best in his future endeavors.
And this is what it means:

TORONTO, May 28, 2019 (GLOBE NEWSWIRE) -- Bunker Hill Mining Corporation (the “Company” or “Bunker”) (CSE:BNKR) announces that effective May 22, 2018 Julio Di Girolomo is succeeded by Mr. Wayne Parsons as the Company’s Chief Financial Officer. Mr Di Girolomo does not want to be associated with this den of thieves when Mr. Parsons's payola provider, Mr. Robert Genovese (aka Bobby G), is convicted of securities fraud in the near future and spends time in jail. The Company wishes to thank Mr. Di Girolomo for his service and to wishes him all the best in his future endeavors.

SolGold (SOLG.L) SOLG.to) revisited

Slowly but surely, London is coming round from the Nick Mather hypnotism show and realizing the cruel reality of the Alpala PEA, massaged to an inch of its life in order to cough up decent headline numbers. Tell you something Nick, you let me use $3.30/lb copper and I can make a whole bunch of dog copper deposits work.


This will go lower. In the words of China, "Do not say I didn't warn you."

Core Gold (CGLD.v): Allow your humble scribe to do a little mathematics for you

There's plenty of noise around the Core Gold (CGLD.v) / Titan Minerals (TTM.ax) merger, what with the ex-CEO Piggott opposing and throwing items out of his pram on a regular basis, but the only thing that really matters in the NRs of both sides are their claims on the votes. Piggott has written that he has enough votes to stop the deal, but today in its NR, CGLD put this;
"To date, 140,711,510 securities representing 70.17% of all outstanding Core Gold securities eligible to be voted have been voted, with 82.62% of the votes being cast FOR the Arrangement with Titan."
That's solid data, for sure straight from the ComputerShare tallies so there's no way they'd be lying. And as we know the vote has to go 66 2/3rds in favour in order to pass, we can do a little math for you now.
  • There are 200.529m CGLD shares out 
  • Which means there are 59.88m shares left to vote
  • We know from the above that 116.256m shares have voted FOR the arrangement. That's 57.97% of all votes. 
  • Therefore, CGLD needs just 8.7% of remaining shares to vote for the arrangement in order to pass no matter what.
  • However, as in all proxy contests, the likelihood that 100% of shares are voted is very slim. In fact, getting to 90% would be impressive. If that 90% is the case, CGLD already has 64.4% of votes cast in its favour.
  • In other words, the chances of Piggott stopping this merger from happening are between slim and none.

Bottom line: It's a noisy battle, because that's due to the fact that one side has the votes and the other only has screaming left to do. If you do the math, note TTM's 2.1c A$ share price, take into account the share ratio of the deal and then AUD/CAD forex pair, you too will see that CGLD at 25c is a drop dead bargain even if TTM shares dilute somewhat after the close. This arb is wide and will fill soon.

x

5/28/19

Hecla (HL) in the merry month of May

In the post "Catching up with Hecla (HL)" dated May 9th, this humble corner of cyberspace pointed to the BS and Blather emitted by HL that day and also reminded its esteemed audience of the other batch of BS&B from early in 2018, when HL justified its stupid purchase of Klondex. Here's a line from that May 9th post which commented on its share price performance from the day of the Klondex purchase until then:
"From U$3.56 to U$1.78, a drop of exactly 50% and once more people get a feel for how bad this company's financial situation is,  it'll drop more. They shoot horses for less"
And how we doing now, just three weeks down the line?


Got a thought on that, Owly?



Guessed you'd say that. And now the piñata is set, as a whole bunch of class action suits line up to whack into this company and pitiful excuse of a C-suite. Burn them with fire, shysters.

The last time this desk heard so much anger about the "State of the Mining Industry"...

...with constant kvetching about Zombie Juniors, overstuffed executive pay packets and total dog rip-off operations that seem to do better than the "serious companies" was in late 2015 and the first weeks of 2016, just before gold turned and took off.

Strangely, all the moaning stopped. 

Funny how making a quick profit changes your outlook on life, isn't it? But now the "Something Must Be Done!!!" brigade (three exclamations mandatory) is back again, which tells me the people who think they're good at this game are hurting as much as the tyro retail saps who get ripped off first. And that we're getting close again.

The 2019 "In Gold We Trust" report

This morning Incrementum published its 2019 "In Gold We Trust" report, arguably the best macro research on the gold market (and what's more, it's free). Get your copy by going to the right page on the interwebnetpipes to download, which is right here.

Argentina's upcoming Supreme Court ruling on the "Glacier Law" (from IKN522)

Ready for the next piece of left-field BananaRepublicanism from South America's finest basket case? Here's what readers of The IKN Weekly saw on Sunday evening as part of IKN522;


Argentina: Eyes on the Glacier Law
This report (12) from Argentina’s biggest circulation daily, Clarín, provided an update of the process of the appeal against the so-called “Glacier Law” and notes that at least three and probably four of the five judges sitting at the country’s highest court of law have apparently made their preliminary decision on whether to uphold the constitutionality of the law. According to sources quoted by the journalist, the preliminary decisions of the judges are to accept the law as stands as constitutional and with just one (or two) judges left to opine, we’re now likely to get a decision before the court goes into recess in July.

The appeal against the law has been going on since 2011 and while complicated (these things are never black and white), the bottom line is that if the Supreme Court upholds the law as constitutional, it will adversely affect up to 40 mining operations and projects located in the high Andean regions of Argentina, along the country border with Chile. If upheld and depending on the project, the law would be something between a headache and a full-on project killer.

Seriously, just avoid this country.



5/27/19

Kirkland Lake (KL) gets to pay a nice royalty

News from Oz:

The Victorian Government plans to introduce a 2.75 per cent royalty to its gold miners, in line with all other Australian states.
Only small miners are exempt from the updated royalty.
In Victoria, a 2.75 per cent royalty rate already applies to all minerals other than lignite and gold.
Kirkland Lake Gold’s Fosterville mine is the state’s top producer of gold. In the March quarter, Fosterville produced 128,445 ounces of the precious metal. The Canadian company expects to (continues here)

And let us remember the special talent that is Casey Research, as noted on March 18th this year:




Bless em.

The IKN Weekly, out now



Bupropion hydrochloride. Some sort of antidepressant,
apparently. I've never tried it.

IKN522 has just been sent to subscribers and it's late and I'm going to bed. Goodnight.

5/26/19

Atlantic Gold (AGB.v): An interesting development

I didn't realize that St. Barbara had called for the meeting. Rather embarrassing if so and also somewhat irregular, what with the deal still only at offer stage.

Yield curve double dipper

This is fine:




But do not fret, just turn on CNBC. In the next hour there will be a person wearing a nice sharp suit telling you that this time is different. And to buy things.