Seeking Alpha Investment Doctor
SilverCrest is one of the very few silver mining companies that were actually free cash flow-positive in the second quarter.
It's not just the free cash flow which looked appealing to First Majestic, but also the working capital position, which increased to in excess of $50M.
It's a pity SilverCrest is being bought out, as I'd have been really curious about how the company's future would have been on a standalone basis.
By Pam Martens and Russ Martens: August 5, 2015
Citigroup, the bank that played a central role in bringing America to its knees in 2008; received the largest taxpayer bailout in the history of finance to resuscitate its insolvent carcass; pleaded guilty to a felony count of rigging foreign currency trading in May and was put on a three year probation – is now under a string of criminal and civil investigations.
On August 3, Citigroup filed its quarterly report (10Q) with the Securities and Exchange Commission (SEC). Instead of reporting a pristine slate free of transgressions as one would expect from a felon on probation, Citigroup reported that it had settled allegations of money laundering with the Federal Deposit Insurance Corporation and the Commissioner of the California Department of Business Oversight involving its Banamex USA unit. The bank was, as typical, able to pay a penalty of $140 million and avoid an admission of guilt.
What Citigroup did not report on its 10Q is that it is also under another criminal money laundering probe by the Justice Department for its Mexican-based Banamex unit, according to a Bloomberg Business report. On July 24, Bloomberg reported the following:
When nobody is building plants would not building another plant cheaply and promptly to expand capacity be a good idea? If I am wrong on gold well then we are royally screwed. If I am right on gold then it is the big kahuna. I do not look for a short term bounce in gold at the bottom as I do look forward to a resumption of the gold bull market to significantly new highs. That is the story!
BillD: OK GANG.... BIG UPDATE FROM JIM ON TRX FOLLOWS ... I asked him if there were anything I could post on cometgold..... and this is what I got..... :Bill: Review the pictures on the web site on the ongoing progress. Every barrel with a government seal on it represents gold in wool. The pregnant pond represents gold is leachate. I believe at the meeting Peter estimated that there are 4000 ounces on 3 of the 4 pads. None of that will be lost We have made gold. Even if I was running 2 plants full bore which I will be I would not sell gold at these levels unless the money was required for survival. If we make money at these prices, and lower, but what is the point?
We recently got a $1.5 million dollars bullion loan. The entire gold stock field is under historic pressure never before seen anytime in history. Significant pours now would invite more shorts at somewhat, but not magic better prices. The second you smelter the gold in wool you owe the government 4% of its value on the spot in the gold room. No pours by any company ever occur by law without 3 federal agencies present in the gold room. Gold in leachate or in wool is hard to impossible to steal. Gold in dore is easy to steal No one in their right mind stores gold dore in the bush at a mine. Dore is shipped when poured by first a helicopter parked less than 200 feet from the gold room and the cost of total logistic is about $20,000 per load to Zurich refinery, insured all the way from the moment it enter the helicopter until custody is taken by the Swiss refinery. There is absolutely no point right now.
If gold goes under $500 the entire industry shuts down. I do not believe this will occur. If gold goes up $1000 to above $2000 which I believe it will from the bottom TRX will be a very large holder and producer of physical metal. All published gold bulls yell own bullion so this strategy should be a win/win for TRX stockholders assuming we dividend in kind, once in the black.
The lower gold price is creating future risk among gold mining companies unsure of whether the price could fall further. That has them exploring new ways to lock in revenue, including the prospect of derivatives as hedging vehicles.
comments section....Bob • 18 hours ago
Idiots. When will they learn, you can't "deal" with the dark side's instruments.
The only way to "deal" with those criminals is to form a production cartel and control the supply released to market.
Kudos to Keith Neumeyer of First Majestic for having the guts to take a stand.
Booo - to the rest of the mining eunuchs too chicken #$%$ to follow his lead.
The International Monetary Fund should put off any move to add the yuan to its Special Drawing Rights currency basket until September 2016, an IMF staff report said, a move that would effectively end the Chinese currency's chances of an early inclusion.
The report, published on Tuesday, comes after Beijing launched a major diplomatic push for the yuan's inclusion in the IMF basket as part of its long-term strategic goal of reducing dependence on the dollar.
The report said the implementation of any formal decision to add the yuan to a basket of currencies comprising dollars, euros, pounds and yen should be delayed so as not to disrupt financial market trading on the first day of 2016.
1. I tried to get details on the bullion loans and a few other questions. An assistant called me back, asked what my questions were and said he would get with Jim, but never got back to me.
2. Emailed Jim some questions you bashers have brought up...No reply
I do know there are questions he is not allowed to answer.
3. Called Trx office, left a message to call me back....crickets!
4. I made the list.
Thanks for creating that ID today to let everyone know you made the nonresponse list.
Did you ask him nicely or complain about it?
@ 2.00 minute mark...Kirby starts to explain about Armstrong's models and why he had to go to jail because of the tapes he said he knew about in regards to Republic bank. (CNNfn) - Billionaire banker Edmond Safra was killed early Friday when fire engulfed his Monte Carlo home, following an attack by two hooded men,
Published on Jul 24, 2015
Refiners are calling jewelers because of lack of supply?
Youtube...SoT #44 Rob Kirby: We Are Coming Into End of Times
Submitted by Tyler Durden on 07/24/2015 15:50 -0400
For the first time since records began, hedge funds are net short gold futures, according to CFTC data...
This is what happened the last time gold saw a 'low' net long position...
Posted on 14 July 2015
Marc Faber says he wouldn’t touch Chinese stocks even after their precipitous decline, instead pushing the investment case for Vietnam equities and gold mining shares.
‘I am a buyer when markets are undervalued and attractive and then I get out relatively early. So we were buyers in China a year ago in June/July of 2014,’ Dr. Faber, the author of the ‘Gloom, Boom and Doom Report’, said, referring to Chinese equities. ‘Now, I don’t think that Chinese stocks are attractive and I would just stand aside.’
Vietnam is the one country that ’stands out in Asia’, with its strong economic performance and reasonably priced stocks, he said. ‘In Vietnam you could have a similar situation as in China a year ago, where stocks went up very substantially.’
Lastly, he is keen on precious metals, including platinum, silver and gold and their related shares: ‘Gold shares, they may still move somewhat lower, but if you ask me what is good value, the gold mining sector is a depressed sector’…Arabian Money
RSU Some 300.000 shares were gifted to the insiders over the last few weeks. Sweet deal
lud did you intentionally leave out price...$0.490 ???
Filing Date Transaction Date Insider Name Ownership Type Securities Nature of transactionVolume or Value Price
Jul 6/15-Jun 29/15 Guidi, Marco Direct Ownership Restricted Stock Units 30 - Acquisition under a purchase/ownership plan 50,000 $0.490
Jul 2/15-Jun 29/15 Moroney, Donna Direct Ownership Restricted Stock Units 30 - Acquisition under a purchase/ownership plan 10,000 $0.490
Jul 2/15-Jun 29/15 Sinclair, James E. Direct Ownership Restricted Stock Units 30 - Acquisition under a purchase/ownership plan 75,000 $0.490
Jul 2/15-Jun 29/15 Kahama, Joseph Kulwa Direct Ownership Restricted Stock Units 30 - Acquisition under a purchase/ownership plan 75,000 $0.490
Jun 10/15-Jun 8/15 Betts, Norman Murray Direct Ownership Restricted Stock Units 30 - Acquisition under a purchase/ownership plan 87,883 $0.490 - See more at canadian insider
A2A with Bill Holter.....Thursday, July 9, 2015 at 1:36 p.m. tfmetals report
Bill explains that there is not enough time for Jim to write at jsmineset and get TRX rolling. The majority of his effort is going towards TRX. Not bad timing, considering we are going into the final lows on gold.
Armstrong writes a good piece about copper in search of it's bottom. Mux should hold their copper stash for the awakening of copper. Rob has been a fairly good judge of timing, MNEAF was a good example. unless you were a MNEAF shareholder.
Electric cars are rapidly entering the market. This is causing more than just a decline in the demand for oil. The i8 BMW is a hybrid that still has a combustion engine in the back and an electric in the front. This car gets 78 miles to the gallon. It has a purely electric top speed of 75 mph or in hybrid mode 120mph. It does 0 to 60 in just 3.6 seconds; that’s enough to pin you into the seat.
China Molybdenum says ready to make $2.15 bln mine acquisition
By James Regan
SYDNEY, July 6 (Reuters) - China Molybdenum Luoyang Co is poised to make an offer for an overseas mining project costing up to $2.15 billion, the latest push by a Chinese enterprise to acquire resource assets beyond its borders.
Officials from China Moly, as it is known, could not be immediately contacted for further information on a statement released to the Hong Kong bourse on Monday saying it would look to "acquire certain overseas mining assets from an international mining company" at a cost not likely to exceed $2.15 billion.
The unnamed target, had "matured operations and generates stable profits and cash flow," the Chinese company said.
Analysts speculated that China Moly could be courting Barrick Gold of Canada for its Zaldivar copper mine in Chile, but had no specific information to that effect. Barrick in April said it wanted to sell up to 50 percent of the mine - estimated to be worth around $1 billion - and would consider selling a bigger stake if it got a "knock-out" offer. Barrick officials were not immediately available outside of regular office hours in Toronto.
Published: July 9, 2015 3:38 p.m
China has been making it very clear that it wants more control over the global gold market, but it’ll have to go through New York and London first.
"Given that China is the epicenter of the physical gold market, it does make sense that the Chinese government would want its physical Shanghai gold market to supplant the Comex derivative market (and others) as the primary global price-setting mechanism," said Anthem Blanchard, chief executive officer of online precious-metal retailer Anthem Vault.
China is, after all, the world’s largest producer and one of the biggest buyers of the metal, often running neck and neck with India as the globe’s top consumer.
New York and London have generally been the hubs for setting gold prices. But with "so little gold going through Comex in physical terms, this is a distortion of demand and supply as it only reflects the trading picture of speculators in New York," said Phillips. He noted that only 5% of contracts are delivered on Comex after notice has been given of this intention.
Having New York and London as the price-setting locations has "kept gold prices well below the level of demand and supply should reflect," Phillips said. China does not want an uncontrolled gold price, but it also "does not want the U.S./U.K. to have control over this market if they are minor players."
"The future? All roads ultimately lead to the Buckreef Mega-Pit. I roughly estimate that the Mega-Pit would require a plant of approximately five times the size of the facility currently processing material for us at our launch site. That is a staggering number to imagine. I sincerely believe this is a company with a very exciting future indeed."
The Buckreef Mega Pit is in our opinion an agency financing in which having a government as a full partner represents an unusual combination and attractive combination. In this way, revenue flows to the Company and to the country.
Chairman and Chief Operating Officer (Tanzania)
TORONTO, ONTARIO--(Marketwired - Jul 9, 2015) - Tanzanian Royalty Exploration Corporation
)is pleased to announce the appointment of Jeffrey R. Duval as our new Vice President of Project Logistics.
Jeffrey brings to the Company over a quarter-century of experience working with some of the largest construction firms in the US south-west. His experience in time-management, excavation, movement of material, earthworks, and related skills will be a valuable asset to the Company as it aggressively moves to monetize the in-ground assets on its various licenses.
Says Jeffrey Duval, "I am delighted to be part of the growing TRX team. As it happens, I had been following the Company, and its CEO Jim Sinclair, for many years. I look forward to the challenge. Tanzania is over double the size of California and the target sites that Jim presented to shareholders at the AGM are by no means contiguous. Planning and logistics are important. I was especially impressed by the 'attack plan' Jim designed to pull cash flow out of several smaller target sites first, so we can use the proceeds, sequentially, to assist in financing our build-outs as we move closer and closer to the Buckreef Mega-Pit."
"Of course, the Company has just completed construction of what is called a basic Heap Leach plant; and, as we work our way toward the Buckreef Mega-Pit, multiple CIL units will also be needed. An alternative is to design a modular unit that is portable, and I do fully intend to explore this option as well."
"CIL" design has the ability to process not merely the "oxide" type of extracted material but also the sulphide type. To have both facilities available -- the CIC and the CIL -- makes the Company extremely flexible on a go-forward basis, and speaks to the scope of the long-term plan that Jim presented. Bottom line, we are looking to get the best efficiency, the best costing, and the most precise scheduling that is available."
July 7, 2015
The bullion banks knew that the Mint was going to be forced to release the news that it was out silver – that’s why silver was slammed in the paper market when the Comex trading floor opened. This is as criminal as it gets.
"This also means that the Comex vaults are technically out of any silver that they could supply to the mint. CNT is one of the bigger silver custodians and they specifically supply the mint with silver. If the Comex vault operators had customer silver that they could hypothecate to the mint they would be doing that. It tells me that the Comex vault operators don’t think they can get ahold of silver to replace any silver that could be “borrowed” and sent to the mint. Technically, the mint is required by law to make enough silver eagles to meet demand…."
Stay tuned tomorrow for a fascinating podcast from the Shadow of Truth with Wolf Richter of Wolf Street – Howling about Business and Finance.