= May 20th. Public hearing on water permit.
Do we have any "locals" here that can tell us how that went? Usually it is a formality. 10 days left to the public comment period before the water permit may be finalized.
Still 100 shares on the Ask all day. What a joke. You can buy $18 worth of stock and they will raise the price on you. I still have an All or None order in. Not paying a commission on 100 shares and then find out they won't fill anything else for under .20. Look at all the shares on the Bid. They want your shares, people! Why are you giving them away so cheap!
They'll be happy to have you sell your shares to them, but they won't fill anything if you want to buy. 100 shares available at .1959. I'm not going to pay commission on $19.59 worth of stock and then watch the Ask rise to .205 for another 100 shares.
This will hover around .20 on low volume until it pops quickly to .25. MMs must have gotten caught with no inventory and had to naked short to fill orders. Don't give them your shares for cheap! Make them increase their Bid to cover their short. Once they cover, they will let it run again and quickly raise the Ask. Next stop... .25.
The only reason a R/S matters at all is because there are absolutely clueless people out there... like you.
Price Per Share is the most arbitrary and most insignificant number there is. Tell me... which company has a higher market cap:
A) 100M outstanding shares and a .20 PPS
B) 10M outstanding shares and a $2 PPS
Only a complete fool thinks changing a decimal point makes any difference in their investment.
You will see dilution to raise cash and a R/S with R&D companies before they transition to manufacturing their products and earning revenue. You will see dilution and a R/S with exploratory miners before they begin producing and earning revenue. Big deal. To all the ignorant fools that cry every time these companies dilute or R/S to meet some arbitrary number for an exchange... get a clue. You simply should not be investing in what you do not understand.
If you are doing your DD based on PPS, you have already lost. You don't have what it takes to self-invest. Market cap is what counts. $12M market cap now that they have one project ready to produce and another project entering the pipeline and $2.5M of working capital to take insolvency off the table is undervalued in my opinion.
=Most reverse splits I have dealt with have not ever gotten back to the pre split level
If you are investing in companies that R/S then you are obviously dealing with speculative companies. You aren't very good at performing DD if these companies you pick never pan out.
It should all be moot anyway here since they just got notice last month and some companies can go years below the arbitrary PPS as long as they can submit a plan to come back into compliance. Being an exploratory miner that is about to produce after many years of a permitting process is the definition of an acceptable plan to come back into compliance and they should be able to avoid a R/S.
Do you find it hard to type while patting yourself on the back. A reverse split means that the stock must go up $1 for pre split to go up 10 cents, or $10 for $1. So for this POS to go up to $2 as mentioned will happen next year (3 years ago) would have to hit $20. This will not happen. Most reverse splits I have dealt with have not ever gotten back to the pre split level, so you lose even more than we have lost with this rotten apple. Sad
= I am however concerned that there may still be a possibility of a reverse split.
They got their notice from the NYSE on April 5th. Usually, 6 months is a given you can slide on the minimum price once you get the notice and it is usually a year before you need to R/S back into compliance. TLR could actually get longer if needed as they can show a "plan" to regain compliance. Transitioning from an exploration company to a producing miner is sufficient for the NYSE to give them more time.
I would actually like to see the R/S now while they are still off the radar. Get the price up to where institutions can own them and I wouldn't mind some cheaper shares now that they are closer to some positive developments. A 1:10 R/S would be great now, but it could result in a short-term drop in market cap so they probably wouldn't want to put their loyal shareholders through that. I say go for it. Let the weak hands sell and get the shares into the hands of those that have done their DD.
The raid on the paper market today has more people on the sidelines. Only $1K traded hands so far. I may take advantage of this and pick up some more at .20. Not filling anything for me under .20.
How much money did you lose when you sold at .50c ?
If I remember correctly, you were one of the biggest bag holders on this board, no?
You were pumping TLR hard above $1.00.
I agree, once the buying gets past .21 or .22 things should become interesting. In light of the current events, I do believe management has made some good deals and decisions. I am however concerned that there may still be a possibility of a reverse split.
There was a very real chance of insolvency if the permitting process dragged out any longer. That is what was being priced-in. Now that they have $2.5M of available capital, they are assured of surviving until they can get some income from BH. I really like that they aren't sitting back and got a second project going. Would have been nice to use BH profits to develop LM, but you can't argue with yet another deal where the partner pays all the pre-production costs.
They still have other assets they can develop on their own if/when they have more free cash flow.
You are very observant in how it is all about perception and how a junior miner in the exploration stage can get overlooked. The Bid stood at .20 with 18,000 shares for most of the day. Nobody took the MM up on selling at .20 today. The price didn't seem to do anything, but that was a big psychological barrier that selling dried up with a big .20 staring potential sellers in the face. Volume was low as most buyers were holding out for .20, also. Once buying begins at .21 and .22, look for .25 to be hit quickly.
I look at market cap and I think a market cap of $20M to $25M will be reached when the water discharge permit is finalized and the new JV is finalized.
I bought them all back and then some under 20. It is amazing but, on the verge of getting the permit, with now 2 viable producing projects, gold 40% higher, and the company agreeing to have a JV partner buy shares at 25 cents that you can now buy the stock 95% lower than where it was when all they had in the works was BHJV and the drilling.
You have a better entity at a lower price but, because of the sentiment nobody wants to own it. It's kind of amazing.
Last I saw was public comment period went through May 30th and they expected the permit to be issued in June:
received a draft Montana Pollutant Discharge Elimination System ("MPDES") water discharge permit for its Butte Highlands Gold Project joint venture from the Montana Department of Environmental Quality ("MDEQ"). Upon final approval, the permit will authorize Butte Highlands JV, LLC ("BHJV") to construct and operate a disposal system that treats ground water encountered in the mine by a reverse osmosis system and discharges it to surface waters in compliance with the Montana Water Quality Act and the Federal Water Pollution Control Act. The final MPDES water discharge permit is expected to be issued in June, following completion of a public notice period, ending May 30, 2013.
That is from an 8-K filed April 18th. Once again, there appears to be people trying to talk down the price with rumor and innuendo while the facts clearly indicate something different and we are able to provide the supporting documentation for verification. This is still speculative, but it remains my opinion it is undervalued at this time with the amount of risk that is being overcome. At worst... this is dead money for another quarter or two and at best... it should be getting on the radar of more people when the water permit is finalized and there is a more firm date on production. That along with the finalized new JV for LM and I think a $20M to $25M market cap is justified for now.
Seen on IHUB site where TLR drilled deeper and found
more underground water then expected.
"TLR must provide a larger reverse osmosis system to purify the water before
it is allowed back into the natural watershed." The older smaller system will not work now.
2nd permit needed is from the U.S. Forrest Service dealing with the roads.
Its not a done deal yet. Work still need and time is an issue. More delays would
be painful for shareholders.