Vancouver, British Columbia – (April 10, 2019)
Rover Metals Corp. (TSXV: ROVR) (OTCQB: ROVMF) (“Rover Metals” or the “Company”) is pleased to announce that it has entered into a non-binding letter of intent dated April 10, 2019 to acquire (the “Transaction”) all of the issued and outstanding shares of Centennial Mining, an arm’s length Nevada corporation, from a private US-based entity (the “Vendor”) in consideration of the issuance to the shareholders of the Vendor of 40,000,000 common shares in the capital of Rover Metals (the “Consideration Shares”). The Consideration Shares will be distributed to the shareholders of the Vendor, resulting in no single person holding more than 9.79% of the issued and outstanding common shares of the Company following the completion of the Transaction (post Transaction individual ownership does not give consideration to the number of shares to be issued in connection with the Company’s current private placement financing disclosed below).
Centennial Mining owns, among other things, a 100% interest in the Toquima precious metals property (the “Toquima Property”) located in Corcoran Canyon, Nevada, USA.
Completion of the Transaction is subject to a number of conditions. Such conditions include the execution of a definitive agreement; completion of satisfactory due diligence; receipt of requisite shareholder and director approvals, as applicable; and receipt of all required regulatory, corporate and third party approvals, including the approval of the TSX Venture Exchange (the “TSXV”) as the proposed Transaction may be a “Reviewable Transaction” under TSXV Policy 5.3 – Acquisitions and Dispositions on Non-Cash Assets. As a result of such conditions, there can be no assurance that the Transaction will be completed as proposed or at all
The Consideration Shares issuable on closing of the Transaction will be subject to a hold period of the greater of 12 months and the period stipulated by the TSXV.
Judson Culter, CEO at Rover Metals, states: “The Toquima Property brings Rover Metals a lower cost per meter precious metals exploration project to offset the somewhat more expensive and seasonal exploration costs of our existing Northwest Territories, Canada assets. Additionally, having recently completed our U.S. OTCQB listing we need a U.S. based asset in a mining friendly jurisdiction. The Toquima Property is available for year-round exploration.”
Trading in the Company’s common shares has been halted by the TSXV at the Company’s request. The halt is expected to continue pending the completion of certain pending conditions and the TSXV’s review and acceptance of materials regarding the satisfaction of such conditions.
This is an initial press release. The Company plans to issue a further press release once it has completed the pending conditions and provide the information prescribed by applicable policies of the TSXV related to the Transaction.
About the Toquima Property, Nevada, USA
The Toquima Property is a gold and silver project located northeast of Tonopah, in central Nevada, USA. The Property comprises 253 contiguous, unpatented mineral claims with an area of approximately 1,958.6 hectares (ha) (4,840 acres). Eight (8) Core claims are under option from Shasta Gold Corp.,19 CX claims are under option from MinQuest Inc., and 226 AR claims were staked in 2016 by Centennial. All claims are in good standing until August 31, 2019.
The Property has been explored since 1970. Between 1970 and 2011, a total of 123 holes, both core and reverse-circulation, with an aggregate length of 17,895 m (58,712 ft) were drilled on the Property. Of this total, approximately 11,500 meters in 78 holes have been drilled within the Silver Reef Zone, the most significant of the known mineral occurrences on the Property. Two historical resource estimates in the context of National Instrument 43-101 exist for the Property. The first was done in 1984 by Copper Range Exploration and estimated 4 million short tons at grades of 2.91 opt Ag and 0.014 opt Au, (3.6 million metric tonnes grading 100 g/t Ag and 0.48 g/t Au). This historical resource estimate was done by hand and none of the key assumptions, parameters, and methods used to prepare this historical resource estimate are available. The second historical resource estimate was done in 1988 by Echo Bay Explorations Inc. which reported “probable” and “possible” resources of 1,251,808 short tons at an uncut grade of 7.22 ounces per ton (opt) Ag and 0.026 opt Au, (1,135,621 metric tonnes grading 247.54 grams per tonne (g/t) Ag and 0.891 g/t Au). A qualified person has not done sufficient work to classify this historical estimate as a current mineral resource, and Rover is not treating them as a current mineral resource.
The Toquima Property is located on the eastern edge of the Toquima Range, a NNE-trending range typical of the Basin-and-Range Province. Most of the Toquima Range is underlain by volcanic rocks of Upper Oligocene to Lower Miocene age, comprising ash-flow tuffs ranging in composition from dacite to high-silica rhyolite. Structure in the Toquima Range is dominated by the generally NE-trending range-front faults on the east and west edges of the range, smaller NE-trending faults, older NW-striking pre-Basin-Range faults, and the circular faults and caldera margins of the Toquima Caldera Complex.
The Toquima Range and the San Antonio Range to the south contain the Northumberland -Tonopah gold-silver belt that hosts at least ten gold-silver mines and properties in addition to the Toquima Property, including Round Mountain (Kinross), Gold Hill, Northumberland, Manhattan, Belmont, and Tonopah. The Property exhibits similarities with most of the other Au-Ag properties in the belt: low-sulfidation epithermal mineralization in caldera margin and/or range front fault zones in veins, stockworks, and breccias hosted in hydrothermally-altered felsic volcanic rocks. Mineralization in the Silver Reef Zone is hosted in the Late Oligocene-age Corcoran Canyon Tuff dated at 27.7 Ma and the Trail Canyon Tuff dated at 23.6 Ma. Three types of felsic intrusions are present on the Property, one or more of which may be related to mineralization.
Exploration on the Property over the last 46 years has outlined the Silver Reef Zone and discovered other mineralized zones. The Silver Reef Ag-Au deposit, a potentially economic zone of pervasive quartz-adularia-sulfide veining, stockwork, and disseminated mineralization accompanied by intense quartz-sericite-pyrite alteration, occurs in a NE-trending, northwest-dipping, zone 500 m wide and 600 m long and has been defined by surface mapping and sampling as well as drilling.
Elsewhere on the Property, exploration identified four additional mineralized zones: Zone M/N is located west of the Silver Reef zone and consists of pervasive quartz-sericite alteration and quartz-adularia veining in a NE trending zone about 800 meters long. Zone R/S is a large area of strong quartz-sericite alteration on the western end of the Property, with anomalous rock and soil assay values. Zone L comprises an ENE-trending Au-Sb-As soil-rock anomaly 100 m long, over a silicified breccia zone. In Zone F, Echo Bay reported rock assays up to 30 g/t Ag, NW of Silver Reef. Although Echo Bay’s subsequent soil samples did not generate an anomaly, Bullion River reported one Au-anomalous rock sample in a rhyolite intrusion.
Technical information in this news release has been approved by Raul Sanabria, M.Sc., P.Geo., VP of Exploration at Rover Metals Corp. and a Qualified Person for the purposes of National Instrument 43-101.
Private Placement
The Company also announces that it has re-priced its previously announced private placement (the “Private Placement”) (see Rover’s March 4, 2019 press release). The Company announces that it will seek to raise an aggregate of $1.25 million through the issuance of up to 20,833,333 units of the Company (each a “Unit”) at a price of $0.06 per Unit. Each Unit will be comprised of one common share in the capital of the Company (a “Common Share”) and one Common Share purchase warrant (a “Warrant”). Each Warrant will entitle the holder to acquire one additional Common Share at an exercise price of $0.12 for a period of five (5) years from the date of issuance.
The Company currently anticipates that the net proceeds of the Private Placement will be allocated as follows: 65% for Toquima Project, 15% for Cabin Lake, and 20% for general and administrative expenses. Rover Metals anticipates closing the Private Placement in multiple closing and as funds are received.
About Rover Metals
Rover Metals is a natural resource exploration company specialized in precious metals that is currently focused on the Northwest Territories of Canada, one of the most mining friendly jurisdictions in North America. The Cabin Lake Group of High Grade Gold Projects are located within 20km of Fortune Minerals’ (TSX:FT) planned NICO Project gold-cobalt processor.
You can follow Rover Metals on its social media channels
Twitter: https://twitter.com/rovermetals
LinkedIn: https://www.linkedin.com/company/rover-metals/
Facebook: https://www.facebook.com/RoverMetals/
CEO.ca: https://ceo.ca/rovr for daily company updates and industry news.
ON BEHALF OF THE BOARD OF DIRECTORS
“Judson Culter”
Chief Executive Officer and Director
For further information, please contact:
Judson Culter
Email: judson@rovermetals.com
Phone: (604) 449-5347
Statement Regarding Forward-Looking Information
This news contains statements that constitute “forward-looking statements.” Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause Rover’s actual results, performance or achievements, or developments in the industry to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects,” “plans,” “anticipates,” “believes,” “intends,” “estimates,” “projects,” “potential” and similar expressions, or that events or conditions “will,” “would,” “may,” “could” or “should” occur. There can be no assurance that such statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements, and readers are cautioned not to place undue reliance on these forward-looking statements. Any factor could cause actual results to differ materially from Rover’s expectations. Rover undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors, should change.
Proven ProbableAuthor: admin
Wednesday, April 10, 2019
TORONTO, ON / ACCESSWIRE / April 10, 2019 / Anthony Milewski, Chairman and CEO, Cobalt 27 Capital Corp. (TSX-V: KBLT) (OTCQX: CBLLF) (FRA: 270), met with the London Metal Exchange’s Product Development department to discuss their electric vehicle battery materials initiatives. The London Metal Exchange (LME) is the world centre for industrial metals trading. With the launch of its new cobalt contract, we reached out the LME with some questions that we felt investors and Cobalt 27 shareholders would find interesting.
What is the London Metal Exchange and what does it offer as a platform?
The London Metal Exchange (LME) is the world centre for industrial metals trading. The prices discovered across the LME’s three trading platforms – the Ring, the inter-office ‘telephone’ market and LMEselect, our electronic trading platform – are used as the global reference price and, both the metal and investment communities use the LME to transfer or take on risk, 24 hours a day.
The LME has had a cobalt contract since 2010. Why is the Exchange launching a new cobalt contract now?
The LME launched its physically-settled LME Cobalt contract in 2010, which has been a steady performer amongst a core group of supporters for a physically settled contract. That said, the LME has also seen growing appetite for a cash-settled contract over recent years with the rise in demand for Electric Vehicles (EVs) and battery metals. Last year, we consulted the market in order to identify the best risk management solutions. Following extensive engagement with the market, on 11 March 2019, we launched a cash-settled LME Cobalt (Fastmarkets MB) contract, to complement our existing physically-settled offering. This new cash-settled contract is settled against the Fastmarkets MB Standard Grade index, allowing market participants who have exposure to the aforementioned price in their physical contracts, to hedge across the cobalt value chain with no basis risk.
What are the differences between the new cash-settled LME Cobalt (Fastmarkets MB) contract and the existing physically-settled LME Cobalt contract?
There are several differences between the two contracts, but the most relevant are the settlement structure, settlement price and prompt date structure.
Designed to mirror physical trading, daily prompts enable users of the physically-settled LME Cobalt contract to accurately hedge their physical transactions down to the day.
The LME Cobalt (Fastmarkets MB) contract settles on the last business day of each month in accordance with the LME trading calendar, out to 15 months, to the price of the Fastmarkets MB Index. In contrast, the physically-settled LME Cobalt contract offers daily prompt dates out to three months, weekly prompt dates between three and six months, and monthly prompt dates from the sixth month onward out to 15 months.
Cash settlement is a method used in certain futures and options contracts where, upon expiration or exercise, the seller of the financial instrument does not deliver the actual physical underlying asset but instead transfers the associated cash position. For sellers who do not wish to take actual possession of the underlying cash commodity, cash settlement is a more convenient method of transacting futures and options contracts. Cash settlement is also preferred by financial investors who bring additional liquidity reducing the bid-offer spread, and thus lowering the cost of trading.
And what about the physical delivered contract? What will happen to that now?
The LME recognises the ongoing market support for its physically-settled cobalt contract which has seen a steady uptake in recent months, with an increase in both trading volumes and stocks, and as such it will continue to offer a physically-settled option alongside the new cash-settled LME Cobalt (Fastmarkets MB) contract.
Physical settlement enables short position holders to deliver warrants – a warehouse warrant for the storage of metal, issued by a LME-listed warehouse and in a form approved by the Exchange – against their positions, whilst long position holders will receive warrants, and ultimately, take physical delivery of the metal or close out their position.
Physical settlement is preferred by a number of market participants such as cobalt producers who prefer the option of physical delivery, and the steady growth of the battery metals market in recent years has opened up the cobalt market to a number of new market participants wanting to gain exposure to the cobalt price and have the tools available to manage their price risk. In recent months we have heard of a number of cobalt producers who are interested in listing their brands on the LME and as part of our ongoing commitment to lowering barriers to market entry and serving the physical market, the LME has recently waived all brand listing fees for cobalt producers wanting to enter the market and list their brands on the LME. This waiver will last for 6 months, until October 2019, and any producers interested in listing on the LME should reach out to the team who will be happy to discuss this in more detail.
Who is the new cash-settled contract for?
Over the past few years, we have seen extreme volatility in the cobalt market which has a knock-on effect on the entire value chain, causing operational concerns – increasing financing costs, increasing counterparty risk and, ultimately, increasing the price of goods for consumers.
Furthermore, the significant growth in EVs in recent years has bought new players to the metals market, with considerable capital to invest in this space. Up until now, these new market participants have struggled to manage their exposure to the cobalt price, especially along the forward curve, as they have not had the tools available to them. The new cash-settled LME Cobalt (Fastmarkets MB) contract provides exposure to the Fastmarkets MB Cobalt Standard Grade price, helping market participants to manage risk along the entire cobalt value chain. A few examples of market participants who can benefit from these hedging tools include:
- Miners, traders and hydroxide producers, as well as traditional consumers like the super alloy industry, whose procurement contracts are linked to the Fastmarkets MB Cobalt Standard Grade index
- Cobalt sulphate producers and consumers whose procurement contracts are linked to the Fastmarkets MB Standard Grade price, including the EVs and Lithium-ION batteries industry
As liquidity grows, we expect a number of financial participants including funds and money managers to take an interest in the contract.
The LME Cobalt (Fastmarkets MB) contract will be available to trade 24 hours a day across the LME’s telephone market and from 01:00-19:00 London time on LMEselect, the LME’s electronic market.
What liquidity can we expect?
Building liquidity is always the biggest challenge for new exchange-traded products generally, and especially for small markets like cobalt, but we expect liquidity to grow progressively as our members deploy the infrastructure upgrades that allow them to access this market.
As observed in similar markets, we expect to see the majority of initial liquidity on the telephone market. However, over time we hope to see an increase in the amount of physical players benefiting from the contract and contributing towards an increase in on-screen liquidity and deep order book – providing the transparency and exposure that market participants require.
We have also introduced a new membership category of Registered Intermediating Brokers (RIBs). These are brokers who facilitate trades between two parties – either LME members or clients – helping to grow liquidity in smaller niche markets such as the cobalt market. We have seen in the past how RIBs have greatly supported the initial liquidity in other new markets such as LME Steel Scrap and LME Steel Rebar, playing an integral role in helping these markets to grow.
For more information about the LME’s cobalt offering, please contact one of the team at product.development@lme.com
I welcome shareholders to get in touch with any comments.
Anthony Milewski,
Chairman and CEO
Cobalt 27 Capital Corp.
About Cobalt 27 Capital Corp.
Cobalt 27 Capital Corp. is a leading battery metals streaming company offering exposure to metals integral to key technologies of the electric vehicle and energy storage markets. The Company owns physical cobalt and a 32.6% Cobalt Stream on Vale’s world-class Voisey’s Bay mine, beginning in 2021. Cobalt 27 is undertaking a friendly acquisition of Highlands Pacific which is expected to add increased attributable nickel and cobalt production from the long-life, world-class Ramu Mine. The Company also manages a portfolio of 11 royalties and intends to continue to invest in a cobalt and nickel focused portfolio of streams, royalties and direct interests in mineral properties containing battery metals.
For further information please visit the Company website at www.cobalt27.com
Forward-Looking Information: This interview may contain certain information which constitutes ‘forward-looking statements’ and ‘forward-looking information’ within the meaning of applicable Canadian securities laws. Forward-looking statements address future events and conditions which involve inherent risks and uncertainties. Actual results could differ materially from those expressed or implied by them. Examples of forward looking information and assumptions include future estimates of the worldwide supply and demand for cobalt and other metals and the effect that these changes could have on the short term and long term price of cobalt and other metals on the world markets, statements regarding the future operating or financial performance of Cobalt 27 including the net present value, metal recoveries, capital costs, operating costs, production, rates of return and payback. Forward looking statements involve known and unknown risks and uncertainties which may not prove to be accurate. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Among those factors which could cause actual results to differ materially are the following: market conditions and other risk factors listed from time to time in Cobalt 27 Capital Corp.’s reports filed with Canadian securities regulators on SEDAR at www.sedar.com.
In some cases, forward-looking statements can be identified by terminology such as “may”, “will”, “should”, “expect”, “projects”, “plans”, “anticipates” and similar expressions. These statements represent management’s expectations or beliefs concerning, among other things, future operations and various components thereof affecting the economic performance of Cobalt 27. Undue reliance should not be placed on these forward-looking statements which are based upon management’s assumptions and are subject to known and unknown risks and uncertainties, including the business risks discussed above, which may cause actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. Accordingly, readers are cautioned that events or circumstances could cause results to differ materially from those predicted.
Links: Some of the posted entries on in this interview may include links to 3rd party websites. Cobalt 27 has not reviewed all websites linked to or from this Site and is not responsible for the contents of any such websites. The inclusion of any link does not imply endorsement by Cobalt 27 of the linked website or its content. Use of any such linked website is at the user’s own risk.
SOURCE: Junior Mining Network
View source version on finance.yahoo.com: https://finance.yahoo.com/news/lmes-cobalt-contract-history-cobalt-130000903.html
April 10, 2019
Vancouver, B.C., Granite Creek Copper Ltd. (TSX.V: GCX) (“Granite Creek” or the “Company”) announces that the Company’s common shares have commenced trading on the Frankfurt Stock Exchange under the symbol “A2PFE0”. The Company’s common shares continue to be listed on the TSX Venture Exchange under the symbol “GCX”.
President & CEO, Tim Johnson, stated, “With the Frankfurt exchange being amongst the world’s largest by market capitalization, this listing will significantly expand our shareholder base and access to international capital. The Company continues to pursue a number of initiatives with respect to the Stu Project and we are looking forward to providing additional updates over the coming weeks as we approach the start of the 2019 field exploration season.”
About Granite Creek Copper
Granite Creek is a Canadian exploration company focused on the 100%-owned Stu Copper-Gold project located in the Yukon’s Carmacks Copper District which covers 111 square kilometres adjacent to Capstone Mining’s high-grade Minto Cu-Au-Ag Mine and Copper North’s advance stage Carmacks Cu-Au-Ag project. More information about the company and the Stu Copper project can be viewed on the Company’s website at www.gcxcopper.com.
About the Metallic Group of Companies
The Metallic Group is a collaboration of leading precious and base metals exploration companies focused on high-potential, brownfields exploration assets adjacent to high-grade operating mines in proven in North American districts with excellent infrastructure. Focusing exploration in these proven brownfields districts increases the probability of new discoveries and allows for rapid advancement of resources to create value.
Member companies have highly experienced management and technical teams with track records of successful discovery and project development, including capital markets and financing expertise. Metallic Group professional backgrounds include former leadership positions with Barrick Gold, Goldfields, Stillwater Mining and leading explorer/developers NovaGold, Trilogy Metals and Wellgreen Platinum. Company leaders have been credited with the discovery, or expansion and advancement, of several major deposits in North America, and have significant ownership positions in the companies.
The Group and its members are headquartered in Vancouver, BC, Canada, with company stocks currently listed on the TSX Venture, US OTC, and Frankfurt stock exchanges.
FOR FURTHER INFORMATION PLEASE CONTACT:
Timothy Johnson, President
Telephone: 1 (604) 235-1982
Toll Free: 1 (888) 361-3494
E-mail: info@gcxcopper.com
Website: www.gcxcopper.com
Metallic Group: www.metallicgroup.ca
April 9, 2019 – Vancouver, British Columbia, Canada – Great Bear Resources (the “Company” or “Great Bear”) is pleased to announce that the Company’s exploration team have been awarded the 2018 “Bernie Schnieders Discovery of the Year Award” for the discovery of high-grade gold zones at its 100% owned Dixie Property in Red Lake, Ontario, Canada.
The award, presented by the Northwestern Ontario Prospectors Association (NWOPA), recognizes an exceptional discovery in Northwestern Ontario during the previous calendar year. It was presented on April 2 to Great Bear Resources at the annual awards banquet hosted during the 2019 Ontario Prospectors Exploration Showcase in Thunder Bay, Ontario (http://www.nwopa.net/2019-exploration-showcase.html).
Chris Taylor, President and CEO of Great Bear said, “We would like to sincerely thank the NWOPA for receiving this honour, and look forward to expanding on our exciting discoveries at the Dixie property through 2019 and 2020. We have been fortunate to receive strong industry support for our exploration work over recent years, including an exploration grant during 2017/2018 in the amount of $100,000, as part of the Ontario Prospector Association’s Junior Exploration Assistance Program (“JEAP”), which partially funded our discovery drill program.”
About Great Bear
The Dixie property is located approximately 15 minutes’ drive along Highway 105 from downtown Red Lake, Ontario. The Red Lake mining district has produced over 30,000,000 ounces of gold and is one of the premier mining districts in Canada, benefitting from major active mining operations including the Red Lake Gold Mine of Goldcorp Inc., plus modern infrastructure and a skilled workforce. The Dixie property covers a drill and geophysically defined 10-kilometre gold mineralized structure similar to that hosting other producing gold mines in the district. In addition, Great Bear is also earning a 100% royalty-free interest in its West Madsen properties which total 3,860 hectares and are contiguous with Pure Gold Mining Inc.’s Madsen property. All of Great Bear’s Red Lake projects are accessible year-round through existing roads.
Mr. R. Bob Singh, P.Geo, Director and VP Exploration, and Ms. Andrea Diakow P.Geo, Exploration Manager for Great Bear are the Qualified Persons as defined by National Instrument 43-101 responsible for the accuracy of technical information contained in this news release.
For further information please contact Mr. Chris Taylor, P.Geo, President and CEO at 604-646-8354, or Mr. Knox Henderson, Investor Relations, at 604-551-2360.
ON BEHALF OF THE BOARD
“Chris Taylor”
Chris Taylor, President and CEO
Gowest Announces $8 Million Investment By Fortune Future Holdings Limited
April 9, 2019, 7:45 am
TORONTO, ONTARIO – (April 9, 2019) Gowest Gold Ltd. (“Gowest” or the “Corporation”) (TSX VENTURE: GWA) announced today that Fortune Future Holdings Limited (“Fortune”) has agreed to purchase, on a non-brokered private placement basis, common shares of the Corporation for aggregate gross proceeds of $8,000,000 (the “Private Placement”).
The Private Placement is subject to the completion of a consolidation of the outstanding common shares of the Corporation (the “Consolidation”), on a one (1) for ten (10) basis, prior to the closing of the Private Placement. Pursuant to the proposed Consolidation, holders of common shares of the Corporation will receive one (1) post-Consolidation common share in exchange for every ten (10) pre-Consolidation common shares outstanding immediately prior to the Consolidation. The Consolidation will affect all holders of common shares uniformly and will not affect any shareholder’s percentage ownership interest in the Corporation.
The common shares to be issued to Fortune pursuant the Private Placement will be issued at a price of $0.45 per share on a post-Consolidation basis (being equal to $0.045 per share on a pre-Consolidation basis).
Details of the Private Placement
In connection with the Private Placement, the Corporation has received, and accepted, an irrevocable subscription from Fortune for the full amount of the Private Placement.
Pursuant to the Private Placement, the Corporation will issue to Fortune an aggregate of 17,777,777 common shares at a price of $0.45 per share on a post-Consolidation basis (being equal to 177,777,777 common shares at a price of $0.045 per share on a pre-Consolidation basis). On April 8, 2019, the closing price of the common shares of the Corporation on the TSX Venture Exchange (“TSX-V”) was $0.0375. During the prior month, the common shares of the Corporation traded on the TSX-V between $0.03 (low) and $0.04 (high).
Fortune is an investment company based in Chifeng City, Inner Mongolia, China, focused on investment in companies engaged in the exploration for, and the mining and sale of, mineral resources. In addition to its primary office in Chifeng City, Fortune has branches in Hong Kong and Beijing and is involved with various mining projects throughout China, Mongolia, Nigeria and Algeria. Fortune is incorporated under the laws of the British Virgin Islands.
Fortune made its initial investment in the Corporation in June 2014 and currently holds ownership of greater than 10% of the outstanding common shares of the Corporation. As of the date hereof, Fortune holds 85,000,000 common shares of the Corporation representing approximately 19.8% of the outstanding common shares of the Corporation. Fortune was previously a “control person” of the Corporation. Assuming the completion of the Private Placement, and no further issuances of common shares by the Corporation prior to the closing date, Fortune would hold 26,277,777 common shares on a post-Consolidation basis (being equal to 262,777,777 common shares on a pre-Consolidation basis), representing approximately 43.3% of the outstanding common shares of the Corporation.
Pursuant to the terms of the Private Placement, closing is to occur following the receipt of requisite shareholder approvals for the Private Placement and the implementation of the Consolidation (as described in greater detail below). There are no material conditions to the closing of the Private Placement, other than: (i) the receipt of required shareholder approvals (for the Private Placement and Consolidation); (ii) the receipt of required regulatory approvals, including the approval of the TSX-V; (iii) the requirement that there be no material adverse change with respect to the Corporation prior to the closing of the Private Placement; and (iv) the requirement that the representations and warranties of the parties given in the subscription agreement in respect of the Private Placement be true and correct, in all material respects, as of the closing date of the Private Placement.
Assuming the completion of the Private Placement, Fortune will have the right to appoint, and to have nominated by the Corporation for election at each annual meeting of shareholders, that number of directors or the Corporation as will represent a majority of the board of directors (the “Board”), so long as Fortune holds greater than 30% of the outstanding common shares of the Corporation. Pursuant to the terms of its initial investment in the Corporation, Fortune held a contractual right to appoint two directors to the Board.
The approval of the Private Placement follows an exhaustive search and evaluation of potential sources of capital undertaken by management and the Board over the past number of months. The terms and conditions presented to the Corporation by Fortune pursuant to the Private Placement have been determined by the Board to be reasonable in the circumstances of the Corporation; in particular having regard to the current challenging financial and operational circumstances affecting the Corporation and the difficult market conditions affecting junior mining issuers generally. No alternative commercially reasonable financing options of the magnitude of the Private Placement were identified the Corporation. In the opinion of management and the Board, the Private Placement represents the best financing option available to the Corporation at this time.
After consideration of all relevant circumstances, the Board (with the representatives of Fortune abstaining) has approved the Private Placement and has determined that the Private Placement is in the best interests of the Corporation.
Among other factors considered by the Board in approving the Private Placement: (i) the issue price of the common shares represents a premium to the recent trading price of the common shares on the TSX-V; (ii) the Private Placement presents lower-execution risk given Fortune’s familiarity with the Corporation and its operations and no further due diligence is required to be conducted by Fortune; (iii) the investment by Fortune may assist the Corporation in its efforts to raise additional funds, including by way of additional “flow-through” investment in the Corporation; (iv) shareholders will continue to participate in any future appreciation in the value of the common shares of the Corporation; and (v) the significant investment by Fortune confirms its long-term commitment to the Corporation and to bringing its 100% Bradshaw Gold Deposit (“Bradshaw”) into commercial production
The proceeds of the Private Placement will be used by the Corporation for the continued development of Bradshaw. The proceeds of the Private Placement alone will not be sufficient to bring Bradshaw into commercial production. The Corporation is continuing to pursue additional financing opportunities to cover this anticipated funding shortfall and also to advance, in parallel, exploration opportunities both at and near Bradshaw.
All of the securities issuable in connection with the Offering will be subject to a hold period expiring four months and one day after date of issuance.
The securities offered have not been 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 registration requirements. This release does not constitute an offer for sale of securities in the United States.
Completion of the Private Placement remains subject to receipt of the approval of the TSX-V.
Minority Approval of Private Placement
By virtue of the fact that Fortune holds ownership of greater than 10% of the outstanding common shares of the Corporation and therefore is a “related party” of the Corporation pursuant to Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”), the Private Placement will constitute a “related party transaction” of the Corporation under MI 61-101. As such, the Private Placement is subject to the minority approval requirements of MI 61-101 and will require the approval of shareholders of the Corporation, excluding Fortune (and any related parties of Fortune), prior to the closing of the Private Placement. As the Corporation is listed only on the TSX-V, the Private Placement is exempt from the valuation requirements of MI 61-101 by virtue of the exemption contained in Section 5.5(b) of MI 61-101.
Further, given that Fortune will hold greater than 20% of the outstanding common shares of the Corporation following the completion of the Private Placement, the Private Placement is subject to the approval of shareholders of the Corporation, excluding Fortune (and any related parties of Fortune), pursuant to the Corporation’s shareholder rights plan (the “Rights Plan”). The terms of the Rights Plan are set out in the Amended and Restated Shareholder Rights Plan Agreement, dated as of May 5, 2017, between the Corporation and TSX Trust Company, as rights agent. Specifically, the Private Placement is subject to the shareholders of the Corporation, excluding Fortune (and any related parties of Fortune), approving the Private Placement as a “Shareholder Approved Financing” in accordance with the Rights Plan.
The Corporation intends to call a special meeting of shareholders of the Corporation (the “Meeting”) as soon as possible for the purpose of obtaining the requisite shareholder approvals for the completion of the Private Placement. The Board recommends that shareholders vote in favour of the Private Placement.
Further information regarding the Private Placement will be contained in the management information circular to be prepared in respect of the Meeting. The management information circular will be filed under the Corporation’s profile on SEDAR (www.sedar.com) at the time that it is mailed to shareholders. All shareholders are urged to read the management information circular once it becomes available, as it will contain additional important information concerning the Private Placement.
The parties expect that the Private Placement will be completed shortly after the Meeting, subject to satisfaction of all conditions precedent to the closing of the Private Placement.
Consolidation
As indicated above, the completion of the Consolidation is a condition precedent to the closing the Private Placement. The completion of the Private Placement, among other purposes, will allow the Corporation to comply with the policies of the TSX-V, which generally prohibit the issuance of shares at a price of less than $0.05 per share.
If approved and implemented, the Consolidation will occur simultaneously for all of the Corporation’s issued and outstanding common shares and will occur prior to the completion of the Private Placement. The Consolidation will affect all holders of Common Shares uniformly and will not affect any shareholder’s percentage ownership interest in the Corporation. As the Corporation currently has an unlimited number of common shares authorized for issuance, the Consolidation will not have any effect on the number of common shares that remain available for future issuance. If the Consolidation is implemented, the exercise price and number of common shares issuable under outstanding incentive stock options and common share purchase warrants issued by the Corporation will be proportionately adjusted.
The Corporation intends to seek approval of shareholders for the Consolidation at the Meeting. The Consolidation will require the approval of not less than two-thirds (2/3) of the votes cast by the holders of common shares present in person or represented by proxy at the Meeting. The Board recommends that shareholders vote in favour of the Consolidation.
About Gowest
Gowest is a Canadian gold exploration and development company focused on the delineation and development of its 100% owned Bradshaw Gold Deposit (Bradshaw), on the Frankfield Property, part of the Corporation’s North Timmins Gold Project (NTGP). Gowest is exploring additional gold targets on its +100‐square‐kilometre NTGP land package and continues to evaluate the area, which is part of the prolific Timmins, Ontario gold camp. Currently, Bradshaw contains a National Instrument 43‐101 Indicated Resource estimated at 2.1 million tonnes (“t”) grading 6.19 grams per tonne gold (g/t Au) containing 422 thousand ounces (oz) Au and an Inferred Resource of 3.6 million t grading 6.47 g/t Au containing 755 thousand oz Au. Further, based on the Pre‐Feasibility Study produced by Stantec Mining and announced on June 9, 2015, Bradshaw contains Mineral Reserves (Mineral Resources are inclusive of Mineral Reserves) in the probable category, using a 3 g/t Au cut‐off and utilizing a gold price of US$1,200 / oz, totaling 1.8 million t grading 4.82 g/t Au for 277 thousand oz Au.
Forward-Looking Statements
Certain statements in this release constitute forward-looking statements within the meaning of applicable securities laws. Forward-looking statements in this press release include, without limitation, statements relating to: the Private Placement; the proposed use of proceeds of the Private Placement; the ability of the parties, in particular the Corporation, to satisfy the conditions precedent to the closing of the Private Placement; the mailing of the management information circular in connection with the Meeting and anticipated timing thereof; and the anticipated timing of the completion of the Private Placement. Words such as “may”, “would”, “could”, “should”, “will”, “anticipate”, “believe”, “plan”, “expect”, “intend”, “potential” and similar expressions may be used to identify these forward-looking statements although not all forward-looking statements contain such words.
Forward-looking statements involve significant risks, uncertainties and assumptions. Many factors could cause actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements, including risks associated with the Private Placement and financing transactions generally, such as the failure to satisfy the closing conditions contained in the subscription agreement, the absence of material adverse changes or other events which may give Fortune the basis on which to terminate the subscription agreement, and the ability of the the Corporation to complete and mail the information circular in respect of the Meeting and hold the Meeting within the time frames indicated. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results, performance or achievements may vary materially from those expressed or implied by this press release. These factors should be considered carefully and reader should not place undue reliance on the forward-looking statements. These forward-looking statements are made as of the date of this press release and, other than as required by law, the Corporation does not intend to or assume any obligation to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
For further information please contact:
Greg Romain – President & CEO – Tel: (416) 363-1210 – Email: info@gowestgold.com
Greg Taylor – Investor Relations – Tel: 416 605-5120 – Email: gregt@gowestgold.com
Gowest Gold Closes Private Placement – Provides Corporate Update
March 25, 2019, 4:37 pm
TORONTO, ONTARIO – (March 25, 2019) Gowest Gold Ltd. (“Gowest” or the “Company”) (TSX VENTURE: GWA) announced today that it has issued, on a non-brokered private placement basis, 40,000,000 common shares of the Company, at a price of $0.05 per common share, for aggregate gross proceeds of $2,000,000 (the “Private Placement”) pursuant to the closing of its previously announced private placement (the “Private Placement”).
All of the securities issuable in connection with the Private Placement are subject to a hold period expiring four months and one day after date of issuance. The proceeds of the Private Placement will be used by the Company for the continued development of its 100% owned Bradshaw Gold Deposit (“Bradshaw”) located in the Timmins Gold Camp.
The securities offered have not been 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 registration requirements. This release does not constitute an offer for sale of securities in the United States.
The Company would also like to advise that it is working towards a significant investment that would allow the Company to complete the Bulk Sample Program and see Bradshaw continue to advance towards commercial production. The Company will provide a further update and details concerning this potential investment in the coming days.
The funds raised from the current Private Placement will be used to help ensure the Bradshaw site will be ready for restart, to continue ongoing work at QMX Gold Corporation’s Aurbel Mill in Val d’Or, Quebec, where material from Bradshaw is to be processed (see Gowest news release dated October 30, 2018), all while the Company is working to raise additional funds.
As previously announced, (see news release dated April 16, 2018), due to financial challenges, uncertainty of the timing surrounding the processing of the Bulk Sample and the fact that there is no further capacity at the mine site to store any further underground mined material, the Company suspended mining operations at the site. During this period, the Company has worked to tightly manage its limited cash resources, while positioning the Company to be able to re-start the development of the mine when conditions warrant.
About Gowest
Gowest is a Canadian gold exploration and development company focused on the delineation and development of its 100% owned Bradshaw Gold Deposit (Bradshaw), on the Frankfield Property, part of the Company’s North Timmins Gold Project (NTGP). Gowest is exploring additional gold targets on its +100‐square‐kilometre NTGP land package and continues to evaluate the area, which is part of the prolific Timmins, Ontario gold camp. Currently, Bradshaw contains a National Instrument 43‐101 Indicated Resource estimated at 2.1 million tonnes (“t”) grading 6.19 grams per tonne gold (g/t Au) containing 422 thousand ounces (oz) Au and an Inferred Resource of 3.6 million t grading 6.47 g/t Au containing 755 thousand oz Au. Further, based on the Pre‐Feasibility Study produced by Stantec Mining and announced on June 9, 2015, Bradshaw contains Mineral Reserves (Mineral Resources are inclusive of Mineral Reserves) in the probable category, using a 3 g/t Au cut‐off and utilizing a gold price of US$1,200 / oz, totaling 1.8 million t grading 4.82 g/t Au for 277 thousand oz Au.
Forward-Looking Statements
This news release may contain certain “forward looking statements.” Forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Any forward-looking statement speaks only as of the date of this news release and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
Bob Moriarty
Apr 8, 2019
I need to read all the pieces I can about resource companies to keep an accurate feel on who is succeeding and who is failing. I’m a speed-reader and that helps but I go through 150 emails a day and read many dozen articles that interest me. What amazes me when reading what others write about various companies and metals is how infrequently I hear discussions about supply and demand.
If you believe the investment world of resource stocks revolves around manipulation and conspiracies, to believe those are important, you also have to believe that supply and demand don’t really matter. You can believe in one or the other but you can’t believe in both at the same time.
I never predict the future price of any commodity. I have no idea of what gold could go to or the S&P or zinc or any other investment. I’m not that smart. I know there are lots of people who do believe they can predict price but my experience is that they are more likely to be feeding people’s fantasies. But it’s not all that hard to figure out when a commodity is cheap. Since my mantra consists of buying cheap and selling dear, I find that a valuable resource.
When I find a compelling article supporting the necessary issues of either supply decreasing or demand increasing, thus increasing price, I pay attention. So when I read about there being a ten-day supply of copper in warehouses, I pay attention. The article gave the great example of the mining disaster for iron in Brazil causing a 5% decline in supply and led to a 30% increase in price.
I’m not smart enough to predict the price of copper in the future. But with only a ten-day supply on hand, the price has great potential to go higher very quickly. Nickel is also in short supply but nickel stocks show a 76-day supply compared to the 10-day supply of copper.
If you believe a decrease in supply or an increase in demand is going to move the price of a metal higher, you need to find the most leveraged company you can find. Right now, the price of copper according to Kitco is $2.91 a pound. If you were given a choice of buying a company with an all in cost of $1.50 a pound or one that has an all in cost of $2.90 a pound, which should you buy?
If you think that copper is expensive you should buy the company with the $1.50 cost because the price of copper could drop by $1.40 and you still could make money while the company with the $2.90 company might be thinking about closing the doors.
But if you think as I do that right now copper is cheap, you want the far more highly leveraged producer with the $2.90 cost basis. Should copper go up 30% as is certainly possible in short order, the profit goes from one red cent per pound to $.87 a pound or over eighty times higher.
There is a company in Nevada with an IOCG (Iron Oxide Copper and Gold) project that will be in production in Q4 of this year. According to the company’s latest 43-101 resource estimate the deposit has over 7 billion pounds of copper, a million ounces of gold, 35 million ounces of silver and is at that phase of the investment cycle that the price of the shares should continue to advance.
With a $200 million USD market cap, the ounces of gold in their resource base would support a valuation of $200 an ounce. That’s pretty reasonable. If you thought that silver in the ground in Nevada was worth $6 an ounce that is a little high, it too would support the market cap all by itself. But if you ignore the $200 million worth of gold and sorta $200 million worth of silver, you are buying copper for under $.03 a pound. Each share of the company has over ten pounds of copper behind it.
The company is Nevada Copper. It made it through the tough part of the investment cycle barely but will gain more in real terms than any copper company I can think of in an increasing price of copper. They have a long-term debt of $80 million USD and cash on hand of $108 million USD as of the end of 2018.
I visited the project years ago. It’s a great project. Market conditions required a change of management but all copper companies got whacked, not just Nevada Copper. Current management is more than qualified to take the company into production with the assets they have on hand. The price of shares is down by 94% from the high in 2011 but that makes the price cheap. With an increase in the price of copper, the company could go back to where it was.
I wish the company would do a roll back and get the number of shares down to a reasonable number but I bitch to everyone about their shares count. By and large they ignore me but I think it would help give them the credibility they deserve.
Nevada Copper is an advertiser and I own shares bought in the open market. Do your own due diligence.
Nevada Copper
NCU-T $.40 (Apr 05, 2019)
NEVDF-OTC 662 million shares
Nevada Copper website
In conversation with Maurice Jackson of Proven & Probable, the executive chairman for this Canada-based company provides updates on operations and acquisition of permits for its flagship project.
For those who follow College Basketball, the next few weeks are some of the most enjoyable and exciting months on the sports calendar. For those new to sports or living under a rock, March Madness brings together 64 College teams in a single elimination tournament . The brackets get tighter with each round 64 / 32/ 16/ 8/ 4/ and finally, a duke out between the two last remaining teams. As the brackets dwindle down the contests have sub names ” The Sweet 16 “ / ” the Elite Eight ” / ” the Final Four ” and the ” Championship Game “.
The games are usually very exciting, often coming down to the last possession and consequently, there are usually quite a few upsets on the Road to the Final Four. In this spirit, I have decided to make my own March Madness Tournament involving my favorite Junior Mining Stocks.
I compiled a list of my favorite Junior Resource Stocks in an article entitled The 12 Days of Christmas.
This list was comprised of 12 stocks that I have been following closely and I own shares in. The list has been pared down to The Elite Eight for the brackets to work out. I am using the share price of the companies on 12-24-18 when the article was published as a benchmark. I am attempting to put companies with similar share prices paired against one another. After each round the companies that have the highest % gain will move on to the next round. Simple enough now without any further ado… Let’s meet the Elite Eight.
Bracket 1) MUX vs. IRV
McEwen Mining – this undervalued producer striving to get a listing on the S&P is really at the mercy of the price of Gold. Its CEO draws a dollar a year salary so he is truly at the mercy of the stock’s performance. If shareholders win, he wins. What a novel concept !!! It was recommended on 12-24-2018 @ $1.79/ MUX
Irving Resources– this tightly held sleeper is headed up by Quinton Hennigh ,which almost guarantees big things. Permitting is now in place and this one-time huge producing mine in Japan is drill ready and ready to rock. “Q“ knows how to position the Truth Meter to confess up the Truth and nothing but the Truth. Price when recommended $1.80/IRV
Bracket 1) WINNER- IRV $1.80 ( Irving Resources) up 33 cents to $2.13 = 18% Gain
MUX $1.79( McEwen Mining) down 15 cents to $1.64 = Minus 9%
McEwen has hit a rough patch lately, mining delays and setbacks along with tepid Gold price has not helped. I still believe and hold shares in this company and feel in due time it will perform admirably. You can’t keep its leader Rob McEwen down for long.
Irving Resources is on a roll, drilling has commenced and Quentin knows how to position the truth meter. IRV moves to Final Four with plenty of momentum. Having a dominate big man in the lane “Q” makes this company a formidable foe.
Bracket 2) JCO vs. FVAN
Jericho Oil – with steadily rising OIL prices… up over 30% in two months and located in the very friendly Oil state of Oklahoma, in the prolific STACK region. It boasts as its neighbors some mighty titans of the Oil industry. It is only a matter of time before this gets legs and gains well deserved attention. JCO/ 43 cents
First Vanadium – with a recently released updated Resource Estimate with staggering numbers, this tightly held stock needs to be revisited. The company just added 1.5 Billion pounds of Vanadium which is currently going for close to $18 a pound. You do the math. Your head will spin !!! FVAN /77 cents
Bracket 2) WINNER- JCO 43 Cents (Jericho Oil ) down 1 cent to 42 Cents = Minus 2%
FVAN 77 Cents (First Vanadium) down 23 Cents to 54 Cents = Minus 31%
First Vanadium was up to $1.07 in early March after a very successful PDAC showing but has dropped big time due to softening Vanadium prices. This stock is not for the faint of heart but I believe ultimately it will be a great company to own.
Jericho Oil limps into the Final Four still waiting to catch a bid with Oil prices still creeping up. Led by point guard, IR Director, Adam Rabiner it is just a matter of time, Spring will start fresh news flow and Adam works his solid connections and network.
Bracket 3) SIR vs. ANX
Serengeti Resources – a recently released Pre-Feasibility Study revealed an impressive overall increase in contained metal from the 2016 Indicated Resource estimate. Highlights included increases of 44% for copper, 32% for gold, and 52% for silver in the M+I categories. This stock was hammered mysteriously on these fantastic results. Somebody wants this stock on the cheap and for good reason. Ricks’ Café continues to live on in the Junior sector!!! SIR/17 cents
Anaconda Resources– this stock was once the darling of PDAC in 2018. My how much a year has changed. ANX keeps putting out great news… to crickets. Perhaps new blood at the top would pump new life into this sleeper and get it back on track. There is much buzz about M&A and COB, Jonathan Fitzgerald is a cagey deal maker who makes great things happen. ANX/ 22 cents
Bracket 3) WINNER – ANX -22 Cents (Anaconda Mining) up 10 cents to 32 Cents = 45% Gain
SIR-17 Cents (Serengeti Resources) up 7 cents to 24 Cents = 41% gain
Serengeti continues to perplex it has had great drill results and very favorable PFS but just can’t gain traction. The Metallurgic Study from Kwanika is due any day perhaps that will get this undervalued junior some love. This stock remains a mystery.
Anaconda Mining has been preforming on steroids as of late. Volume has increased considerably and me thinks something very good is coming. ANX vaults into the Final Four with plenty of wind at its back and fresh legs. They have a strong bench led by COB, Jonathan Fitzgerald.
Bracket 4) AZS vs. PRG
Arizona Silver Exploration – continues to amaze. It is slowly coming back to life and I believe still has plenty of upside. Sharp management who put their money where their mouth is. Share structure is super tight as they know how and when to finance without warrants. They have added 2 new highly prospective properties which are drill ready awaiting final permitting. This company is a blueprint for success and how to run a Junior Miner. AZS/ 8 cents
Precipitate Gold – this is run by a very sharp, intelligent, savvy CEO, Jeff Wilson. They have smartly acquired a property in the Dominican Republic which butts up next to Barrick’s Pueblo Viejo Mine. This acquisition and resulting drill results could make Jeff Wilson a legend. It seems the new government in the DR is much easier to work with than the previous scoundrels. Having savant Quinton Hennigh on the board certainly adds to the allure. PRG/ 12 cents
Bracket 4) WINNER AZS- 8 Cents (Arizona Silver Exploration ) Up 6 cents to 13 cents) = % Gain
PRG- 12 Cents (Precipitate Gold) Even at 12 cents = 0 % Gain
Precipitate Gold has not started a drill program yet so that has diverted attention from this highly prospective undervalued Junior. Keep your eyes on this one, you will be surprised pleasantly to the upside, management is top notch along with the location of the property.
AZS moves to the Final Four although the stock has shown weakness as of late. It’s waiting to commence drilling on two new prime targets. Power Forward, Mike Stark crashes the boards and keeps the opposition at bay with his aggressive style.
A reminder we will check highest % gainers with my 12 Days of Christmas article and the price of each stock from the 12-24-18 benchmark to determine their performance in the tournament. I am a fan of all of these companies and hold positions in all and some in great quantity in my own portfolio. So there are no losers among these companies… only winners…but somebody will prove to be a worthy champion in a months’ time!!!
Bracket 5) IRV (Irving Resources) vs. JCO (Jericho Oil)
IRV – Closed this week at $1.79 ($1.80) so there was no negligible gain for the stock since 12-24-2018. The same holds true for JCO which had a small loss also during the tournament it closed today 41 cents vs 43 cents. Therefore, both companies will not advance to the Championship Game however I expect big things from both these stellar companies soon.
As stated from the beginning there are no losers in this tournament. Irving is drilling their first holes in their Japan high-grade Gold project. The company is cashed up and Quinton Hennigh runs the drill program. The share structure is tight and my moneys on “Q” to come thru.
Jericho (JCO) is my best Jr. Oil & Gas play by far. They own primo wells in the prolific STACK region in Central Oklahoma. The Oil price has been creeping up steadily and at $60 a barrel oil that is the sweet spot for JCO (Currently $63+). Management is rock solid and progressive.
Bracket 6) ANX (Anaconda Mining) vs. AZS (Arizona Silver Exploration)
Both companies have performed admirably hence they both deserve to be in the Championship Game. Anaconda (ANX) was 22 cents on 12-24-2018 and closed today at 33 cents a 50 % Gain. (ASZ ) Arizona) Silver Exploration was 8 cents and closed today at 15 cents an 88 % Gain.
Both companies have been on a roll since 2019 and have momentum in their corner. Since announcing the Big Man in the center Kevin Bullock as New CEO and another recent announcement of fantastic drill results, ANX will be a formidable opponent in the Finals. Head Coach, COB Jonathan Fitzgerald seems to always have an ACE up his sleeve at all times.
AZS is drill ready at their newest acquisition the Philadelphia Project and should commence any day now. With the two power forwards working well in tandem Mike Stark and Greg Hahn this should be an epic battle to who prevails in this tournament. Good Luck to both worthy teams.
IN FINAL ROUND WINNER WILL BE DETERMINED BY % GAIN FROM TODAY’S CLOSE
WINNER WILL BE CROWNED NEXT FRIDAY APRIL 12 AT MARKET CLOSE
VS
This article is for informational purposes only. It is certainly not investment advice. It is also not encouraging any gambling or betting in any way. Please consult Gamblers Anonymous if you feel the need to gamble on my tournament 🙂 Kevin Dougan (aka The Mick) runs a website Blue Sky Marketing which finds and promotes undervalued and out of favor companies with much upside and explosive potential growth. Many of these companies are clients and sponsors and I own shares in all of the companies mentioned in this article. Please sign up for my free newsletter on my website for new picks and updates!!!
Sign Up for Free Newsletter Here
Maurice Jackson of Proven and Probable sits down with Dr. John-Mark Staude the President and CEO of Riverside Resources (TSX.V RRI | OTC: RVSDF) to discuss the 5 C’s Copper, Cecilia, Cash, Canada,and Capital Structure.
Is This Patriotism? Is This How We Make America Great Again?
David’s Commentary (In Blue)
Backwoods Jack is back. A year ago Backwoods sold his mansion in the suburbs and moved into a bespoke apartment in an upscale neighborhood in south Minneapolis. His unit occupies the desirable southeast facing corner, up high, one floor beneath the penthouse. Ol’ Backwoods is used to “the best”. He is constantly reminding me that Trump will make America great again and he proudly sports his red MAGA Trump baseball hat in public. Personally, I think a baseball hat on an 84-year old looks inappropriate with or without a MAGA logo on the front. Recently I wrote that he is convinced that Trump will have his likeness sculpted on Mt. Rushmore. When he moved into his condo he mounted a LARGE American flag on a flag pole that he had installed on his balcony. All day and all night long it flaps in the wind. I mean its BIG and it makes a lot of noise. Now, his neighbors are irate because the flapping flag is making so much noise it keeps them up at night. There is a lot of wind when your balcony is on an upper floor, so it really is a problem. When they confront him on the elevator, and politely ask him to take it down, his replies are – well, let’s just say….I can’t print them. That’s a nice way to influence people and make friends.
Our true patriot, who has tunnel vision and will not tolerate any views different from his own, recently decided that HE HATES ALL LIBERALS. He says he and his wife will not be in the same room with them. He tells me this, knowing that my daughter and her two girls are all liberals. He’s really not very smart. He mocks all people of color and gays. Really, I am not making this up. His most recent email to me reads as follows:
“Creepy Joe and Pocahontas are dead. Sorry not to see Trump eat them alive in 2020. He will feast on Bernie and Beto. Regarding Klobuchar (he misspelled her name), we are not ready for a fat, dumpy, ugly Jewish female POTUS from St. Louis Park MN. (He got the Jewish part wrong too, but when you’re Backwoods Jack, details don’t matter).
Of course he is all-in on Trump’s border wall. No more immigrants! I wonder if he ever stops to think about the open borders that allowed his Swedish ancestors to move to Minnesota?
Backwoods’ idea of what a Great America is – well, it’s very different than mine. A MAGA red hat and a large American flag do not make one a patriot. I’ve known Backwoods for 17 years, but it is only in the last few years that he showed his true colors. If you want to see real patriotism in action, watch Lynyrd Skynyrd sing Red White and Blue. I hope you take the time to watch this video. Now this is real southern patriotism.
There are a lot of Backwoods Jacks out there. In their eyes, if you are not a conservative Republican WASP then you don’t count. This mindset sort of parallels Germany in the 1930s, where you better be a blond, blue-eyed Protestant Arian. Hitler wanted to make Germany great again too.
But this is only one side of the problem, albeit an extreme one. On the other side, the liberal side, you have the views of Alexandria Ocasio-Cortez and Maxine Waters. (There are many more, but they are the equivalent of Backwoods.) They want America to be the land of opportunity – but only for the poor and people of color. If you are white, rich and successful you are their target. Backwoods, you better keep your guns locked and loaded. By the way, he sits at the back row of his church on Sundays and has his loaded gun tucked into his belt just waiting for trouble. Really, he does. Fortunately these extremists are in the minority. A majority of Americans are more open minded. But the trouble is, all it takes is a well-organized and vocal minority to wrest control. In post-WW1 Germany, a small minority, the NSDAP (NAZIS) took over the government.
I talk about Backwoods because he really is just like your rather normal next-door neighbor. You never know how normal someone is until you start talking politics.
Politically speaking, half the people in America are liberal and half are conservative. Fortunately, not all the Liberals or Conservatives are this extreme (thank God). But the Backwoods and the likes of Alexandria Ocassio-Cortez’s of the world are gaining in numbers. Doesn’t it disturb you that people like AOC and Maxine Waters can get elected into office? What does that say about the people who vote them in? It says that they are fed up with the establishment and they want a bigger piece of the pie – the piece that is on YOUR dinner table.
This is all about the haves and the have-nots. If you happen to be one of the unfortunates living on the street, or someone who is barely getting by on minimum wage, it’s only natural that you will be envious of those who have found a way to succeed. If you are in the upper-middle class with a little money in the bank and a decent job you probably should feel threatened by those who want to raise taxes and take what’s yours. Backwoods Jack doesn’t feel threatened. He just likes to feel superior. The best way to deal with people is to find a way to lift their standard of living, to provide them with decent jobs that put food on their table and give them a sense of self-respect.
I would like to believe that a majority of Americans are decent people who are not prejudice and do care. If you haven’t seen the movie Same Kind Of Different As Me, then by all means, make it a point to see it.
A recent interview with former CFTC Commissioner Bart Chilton nearly knocked me off my feet because it confirmed what I have alleged, starting more than 12 years ago. I’ll include the interview later, but first I will set the background of the subject and timeline in order put Chilton’s words into the proper perspective. The subject is JPMorgan’s manipulation of the silver market. The timeline is important because Chilton does misstate some facts that need to be corrected. I’m not a big fan of articles that include lots of links to past articles, but in this case it’s unavoidable.
Shortly after Bart Chilton took office as a commissioner in August 2007, he began to make public speeches in which he asserted that the CFTC was no regulatory pushover, like Barney Fife on the “Andy Griffith Show” but more like Elliot Ness or James Bond and that the agency was a tough cop on the beat. I assumed Chilton was genuine in his faith in the agency, but since he was brand new to commodity regulation I was sure that he was unaware of my allegations to the agency over the prior 20 years about a silver manipulation due to a concentrated short position on the COMEX. So I wrote to him about his claims of regulatory toughness at the agency and encouraged others to do so as well.
To his credit, Commissioner Chilton, responded to my and others’ e-mails quickly, pointing out that CFTC staff were aware of the allegations and having responded in the past, they would do so again in the future.
I would ask you to note that my first contacts with Commissioner Chilton took place shortly after he assumed office in 2007 and the subject matter revolved around the concentrated short position in COMEX silver futures, an issue that has remained at the heart of the allegations of price manipulation to this day.
This absolute must read commentary by Ted, which confirms everything that Ted has said about JPMorgan and the CFTC…plus more
Theodore Butler
Confirmation, Outrage and Disgust
A recent interview with former CFTC Commissioner Bart Chilton nearly knocked me off my feet because it confirmed what I have alleged, starting more than 12 years ago. I’ll include the interview later, but first I will set the background of the subject and timeline in order put Chilton’s words into the proper perspective. The subject is JPMorgan’s manipulation of the silver market. The timeline is important because Chilton does misstate some facts that need to be corrected. I’m not a big fan of articles that include lots of links to past articles, but in this case it’s unavoidable.
Shortly after Bart Chilton took office as a commissioner in August 2007, he began to make public speeches in which he asserted that the CFTC was no regulatory pushover, like Barney Fife on the “Andy Griffith Show” but more like Elliot Ness or James Bond and that the agency was a tough cop on the beat. I assumed Chilton was genuine in his faith in the agency, but since he was brand new to commodity regulation I was sure that he was unaware of my allegations to the agency over the prior 20 years about a silver manipulation due to a concentrated short position on the COMEX. So I wrote to him about his claims of regulatory toughness at the agency and encouraged others to do so as well.
To his credit, Commissioner Chilton, responded to my and others’ emails quickly, pointing out that CFTC staff were aware of the allegations and having responded in the past, they would do so again in the future.
I would ask you to note that my first contacts with Commissioner Chilton took place shortly after he assumed office in 2007 and the subject matter revolved around the concentrated short position in COMEX silver futures, an issue that has remained at the heart of the allegations of price manipulation to this day.
Much to his credit, Chilton always endeavored to answer each and every email sent to him from the public (provided those emails weren’t personally insulting). In fact, I continued to email him personally and encouraged others to do so as well, in addition to sending him and the other commissioners all articles I wrote. I think it’s fair to say that close to 99% of the thousands of public emails sent to Chilton concerned the silver and gold price manipulation and there can be little doubt that all of those emails came directly or indirectly at my urging. What else could possible account for the high volume of public correspondence with an official of the CFTC?
Early in 2008, Commissioner Chilton indicated to me privately that the agency would be coming out with a new finding concerning the continued numerous public allegations of a silver price manipulation. This new finding would supersede the 15 page public letter of 2004. Perhaps I misinterpreted his message, but I came to believe that the new finding would be much different than the original finding. Instead, on May 13, 2008, the CFTC published another 16-page denial that anything was wrong with the concentrated short position in COMEX silver futures.
Feeling betrayed (something I don’t believe I revealed previously), I told Chilton in not-so-polite terms how I felt and ceased personal email contact with him (although I did continue to send my articles to him and all the other commissioners, since they concerned regulatory matters).
In March 2008, nearly two months before the CFTC’s 2nd public silver letter was published, the largest concentrated COMEX silver (and gold) short, Bear Stearns, failed and its short positions were assumed by JPMorgan. I certainly knew that Bear Stearns collapsed and was taken over by JPMorgan, but I had no idea at the time that Bear was the biggest single short in COMEX silver and gold or that JPMorgan assumed those short positions. I would only learn of this months later, after the August 2008 Bank Participation Report was issued and revealed for the very first time an enormous silver and gold short position held, as it turned out, by a single US bank. (The reason Bear Stearns had never appeared in the Bank Participation Report was because it was an investment, not a commercial bank like JPMorgan).
Importantly, as a result of this article and others, which encouraged readers to again petition the CFTC, the agency confirmed it had initiated a formal investigation by its Enforcement Division – I believe primarily due to Chilton’s initiative (although for some reason, Chilton claims in his interview that the investigation started in 2010, at the prodding by Andrew Maguire). Fortunately the record of the timeline is clear, although the original confirmation was buried in an overall press release on Oct 2, 2008 –
The termination of the investigation was more fully announced five years later –
Within months of the August 2008 Bank Participation report, I had deduced that JPMorgan was the big COMEX silver and gold short and began publicly referring to the bank as the big silver and gold crook and price manipulator (albeit with more trepidation initially than as time passed). Please know that all my deductions and allegations came from studying public data and official correspondence from the CFTC to lawmakers, as many readers wrote to their elected officials about what had transpired. I never talked with anyone at the CFTC about any of this – to them, I was always persona non grata.
But in the fall of 2008 when I came to figure out that JPMorgan had been running the silver and gold manipulation since March of that year, it also dawned on me that there could be no way that the CFTC wasn’t fully aware that Bear Stearns was in deep trouble with its COMEX silver and gold short positions before the JPM takeover, since prices of each rose substantially from yearend 2007 to the day in March when JPM took over the short positions. Bear Stearns would have needed to have come up with more than a billion dollars in cash for margin calls, money it simply didn’t have.
Since the CFTC would have had to have known of Bear’s plight and of JPMorgan taking over its silver and gold short positions, it also became obvious to me that the CFTC had lied through its teeth when it failed to mention in its public letter of May 2008 that the biggest concentrated silver and gold short seller failed and needed to be taken over by JPMorgan. After all, the subject of the public letter was concentration on the short side of silver, so there was no way the Bear Stearns’ failure could have been innocently overlooked. I said so in a subsequent public article, even writing to the CFTC’s Inspector General about it –
OK, that’s the background and timeline, so why am I walking you down memory lane today? It seems that Bart Chilton, whose tenure as a commissioner at the CFTC ended in early 2014, has chosen to speak out on the silver manipulation and his and the agency’s role at the time. This is the very first time that an insider has confirmed virtually everything I’ve alleged about JPMorgan. In fact, Chilton goes beyond just confirming what I’ve alleged, he paints a picture of deep concern behind the scenes, as the CFTC struggled to get JPMorgan’s silver short position reduced – to no avail. Here is the interview with Chris Marcus of Arcadia Economics –
Since the interview is about 42 minutes long, please allow me to highlight what I believe are the key points.
At the 3:30 minute mark, Chilton acknowledges that he first learned of the allegations of a silver manipulation from me, but then goes on to say he asked for an Enforcement Division investigation only after Andrew Maguire contacted him in 2010, which as I indicated is contrary to the verified record which indicated the investigation began in September 2008.
At the 11:40 minute mark and continuing to the 18:30 mark, it gets interesting. This is where Chilton acknowledges publicly for the first time that JPMorgan took over Bear Stearns’ silver short position and goes on to explain how the CFTC had to approve the resultant excessively large combined short position and did so on a temporary basis of no more than a few months and how JPMorgan didn’t abide by the CFTC’s waiver. He also points out how the head silver trader for Bear Stearns also went over to JPM and continue to trade the position there. Chilton states that he was shocked about how large the JPMorgan silver short position grew to and implies it was eventually worked down. Perhaps JPM’s silver short position was worked down temporarily as it rigged prices lower, but as regular readers know, JPM has continued to add shorts and buy back on lower prices to this day, a decade later.
At the 20:20 mark, Chilton acknowledges the agency had plenty of evidence of manipulation, but not enough to bring charges and asked for outside help in determining whether the evidence was enough to bring charges. Chilton claims he extended the investigation for another year and believed there was enough evidence to bring charges. It should be noted, even though I caused the investigation to be initiated in the first place, I was never contacted.
At the 36:40 mark, Chilton acknowledges for the first time that the Justice Department was involved in the five year silver investigation but dropped interest after the CFTC closed its investigation. He suggests the DOJ is understaffed. Also mentioned is that Chilton had perhaps a hundred separate meetings on the silver investigation back then, in addition to the dozens of official agency meetings on silver that the agency held. It’s remarkable with all that attention, JPMorgan was able to continue to manipulate silver prices to this day without missing a beat. And I distinctly remember all through this time, which Chilton described as full of high drama behind the scenes, not one word was offered publicly to warn anyone that there were strong official suspicions of manipulation. All I ever recall is that the CFTC found all my allegations of silver manipulation to be completely unfounded. Chilton seems to be saying something quite different in this interview.
What Chilton said confirmed just about everything I’ve written and for that I am grateful. Again, all my analysis has been based strictly on public data. While I’m happy for the confirmation, I’m also outraged and disgusted that the CFTC and DOJ failed to end the manipulation and that JPMorgan has continued on its merry and illegal way. I’ve reached the conclusion that JPMorgan is so well-connected and backed by such legal firepower that even the US Government, certainly in the form of the CFTC, but now also including the Justice Department, is no match for it. As a result, my expectations for the DOJ cracking down on JPM have been reduced to a faint hope, although it saddens me to admit to that.
That said, I do believe more than ever that it will be JPMorgan’s actions over the past decade that will power silver (and gold) higher. No one would acquire the massive amount of physical silver and gold that JPMorgan has accumulated without the expectation of a monster payday. Separately, Chilton’s confirmation that the CFTC (and DOJ) were investigating and pressuring JPM would seem to dispel any notion that it was or is the US Government behind the silver (and gold) manipulation. The CFTC and DOJ are US Government institutions, after all.
They may be no match for JPMorgan, but that’s a far cry from either being involved in some conspiracy to manipulate prices. Finally, the degree of alarm and concern by the regulators, according to Chilton, would seem to mock all the manipulation deniers who maintain there is nothing to see. According to Chilton, the regulars saw plenty to be concerned about.
Ted Butler
April 4, 2019
www.butlerresearch.com