Middleborder
3 years ago
Elysee reports a $11,123 loss for the nine months ended 9/30/21
https://www.juniorminingnetwork.com/junior-miner-news/press-releases/2699-tsx-venture/elc/109933-elysee-announces-loss-for-the-nine-months-ended-september-30-2021-of-11-123.html
Mr. Guido Cloetens reports:
Vancouver, British Columbia--(Newsfile Corp. - November 8, 2021) - Elysee Development Corp. (TSXV: ELC) (FSE: QLDN) wishes to announce its unaudited financial results for the three months ("Q3 2021") and nine months ended September 30, 2021. All dollar amounts are in Canadian funds.
The third quarter of 2021 was a difficult quarter for gold and silver miners as evidenced by a decline of 17.6% in the world's leading tracker of junior gold and silver miners, the GDXJ, during Q3. The impact on Elysee's investment portfolio was evident, resulting in a loss of $2,113,923 for the three month period ended September 30, 2021. Unrealized losses on marketable securities of $2,405,228 during the quarter were only partially offset by realized gains of $292,287.
After general and administrative expenses of $279,891, and taking into account transaction costs and interest and dividend income, the Company incurred a loss for the nine months ended September 30, 2021 of $11,123 ($0.00 per share). Realized gains during the period of $3,818,591 outweighed unrealized losses of $3,657,636.
After paying out a three cent per share dividend for fiscal 2020 (a total of $833,178) in March 2021, the Company's Net Asset Value* ("NAV") decreased from $18.4 million on December 31, 2020 to $18 million ($0.64 per share) on September 30, 2021.
Guido Cloetens, the Chairman and CEO of Elysee, stated: "The leading trackers for gold and silver miners, the GDX and GDXJ, were down 18% and 29% respectively for the first nine months of 2021, with the TSX Global Mining index also down by 8%. During that same time period we were able to hold the course, with a loss of only $11,123 for the nine month period, by offsetting unrealized losses in our portfolio resulting from the market downturn with realized gains of $3,818,591 and reducing general and administrative expenses by over $70,000 compared to the same period a year prior. There has been a significant recovery in the indexes and the overall market for junior mining stocks since the start of October which may indicate that we reached a bottom at the end of Q3. As of October 31, 2021 our portfolio has recovered approximately $800,000 of the unrealized loss incurred during Q3 2021. With over $2.7 Million in cash on hand, we remain confident in our ability to pay an annual dividend for 2021 in Q1 2022, in accordance with our dividend policy, subject to market conditions at that time."
Middleborder
3 years ago
All; https://elyseedevelopment.com/news/2021/elysee-earns-2-049-529-0.07-per-share-during-the-three-months-ended-june-30-2021/
"August 5, 2021 - Vancouver, B.C. - Elysee Development Corp. (TSX.V: ELC) is pleased to announce its unaudited financial results for the three and six months ended June 30, 2021 (“Q2 2021”). All dollar amounts are in Canadian funds.
Highlights from the Q2 2021 results include:
Net earnings of $2,049,529 ($0.07 per share) in Q2 2021 as compared to earnings of $53,271 in Q1 2021.
Net investment income of $2,140,237 in Q2 2021 versus $151,255 in Q1 2021.
Operating expenses of $90,708 during Q2 2021 as compared to $97,984 in Q1, 2021.
Net Asset Value per share increased from $0.64 as of March 31, 2021 to $0.72 per share as of June 30, 2021.
A cash offer of $2.65 per share by Evolution Mining for Battle North Gold Corp. was completed resulting in a realized gain of $231,678 in Q2 2021.
During the reporting period significant gains were realized on the sale of shares of Lightwave Logic Inc., E79 Resources Corp., Endurance Gold Corp., Nextsource Materials Inc. and Oroco Resource Corp. among others.
In June the Company invested $1,250,000 in an 8% convertible debenture issued by Wildpack Beverage Inc. in addition to the $270,000 invested in units of Wildpack earlier this year". ...Snip
more at link
Middleborder
3 years ago
Monocle,all
May 5, 2021
View PDF
" Elysee Development Corp. (TSXV: ELC) (the “Company”) announces today its intention to make a normal course issuer bid (the “Bid”) to purchase for cancellation, from time to time, as it considers advisable, up to 1,390,843 of its issued and outstanding common shares, being approximately 4.99% of the Company’s currently outstanding common shares and approximately 6.67% of the Company’s Public Float (as that term is defined in the policies of the TSX Venture Exchange (the “Exchange”). The Exchange has approved the commencement of the Bid. The Bid will commence on May 10, 2021 and will terminate on May 10, 2022, or such earlier time as the Bid is completed or at the option of the Company. The Bid replaces the Company’s current normal course issuer bid which expires on May 8, 2021. Research Capital Corporation of Vancouver, British Columbia will conduct the Bid on behalf of the Company.
The Bid will be conducted in accordance with applicable securities laws and the policies of the Exchange. Purchases will be made on the open market through the facilities of the Exchange. The price which the Company will pay for any shares purchased by it will be the prevailing market price of such common shares on the Exchange at the time of such purchase. The purchase of the common shares under the Bid is being funded from existing working capital. The Company purchased 23,000 of its common shares pursuant to a normal course issuer bid during the previous 12 months. The weighted average price paid per common share was $0.41. In accordance with Exchange policies, the Company will include a summary of the Bid in the management information circular to be mailed to shareholders of the Company in respect of its next meeting of shareholders.
Management and the directors of the Company believe that, from time to time the market price of the Company’s common shares does not give full effect to their underlying value and that, accordingly, the purchase of common shares under the Bid will increase the proportionate share interest of, and be advantageous to, all remaining shareholders. Purchases of Bid Shares pursuant to the Bid will also afford an increased degree of liquidity to the Company’s shareholders who would like to trade their shares and will serve to stabilize the market price for the Company’s shares."
JohnPaulII
15 years ago
What's wrong with the market when good news does nothing?!
Gold explorer becomes gold producer overnight: http://www.solteramining.com
Q&A Interview with Gold Stock Soltera Mining Corp. (OTCPK: SLTA); a History of an Argentina Gold Mine
April 29, 2010 - www.InvestorIdeas.com and its leading mining investor portals, www.Gold-MiningStocks.com and www.MiningSectorStocks.com release a Q&A interview Dr. Fabio Montanari, President/CEO of Soltera Mining Corp. (OTCPK:SLTA.) FRANKFURT: SN7) for interested investors.
The Company recently reported it had entered into two agreements with the El Torno mineral title owner, which combined give Soltera the right to mine surficial gold at El Torno, in northern Argentina, in addition to certain exploration rights over a prospective gold & copper area, Sur Eureka.
Dr. Fabio Montanari has an international mining career for over twenty-five years, including senior experience spearheading advanced exploration and mining activities in Africa, South America, Europe, Canada and the United States for a host of internationally recognized exploration and mining companies including: Asarco (US), Golden Star (UK), ENI Group (Italy) and Normabec (CAN). Dr. Montanari has also been a geological consultant to the United Nations under the U.N. Technology Cooperation Schemes.
Q- Investorideas.com
Dr. Fabio Montanari, with your global experience in the mining community, investors would ask – why this location and this mine?
A- Dr. Fabio Montanari, President/CEO of Soltera Mining Corp
When I arrived in Argentina in 1996, I reviewed more than 45 mining projects on behalf of a junior mining company from Canada. The junior company decided on pursuing the most promising of these projects but, after the BRE-X crisis of 1997, they were obliged to leave Argentina because it was impossible at that time to obtain funding. The projects then became free and I began to search for investors because I really believed in the properties. These properties were El Torno (gold) and Eureka (gold-copper).
Argentina is a wonderful country. I am Italian and more than 50% of the people here are of Italian origin, which makes it easier for me, but anyway, you can not change the location of a mine: I have evaluated many other projects around the world but I had not found one more promising than El Torno.
Q- Investorideas.com
And following our first question, the El Torno Project is a past producing gold mine. Can you give investors some of its history and what has transpired to take the company to its current status as a gold producer?
A- Dr. Fabio Montanari, President/CEO of Soltera Mining Corp
The mine is very old. It was exploited by the Incas and Jesuits; the indigenous peoples knew of the gold in this area as it was easy to exploit.
More recently, the titleholder was crushing and concentrating the ore near the principal vein with a jaw crusher, a ball mill and a shaking table and was able to recover substantial amounts of gold.
When I started the project it seemed easy to raise funds for exploration so I did not attempt to immediately exploit. I am convinced that El Torno can be a world-class mine, and after the geochemical exploration results and the structural survey accomplished last year, it appears that we could be comparable in some ways to Cerro Vanguardia, the well known Anglo Ashanti gold mine in the south of Argentina.
After the crisis of 2008 it was difficult to raise funds for exploration, so I reached an agreement with the titleholder to exploit the eluvial part of the mine, which I am confident will be very inexpensive and productive. We intend to use part of the revenue generated from this surface mining to test the large-scale open-pit and underground targets that we have already identified. For example, the notes of the geological map of the province report that samples of the rock in the sides of the principal vein contain as high as 110 g/ton of gold. We will be testing the extent of this mineralization by geophysics, sampling and drilling.
Q- Investorideas.com
Can you tell investors what other mining companies (majors) are in the area for comparisons?
A- Dr. Fabio Montanari, President/CEO of Soltera Mining Corp
Rio Doce Argentina (CRVD Brazil owned) with more than 5 mining concessions, Minera Aguilar (Xstrata owned) with at least 2 concessions, Cardero Resources, Yamana Gold and other very large companies are on our license border. However, our El Torno property is the only one in the area with an historic gold mine. Our impressive neighbors have licenses over huge areas but without old gold or copper mines. I think they are hoping we might leave our concessions. In fact, back in the 1990’s Penoles and Codelco started exploration on our properties but failed to reach an agreement with the titleholder before their initial results proved so successful. Trying to negotiate terms after their results were in proved impossible. Good thing for us. I learned from their mistake and managed to negotiate our exploration agreement up front.
Q- Investorideas.com
As you transition to gold producer some key factors to success moving forward would include infrastructure in the surrounding area in addition to corporate funding. Can you tell us what is in place for the company today and plans moving forward?
A- Dr. Fabio Montanari, President/CEO of Soltera Mining Corp
We have a gravitational concentration plant in place and we recently restarted the plant to find it is in perfect condition ready to produce gold. We have a 6500 volt electricity line only 8 km from the actual plant and less than 5 km from the project; we have a river with perennial water at 200 meters from the plant and a big river, marking the border between Bolivia and Argentina 5 km to the north of our project.
Also, there is a vibrant long existing local gold trade allowing us to sell un-smelted gold directly from the eluvial project at very good rates. Everything we could need is right there. We are in Andes “gold country” after all. A bus line terminates at Santa Catalina Village only 11 km from the property. You can easily come to visit me on the project if you like.
Q- Investorideas.com
Based on the exploration work done to date, what is the potential for Soltera’s properties?
A- Dr. Fabio Montanari, President/CEO of Soltera Mining Corp
The market does not respond much to geochemical prospecting, which is what I have been doing here for the past two years; but I have more than 20 years experience with this methodology and from what I have analyzed to date, the potential of the El Torno project is very big.
My short-term goal is to gain an immediate and self-sustaining source of revenue from the eluvial operation, but the real prize is in furthering exploration of the gold vein system as well as the large geochemical gold anomalies discovered last year. We are currently sourcing financing for this exploration work, but in the meantime we will have enough income to go it alone until funding is secured.
More info about Showcase Gold Mining Stock Soltera Mining Corp.(OTCPK: SLTA FRANKFURT: SN7):
Soltera Mining Corp. is a unique exploration company in the sense that it is following two distinct lines of action. The first is conventional, with exploration concentrated on two carefully selected gold and base metal projects in Argentina, particularly the large-scale El Torno gold project in Jujuy. The second, less conventional action is to finance immediate small-scale gold production from a specific section of the 14 km gold-quartz vein at El Torno.
Investors can view the full company profile for Soltera Mining Corp. at http://www.investorideas.com/CO/SLTA/
Visit the company website at http://www.solteramining.com/
Properties Page:
http://www.solteramining.com/index.php?option=com_content&task=view&id=19&Itemid=74
Montanore
15 years ago
Posted: Thursday, April 22, 2010 12:00 am
By SARAH ROSE FREDLUND/Hagadone News Network
An auction to acquire up to 100 percent interest in SterlingMining Co. along with its assets began at 8 a.m. on Wednesday,Sterling executive Robert Higdem said.
Three potential bidders - Alberta Star, Minco Silver and SilverOpportunity Partners - participated in the auction, but AlbertaStar officials said later that afternoon they were "unsuccessful inits bid to acquire Sterling."
The name of the winning bidder was not available late Wednesday,and Sterling officials could not be reached for comment.
According to the bidding procedures document, the minimumoverbid was set to $12.5 million; which was the same amount Mincooffered in December 2009.
Higdem said a breakup fee of $250,000 to Alberta Star was workedinto the bidding as a resolution to the Oct. 30 Binding Term Sheet. This past fall Alberta Starinitially made an $11.75 million agreement and said in a pressrelease that it would "acquire up to 100 percent interest inSterling and its assets and provide for financing of Sterling'songoing operations."
Higdem said the offer did not allow for complete satisfactionfor creditors, which is a necessary component of the bankruptcyproceedings, and was not accepted by the bankruptcy court.
Sterling and the winning bidder will now work toward creating areorganization plan to go about satisfying Sterling's debt.
Once completed, Higdem said the plan will be presented to ChiefU.S. Bankruptcy Judge Terry L. Myers in early June, where it willthen be subject to other court hearings.
Sterling, which has been in Chapter 11 bankruptcy since February2009, and Sunshine Precious Metals Inc. engaged in a lengthy legalbattle over the rights to the Sunshine Mine in Big Creek.Ultimately it was Sterling that took possession of the property onAug. 20, 2009, after a ruling by Myers.
Since then, Sterling has been on site evaluating the SunshineMine in order to prepare for the aforementioned auction.
NYBob
15 years ago
Montanore, USSIF and Sunshine mines are connected underground
we need some sunshine on it
Sterling Mining Names John Ryan As President, CEO
Coeur d'Alene, Idaho -- January 12, 2009 - Sterling Mining Company (OTCBB:SRLM / FSE:SMX) is pleased to announce the appointment of John P. Ryan as President and Chief Executive Officer and Ron Ho as Corporate Secretary and Treasurer, both effective immediately. Mr. Ryan will succeed Ken Berscht as interim President, who has resigned but will remain on the Board of Directors. Mr. Ryan was also named to the Board of Directors of the Company.
John P. Ryan has extensive experience with development-stage companies, most recently as the Chairman of U.S. Silver Corporation from June 2006 until October, 2006, also serving as Chief Financial Officer of U.S. Silver Corporation until May 1, 2007. Mr. Ryan remains on the board of U.S. Silver and is one of three co-founders of the Company. Mr. Ryan is currently Chief Executive Officer of Gold Crest Mines, Inc., an exploration company focused on gold projects in Alaska and Central Idaho, and a Director of Silver Verde May Mining Company, Inc., a development stage company with exploration projects primarily in the east end of the Coeur d'Alene Mining District. Mr. Ryan attended the University of Idaho where he received a B.S. degree in Mining Engineering, and he also received a Juris Doctor from Boston College.
NYBob
15 years ago
Kootenay Gold cancels joint bid for Sunshine mine
2010-04-12 11:33 ET - News Release
Mr. James McDonald reports:
KOOTENAY WITHDRAWS PARTICIPATION IN SUNSHINE BID; CONTINUES FOCUS ON PROMONTORIO SILVER PROJECT
Kootenay Gold Inc. (the "Company") (TSX.V: KTN ) announces the cancelation of its participation in the joint bid to acquire the Sunshine Mine pursuant to a bankruptcy auction to be held on April 21, 2010 (see news dated March 8, 2010) and its withdrawal from the syndicated brokered private placement announced on March 22, 2010.
Kootenay continues advancing the former producing Promontorio Silver Mine in Sonora State, Mexico. Significant intercepts include KP-25 with 386.64 meters of 46.15 g/t silver, 0.44 g/t gold & 1.54% lead/zinc -- including 97.67 meters of 100.4 g/t silver, 0.77 g/t gold & 3.24% lead/zinc. Intercepts encountered in KP 25 are associated with sulfides hosted in breccias and stockwork veining (see new Feb 5, 2009 news release). Since 2006, Kootenay has systematically advanced the Promontorio Silver Project with a 3D Induced Polarization Study, an Electromagnetic Airborne Study, Surface Sampling, Satellite Imagery, Trenching, Sampling, Mapping and more than 20,000 metres of Diamond Core Drilling. In addition, Kootenay has a portfolio of mineral projects in Sonora, Mexico and in British Columbia, Canada.
For additional information, please contact:
James McDonald, CEO and President at 403-238-6986 or
Ken Berry, Chairman at 604-601-5652; 1-888-601-5650
(www.kootenaygold.ca)
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or the accuracy of this release. Cautionary Note: The Securities and Exchange Commission's mining guidelines strictly prohibit information of this type in documents filed with the Securities and Exchange Commission. Mineral deposits on adjacent properties are not indicative of mineral deposits on our properties.
This news release may contain forward-looking statements including but not limited to comments regarding the completion of the Offering, the completion of the Acquisition, the filing of a final short form prospectus, the acceptance by regulatory authorities to the Acquisition, the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.
http://www.kootenaygold.ca
http://www.stockwatch.com/newsit/newsit_newsit.aspx?bid=Z-C%3AKTN-1707774&symbol=KTN®ion=C
NYBob
15 years ago
Montanore thanks, Sterling and all companies with investors who
lost any money because of the ponzi schemes, fraud and manipulation........
should ask for remedy with class action law suits;
against the fraudsters...E.g.,
Former Goldman Commodities Research Analyst Confirms LMBA OTC Gold Market Is "Paper Gold" Ponzi
Tyler Durden's picture
Submitted by Tyler Durden on 03/28/2010 12:47 -0500
http://www.zerohedge.com/article/former-goldman-commodities-research-analyst-confirms-lmba-otc-gold-market-paper-gold-ponzi
LBMA Bullion Market Ponzi Scheme
a few....
When we put up a link to last week's CFTC hearing webcast little did we know that it would end up being the veritable (physical) gold mine (no pun intended) of information about what really transpires in the commodities market. First, we obtained direct evidence from Andrew Maguire (who may or may not have been the target of an attempt at "bodily harm" as reported yesterday) of extensive manipulation in the silver market. Today, Adrian Douglas, director of GATA, adds to the mountain of evidence that the commodities market, and the CFTC, stand behind what is potentially the biggest market manipulation scheme in the history of capital markets (we are assuming for the time being that all allegations of the Fed manipulating the broader equity and credit markets are completely baseless). Using the testimony of a clueless Jeffrey Christian, formerly a staffer at the Commodities Research Group in the Goldman Sachs Investment Research Department and now head and founder of the CPM Group, Douglas confirms that the "LBMA trades over 100 times the amount of gold it actually has to back the trades."
Christian, who describes himself as "one of the world’s foremost authorities on the markets for precious metals" yet, in the words of Gary Gensler, said "that the bullion banks had large shorts to hedge themselves selling elsewhere- how do you short something to cover a sale, I didn’t quite follow that?" and proves that current and former Goldman bankers are some of the most arrogant people alive, assuming that everyone else is an idiot and will buy whatever explanation is presented just because the CV says Goldman Sachs. Yet Christian confirms that the gold market is basically a ponzi: "in the “physical market” as the market uses that term, there is much more metal than that…there is a hundred times what there is." And there you have it: as Douglas eloquently summarizes: "the giant Ponzi trading of gold ledger entries can be sustained only if there is never a liquidity crisis in the REAL physical market. If someone asks for gold and there isn’t any the default would trigger the biggest “bank run” and default in history. This is, of course, why the Central Banks lease their gold or sell it outright to the bullion banks when they are squeezed by high demand for REAL physical gold that can not be met from their own stocks" and concludes "Almost every day we hear of a new financial fraud that has been exposed. The gold and silver market fraud is likely to be bigger than all of them. Investors in their droves, who have purchased gold in good faith in “unallocated accounts”, are going to demand delivery of their metal. They will then discover that there is only one ounce for every one hundred ounces claimed. They will find out they are “unsecured creditors”.
For those of you who missed the CFTC hearing, here are two of the must-watch clips. In the first one, Adrian Douglas introduces the underlying concerns about the Ponzi nature of the LBMA hedging situation, in which a wholesale rush to "physical delivery" would result in a one hundred fold dilution of gold holdings, and a 99% result of unsecured creditor claims (good luck collecting on that particular bankruptcy). We also meet Jeffrey Christian, formerly of Goldman and currently of CPM, in which not only does the "expert" state that a bullion bank short is hedged by further shorting, but confirms Douglas' and GATA's previous claims that the "physical" market, as defined, is a joke, as the OTC market treats gold purely as a financial asset, essentially conforming to the precepts of fractional reserve banking. As Douglas notes "He confirms that the LBMA trades hundreds of times the real underlying physical. This is even a higher estimate than I have previously made! It is, as I asserted before the Commission, a giant Ponzi Scheme."
Here is running commentary from Douglas based on a transcript of this part of the hearing:
S. O’MALIA: Both Mr. Organ and Mr. Epstein in the second panel, raised the concerns that short positions exceed the physical supply. The second panel kind of argued that that wasn’t a concern. Are you concerned that the shorts will not be able to deliver if called upon?
J. CHRISTIAN: No. I am not at all concerned. For one thing it has been persistently that way for decades. Another thing is that there are any number of mechanisms allowing for cash settlements and problems and a third thing is as many people who are actually knowledgeable about the silver market and the gold market have testified today that almost all of those short positions are in fact hedges, the short futures positions are hedges, offsetting long positions in the OTC market. So I don’t really see a concern there.
[Note: It is interesting that Mr. Christian is not concerned about the ability of the shorts to deliver because they can cash settle! He clearly has no understanding that when someone wants to buy precious metals giving them cash instead is a failure to deliver. It is a default! But he is not concerned! He says that the short position is actually hedged by a long position on the OTC but we will see later in this testimony how he describes the “OTC Physical Market” and we will see that the long position is not bullion but is in fact an unbacked (or only partially backed) I.O.U. bullion.]
S. O’MALIA: Mr Organ would you like to respond?
H. Organ: I do see a risk on this, and I think it is a risk that we have to be very, very careful of. As countries like China, South Korea and Russia start demanding and taking physical delivery of their gold and moving it offshore to their shores and putting pressure on the Comex, and we will probably come to a point in time where we will have a failure to deliver.
A DOUGLAS: Mr. Chairman, could I make a comment?
CHAIRMAN GENSLER: No! Who are you?
A DOUGLAS: I would…
CHAIRMAN GENSLER: No! I said “No!”
A DOUGLAS: Oh! You said “No”?
CHAIRMAN GENSLER: I don’t know who is this?
A DOUGLAS: I am Adrian Douglas; I am assisting Harvey.
CHAIRMAN GENSLER: Alright, Sir. Yes.
A DOUGLAS: I would just like to make a comment. We are talking about the futures market hedging the physical market. But if we look at the physical market,the LBMA, it trades 20 million ozs of gold per day on a net basis which is 22 billion dollars. That’s 5.4 Trillion dollars per year. That is half the size of the US economy. If you take the gross amount it is about one and a half times the US economy; that is not trading 100% backed metal; it’s trading on a fractional reserve basis. And you can tell that from the LBMA’s website because they trade in “unallocated” accounts. And if you look at their definition of an “unallocated account” they say that you are an “unsecured creditor”. Well, if it’s “unallocated” and you buy one hundred tonnes of gold even if you don’t have the serial numbers you should still have one hundred tonnes of gold, so how can you be an unsecured creditor? Well, that’s because its fractional reserve accounting, and you can’t trade that much gold, it doesn’t exist in the world. So the people who are hedging these positions on the LBMA, it’s essentially paper hedging paper. Bart Chilton uses the expression “Stop the Ponzimonium” and this is a Ponzi Scheme. Because gold is a unique commodity and people have mentioned this, it is left in the vaults and it is not consumed. So this means that most people trust the bullion banks to hold their gold and they trade it on a ledger entry. So one of the issues we have got to address here is the size of the LBMA and the OTC markets because of the positions which are supposedly backing these positions which are hedges, but it is essentially paper backing paper.
[8 seconds of silence]
CHAIRMAN GENSLER: Oh! I guess I get time. Errr…Umm. I don’t have any other questions. Commissioner Dunn.
M. DUNN: I appreciate the difficulty of trying to do this by remote but at the end of your testimony you start talking about bona fide hedge exemptions for commercial traders and must be part of position limits and not to grant hedge exemptions to swap dealers would be devastating for liquidity of exchanges and the price discovery capacity, and we got into who determines what is legitimate, but could you amplify on that a bit and what you see as a danger there?
J. CHRISTIAN: Yes I can amplify on it; but amplify on it a bit is more difficult because it is a very big subject. The first thing is that precious metals, copper, other metals, energy these are all traded internationally and are fungible commodities by and large. There are a lot of strange things that have been misspoken about the difference between the wholesale and the [img][/img]
NYBob
15 years ago
Montanore consider that; the problem for Sunshine Mines operators have been
its pure silver ore and the silver prices been manipulated
down to low prices by the cabals 666banksters gov. -
and its a major reason why Sterling Mining Co. (SRLM)
run into problems and had to
declare chapter 11;
http://en.wikipedia.org/wiki/Sunshine_mine
...if the silver continue the low price the new owners
may run into the problems like Sterling Mining;
http://investorshub.advfn.com/boards/board.aspx?board_id=4821
I have owned shares in Sunshine but prefer;
to be in USSIF -
(e.g., to that US have fair money again and
not feds lavatory counterfeits of fiats) -
compared with e.g.;
The Galena Mines &
U.S. Silver (USSIF)'
the Galena Mine silver is the cream on the cake smile
and the copper and lead is paying most of the cost smile
January 1, 2009 U.S. Silver Ore Reserves and Resources:
good grade of Cu-copper-Ag-silver ore;
Copper-Silver Ore Tons Ag Grade
about Ag 20 (oz/t) Contained Ounces
and about 0.6-0.7 % Cu Contained smile
and
good grade of Pb-Lead-Ag-Silver Ore;
appr. Ag 10 Ounces/t
and
about 10 % Pb Contained smile
www.us-silver.com/s/RandR.asp
43-101 Compliant, Effective March 1, 2009, Coeur Mine Inferred Resource Included
imo. tia.
E.g.,
Former Goldman Commodities Research Analyst Confirms LMBA OTC Gold Market Is "Paper Gold" Ponzi
Tyler Durden's picture
Submitted by Tyler Durden on 03/28/2010 12:47 -0500
http://www.zerohedge.com/article/former-goldman-commodities-research-analyst-confirms-lmba-otc-gold-market-paper-gold-ponzi
LBMA Bullion Market Ponzi Scheme
http://www.youtube.com/watch?v=jok3XLBz_SI&feature=player_embedded
a few....
When we put up a link to last week's CFTC hearing webcast little did we know that it would end up being the veritable (physical) gold mine (no pun intended) of information about what really transpires in the commodities market. First, we obtained direct evidence from Andrew Maguire (who may or may not have been the target of an attempt at "bodily harm" as reported yesterday) of extensive manipulation in the silver market. Today, Adrian Douglas, director of GATA, adds to the mountain of evidence that the commodities market, and the CFTC, stand behind what is potentially the biggest market manipulation scheme in the history of capital markets (we are assuming for the time being that all allegations of the Fed manipulating the broader equity and credit markets are completely baseless). Using the testimony of a clueless Jeffrey Christian, formerly a staffer at the Commodities Research Group in the Goldman Sachs Investment Research Department and now head and founder of the CPM Group, Douglas confirms that the "LBMA trades over 100 times the amount of gold it actually has to back the trades."
Christian, who describes himself as "one of the world’s foremost authorities on the markets for precious metals" yet, in the words of Gary Gensler, said "that the bullion banks had large shorts to hedge themselves selling elsewhere- how do you short something to cover a sale, I didn’t quite follow that?" and proves that current and former Goldman bankers are some of the most arrogant people alive, assuming that everyone else is an idiot and will buy whatever explanation is presented just because the CV says Goldman Sachs. Yet Christian confirms that the gold market is basically a ponzi: "in the “physical market” as the market uses that term, there is much more metal than that…there is a hundred times what there is." And there you have it: as Douglas eloquently summarizes: "the giant Ponzi trading of gold ledger entries can be sustained only if there is never a liquidity crisis in the REAL physical market. If someone asks for gold and there isn’t any the default would trigger the biggest “bank run” and default in history. This is, of course, why the Central Banks lease their gold or sell it outright to the bullion banks when they are squeezed by high demand for REAL physical gold that can not be met from their own stocks" and concludes "Almost every day we hear of a new financial fraud that has been exposed. The gold and silver market fraud is likely to be bigger than all of them. Investors in their droves, who have purchased gold in good faith in “unallocated accounts”, are going to demand delivery of their metal. They will then discover that there is only one ounce for every one hundred ounces claimed. They will find out they are “unsecured creditors”.
For those of you who missed the CFTC hearing, here are two of the must-watch clips. In the first one, Adrian Douglas introduces the underlying concerns about the Ponzi nature of the LBMA hedging situation, in which a wholesale rush to "physical delivery" would result in a one hundred fold dilution of gold holdings, and a 99% result of unsecured creditor claims (good luck collecting on that particular bankruptcy). We also meet Jeffrey Christian, formerly of Goldman and currently of CPM, in which not only does the "expert" state that a bullion bank short is hedged by further shorting, but confirms Douglas' and GATA's previous claims that the "physical" market, as defined, is a joke, as the OTC market treats gold purely as a financial asset, essentially conforming to the precepts of fractional reserve banking. As Douglas notes "He confirms that the LBMA trades hundreds of times the real underlying physical. This is even a higher estimate than I have previously made! It is, as I asserted before the Commission, a giant Ponzi Scheme."
Here is running commentary from Douglas based on a transcript of this part of the hearing:
S. O’MALIA: Both Mr. Organ and Mr. Epstein in the second panel, raised the concerns that short positions exceed the physical supply. The second panel kind of argued that that wasn’t a concern. Are you concerned that the shorts will not be able to deliver if called upon?
J. CHRISTIAN: No. I am not at all concerned. For one thing it has been persistently that way for decades. Another thing is that there are any number of mechanisms allowing for cash settlements and problems and a third thing is as many people who are actually knowledgeable about the silver market and the gold market have testified today that almost all of those short positions are in fact hedges, the short futures positions are hedges, offsetting long positions in the OTC market. So I don’t really see a concern there.
[Note: It is interesting that Mr. Christian is not concerned about the ability of the shorts to deliver because they can cash settle! He clearly has no understanding that when someone wants to buy precious metals giving them cash instead is a failure to deliver. It is a default! But he is not concerned! He says that the short position is actually hedged by a long position on the OTC but we will see later in this testimony how he describes the “OTC Physical Market” and we will see that the long position is not bullion but is in fact an unbacked (or only partially backed) I.O.U. bullion.]
S. O’MALIA: Mr Organ would you like to respond?
H. Organ: I do see a risk on this, and I think it is a risk that we have to be very, very careful of. As countries like China, South Korea and Russia start demanding and taking physical delivery of their gold and moving it offshore to their shores and putting pressure on the Comex, and we will probably come to a point in time where we will have a failure to deliver.
A DOUGLAS: Mr. Chairman, could I make a comment?
CHAIRMAN GENSLER: No! Who are you?
A DOUGLAS: I would…
CHAIRMAN GENSLER: No! I said “No!”
A DOUGLAS: Oh! You said “No”?
CHAIRMAN GENSLER: I don’t know who is this?
A DOUGLAS: I am Adrian Douglas; I am assisting Harvey.
CHAIRMAN GENSLER: Alright, Sir. Yes.
A DOUGLAS: I would just like to make a comment. We are talking about the futures market hedging the physical market. But if we look at the physical market,the LBMA, it trades 20 million ozs of gold per day on a net basis which is 22 billion dollars. That’s 5.4 Trillion dollars per year. That is half the size of the US economy. If you take the gross amount it is about one and a half times the US economy; that is not trading 100% backed metal; it’s trading on a fractional reserve basis. And you can tell that from the LBMA’s website because they trade in “unallocated” accounts. And if you look at their definition of an “unallocated account” they say that you are an “unsecured creditor”. Well, if it’s “unallocated” and you buy one hundred tonnes of gold even if you don’t have the serial numbers you should still have one hundred tonnes of gold, so how can you be an unsecured creditor? Well, that’s because its fractional reserve accounting, and you can’t trade that much gold, it doesn’t exist in the world. So the people who are hedging these positions on the LBMA, it’s essentially paper hedging paper. Bart Chilton uses the expression “Stop the Ponzimonium” and this is a Ponzi Scheme. Because gold is a unique commodity and people have mentioned this, it is left in the vaults and it is not consumed. So this means that most people trust the bullion banks to hold their gold and they trade it on a ledger entry. So one of the issues we have got to address here is the size of the LBMA and the OTC markets because of the positions which are supposedly backing these positions which are hedges, but it is essentially paper backing paper.
[8 seconds of silence]
CHAIRMAN GENSLER: Oh! I guess I get time. Errr…Umm. I don’t have any other questions. Commissioner Dunn.
M. DUNN: I appreciate the difficulty of trying to do this by remote but at the end of your testimony you start talking about bona fide hedge exemptions for commercial traders and must be part of position limits and not to grant hedge exemptions to swap dealers would be devastating for liquidity of exchanges and the price discovery capacity, and we got into who determines what is legitimate, but could you amplify on that a bit and what you see as a danger there?
J. CHRISTIAN: Yes I can amplify on it; but amplify on it a bit is more difficult because it is a very big subject. The first thing is that precious metals, copper, other metals, energy these are all traded internationally and are fungible commodities by and large. There are a lot of strange things that have been misspoken about the difference between the wholesale and the [img][/img]
Montanore
15 years ago
Kootenay Gold looks to improve odds on Sunshine Mine bid through $20 million placement
Friday, March 26, 2010
Kootenay Gold (TSX-V:KTN; OTC:KOOYF) upped the stakes in the battle to control the Sunshine Silver Mine, which is currently in administration and is will soon be sold via an auction to the highest qualified bidder.
The junior gold and silver company is raising $20 million through the issue of 25 million units at 80 cents per unit – a slight premium to the current share price. Each unit will consist of one share and one half warrant with an exercise price of $1.20 and 12 month expiration date.
Kootenay Gold has lined up a syndicate of brokers to complete the placement, headed up by Union Securities.
“The Sunshine Mine has historically been one of the World’s largest producers of Silver by consistently producing 3 to 5 million ounces of Silver per year (7 million ounces in peak years) at a grade of more than 22 ounces per ton,” Kootenay CEO, James McDonald stated this week. “These funds will be used for the proposed acquisition of Sterling Mining Company…in a joint bid with Alberta Star (TSX.V: ASX)…”
Minco Silver, and Canadian mining junior has also tabled an offer for Sterling Mining, which is the owner of the Sunshine Mine. The mine, which is currently on care and maintenance, is one of the largest past producing silver mines in the world, having produced in excess of 360 million ounces since 1904. The mine currently hosts a measured and indicated resource of 31.5 million ounces of silver grading 21.8 ounces per ton, plus a further 231.5 million ounces grading 101.6 ounces per ton in the inferred category.
Closing dates for bidders has been set by the U.S. Bankruptcy Court, District of Idaho for May 14, 2010. In order to bid, interested parties must first submit an application and deposit to become a qualified bidder.
Kooteny Gold recently joined forces with Alberta Star, which had already announced a US$11.75 million offer to acquire Sterling Mining. Minco Silver has filed an offer of US$12.5 million.
www.proactiveinvestors.com/companies/news/5011/kootenay-gold-looks-to-improve-odds-on-sunshine-mine-bid-through-20-million-placement-5011.html
Click here for full analysis of Kootenay Gold, Inc.
http://www.proactiveinvestors.com/companies/sponsors_landing/391/kootenay-gold-inc-0391.html
Montanore
15 years ago
9:07 AM ET, March 22, 2010
Kootenay Gold Inc. ("Kootenay") (TSX.V: KTN) is pleased to announce that Union Securities Ltd. (the "Agent") has agreed to act as lead agent in a syndicate that will conduct a brokered private placement to raise gross proceeds to Kootenay of up to $20,000,000 in preparation for Kootenay's bid to acquire the Sunshine Mine pursuant to a bankruptcy auction to be held on April 21, 2010.
- SYNDICATE: Union Securities Ltd., Canaccord Financial Inc., Haywood Securities Inc., Byron Securities Ltd. - OFFERING: Up to 25 million Subscription Receipts on a best efforts basis ($20,000,000) - PRICE: $0.80 per Unit (ea Unit consisting of 1 share & 1/2 warrant (ea whole warrant exercisable into a common share at $1.20 for a period of 12 months, as described herein) - OVER-ALLOTMENT: Additional $3,000,000 or up to 15% - COMMISSION: 7% Cash; 7% Agent's compensation options - QUALIFICATION: Short Form Prospectus to qualify the Units issuable upon exercise of the Subscription Receipts
Kootenay CEO, James McDonald commented, "The Sunshine Mine has historically been one of the World's largest producers of Silver by consistently producing 3 to 5 million ounces of Silver per year (7 million ounces in peak years) at a grade of more than 22 ounces per ton. These funds will be used for the proposed acquisition (the "Acquisition") of Sterling Mining Company (Sunshine Mine) in a joint bid (the "Joint Bid") with Alberta Star Development Corp. (TSX.V: ASX) to acquire 100% of the shares of Sterling and its assets, and for working capital and Kootenay's general corporate purposes".
THE SUNSHINE MINE
Sterling's "Sunshine Mine" located near Coeur d'Alene, Idaho, USA, has been one of the world's largest producers of silver, having recorded production of over 360 million ounces of silver since 1904. A 2007 Canadian "National Instrument 43-101 - Standards of Disclosure for Mineral Projects" report by Behre Dolbear & Co. estimated remaining resources as follows:
- Measured and Indicated resources of 31.51 million ounces of silver grading 21.8 ounces per ton in 1.43 million tons (diluted grade). - Inferred resources of 231.5 million ounces of silver grading 101.6 ounces per ton silver in 2.28 million tons (undiluted grade).
The report can be found under Sterling's profile with the U.S. Securities and Exchange Commission and available in Canada on SEDAR.
THE BID
The timing of the bid process and a decision of the U.S. Bankruptcy Court, District of Idaho concerning the successful bid are as follows:
(i) February 15, 2010 - "Deadline of Application and Deposit" to become a qualified bidder; (ii) April 19, 2010 - "Deadline for Submission of Bids" by qualified bidders; (iii) April 21, 2010 - "Auction Date"; (iv) May 3, 2010 - "Confirmation Date" - hearing confirming the successful bidder; and (v) May 14, 2010 - "Bid Closing Date" - closing date of the acquisition of Sterling.
Alberta Star announced a US$11.75M offer to acquire Sterling on December 1, 2009. Minco Silver Corporation announced on December 9, 2009 an offer which was filed with the Court to acquire Sterling for US$12.5M. There can be no assurance that the proposed transaction will be completed as proposed or at all. The proposed transaction is an "arm's-length transaction" as defined in TSX Venture Exchange ("TSX-V") Policy 1.1. and remains subject to TSX-V approval.
PRIVATE PLACEMENT
Each Subscription Receipt will entitle the holder to acquire one unit (each a "Unit") of the Company for no additional consideration upon the earlier of (i) five business days after the date of a receipt for a final short form prospectus; or (ii) four months and one day after the Closing Date. Each Unit will consist of one common share ("Common Share") of Kootenay and one-half of one transferable share purchase warrant ("Warrant"). Each whole Warrant will entitle the holder to acquire one common share of the Company at an exercise price of $1.20 for a period of 12 months from the date of the Court's acceptance of the Joint Bid. In the event that the Joint Bid is successful, and the Company fails to obtain a receipt for a final prospectus within 45 days of the Court's acceptance of the Joint Bid, each Subscription receipt will entitle the holder to acquire 1.10 common shares and 0.55 Warrants. The Offering is scheduled to close on or about April 15, 2010 and is subject to certain conditions including, but not limited to the receipt of all necessary approvals including the approval of the TSX-V.
Upon the closing of the Offering, the gross proceeds of the Offering will be placed into escrow, with an independent escrow agent, pending acceptance of the Joint Bid by the Court. Upon acceptance of the Joint Bid, the net proceeds of the Offering will be released to the Company. In the event that the Joint Bid is unsuccessful, the gross proceeds of the Offering and accrued interest thereon will be returned by the escrow agent to the investors. In the event that the Joint Bid is successful, the completion of the Acquisition is subject to regulatory approval.
As consideration for the services provided to the Company by the Agent under the Offering, Kootenay has agreed to pay to the Agent a cash commission of 7 per cent of the total raised under the Offering, and will issue to the Agent such number of Agent's compensation options as is equal to 7 per cent of the Subscription Receipts issued pursuant to this Offering. Each Agent's compensation option will entitle the Agents to acquire one Unit at an exercise price of $0.80 per Unit expiring 12 months after the date of the Court's acceptance of the Joint Bid. The net proceeds from the Offering will be used for the acquisition of Sterling Mining Company (Sunshine Mine), and for working capital and general corporate purposes of the Company.
The securities to be issued under the Offering will be offered in Canada by way of private placement exemptions, and offshore pursuant to applicable exemptions, and in the United States on a private placement basis pursuant to exemptions from the registration requirements of the United States Securities Act of 1933, as amended (the "U.S. Securities Act") and applicable state securities laws.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any securities in the United States. The securities have not been and will not be registered under the U.S. Securities Act or any state securities laws and may not be offered or sold within the United States or to or for the account or benefit of U.S. persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
The foregoing geological disclosure has been reviewed and verified by Kootenay's President and Chief Executive Officer, James McDonald, P.Geo (a qualified person for the purpose of National Instrument 43-101, Standards of Disclosure for Mineral Projects). Mr. McDonald is a director of the Company.
ABOUT KOOTENAY
In addition to the Sunshine Mine bid, Kootenay is developing the former producing Promontorio Silver Mine in Sonora State, Mexico. Significant intercepts include KP-25 with 386.64 meters of 46.15 g/t silver, 0.44 g/t gold & 1.54% lead/zinc -- including 97.67 meters of 100.4 g/t silver, 0.77 g/t gold & 3.24% lead/zinc. Intercepts encountered in KP 25 are associated with sulfides hosted in breccias and stockwork veining (see new Feb 5, 2009 news release). Since 2006, Kootenay has systematically advanced the Promontorio Silver Project with a 3D Induced Polarization Study, an Electromagnetic Airborne Study, Surface Sampling, Satellite Imagery, Trenching, Sampling, Mapping and more than 20,000 metres of Diamond Core Drilling. In addition, Kootenay has a portfolio of mineral projects in Sonora, Mexico and in British Columbia, Canada.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or the accuracy of this release.
Cautionary Note: The Securities and Exchange Commission's mining guidelines strictly prohibit information of this type in documents filed with the Securities and Exchange Commission. Mineral deposits on adjacent properties are not indicative of mineral deposits on our properties.
This news release may contain forward-looking statements including but not limited to comments regarding the completion of the Offering, the completion of the Acquisition, the filing of a final short form prospectus, the acceptance by regulatory authorities to the Acquisition, the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.
SOURCE: Kootenay Gold Inc.
James McDonald, CEO and President at (403) 238-6986; or Ken Berry, Chairman at (604)601-5652, 1-888-601-5650, www.kootenaygold.ca
NYBob
15 years ago
Judge delays Sterling Mining auction: Company controls lease of Sunshine Mine
Posted on: Tue, 02 Feb 2010 22:46:42 EST
http://www.tradingmarkets.com/news/stock-alert/srlmq_judge-delays-sterling-mining-auction-company-controls-lease-of-sunshine-mine-748185.html
Feb 02, 2010 (The Spokesman-Review - McClatchy-Tribune Information Services via COMTEX) --
A federal bankruptcy judge has given Sterling Mining Co. another four months before the company, which controls the lease of the historic Sunshine Mine near Kellogg, is auctioned off.
The sale was scheduled for this week, but Judge Terry Myers agreed Tuesday to give Sterling until June 4 to file a plan of reorganization.
Sterling asked the judge for an extension to learn how much it owes
to the Coeur d'Alene Tribe and the U.S.
Environmental Protection Agency in royalties and penalties.
According to court documents, Sterling must pay a yet-to-be
determined penalty on $382,000 in past-due smelter royalties
from the underground silver mine.
The tribe and EPA each submitted claims for $1.8 million to
the Bankruptcy Court.
Sterling officials are disputing that amount.
A three-day court hearing on the claims is set to begin March 10
in Boise.
Two Canadian mining companies have submitted bids for Sterling,
whose primary asset is the lease of the Sunshine Mine.
Sterling reopened the closed mine but filed for bankruptcy
shortly afterward.
The 125-year-old mine is a storied part of Idaho's past, producing more than 360 million ounces of silver.
It was the site of one of the nation's deadliest hard-rock mine disasters. Ninety-one miners perished during the 1972 Sunshine Mine fire.
Minco Silver Corp., of Vancouver, B.C., which is one of Sterling's debtors, submitted a $12.5 million bid for the company. The Bankruptcy Court also received an $11.75 million bid from Alberta Star, another Canadian company.
To see more of The Spokesman-Review, or to subscribe to the newspaper, go to
http://www.spokesman.com. Copyright (c) 2010, The Spokesman-Review, Spokane,
Wash. Distributed by McClatchy-Tribune Information Services. For reprints, email
tmsreprints@permissionsgroup.com, call 800-374-7985 or 847-635-6550, send a fax
to 847-635-6968, or write to The Permissions Group Inc., 1247 Milwaukee Ave.,
Suite 303, Glenview, IL 60025, USA.
For full details on (SRLMQ) SRLMQ. (SRLMQ) has Short Term PowerRatings at TradingMarkets. Details on (SRLMQ) Short Term PowerRatings is available at This Link.
NYBob
15 years ago
Montanore, well Sterling may still have some time to negotiate
with the creditors, if the Chapter 11 is in power;
RE:
Sterling Mining To Voluntarily File For Bankruptcy Protection
Coeur d'Alene, Idaho --
March 2, 2009,
Sterling Mining Company (OTCB:SRLM) today announced that the Company intends to file a voluntary petition under the provisions of Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court, Coeur d'Alene, Idaho. The Company believes the filing will occur by the close of business on March 3rd, 2009.???
Sterling Mining Company has taken these actions after determining that seeking Chapter 11 bankruptcy protection is in the best interests of the Company, its creditors, stockholders and other interested parties in light of ongoing financial challenges and the inability to adequately fund operations and obligations. The Company will be debtor-in-possession under the jurisdiction of the Bankruptcy Court and in accordance with the applicable provisions of the Code and orders of the Court.
Its some bidders who want to take over Sterling Mining -
E.g.,
Minco Silver Corporation
December 09, 2009
Minco Silver Makes a Firm Offer to Acquire Sterling Mining Company
Minco Silver Corporation (the "Company" or "Minco Silver") (TSX: MSV)
is pleased to announce that the Company has made a firm offer of USD$12,500,000 to acquire a 100% interest in Sterling Mining Company ("Sterling").
On December 2, 2009 Sterling filed with the United States Bankruptcy Court in the District of Idaho (the "Court") a disclosure statement providing information concerning Sterling's proposed plan of reorganization indicating that Minco Silver's offer is the best offer.
Pursuant to the provisions of Sterling's plan of reorganization Minco Silver will credit bid the full amount of its' secured claim estimated at USD$9,400,000, with the balance (approximately USD$3,100,000) paid in cash.
Minco Silver continues to fund Sterling's expenses associated with the care and maintenance of the Sunshine Mine and all of its' administrative costs pursuant to the terms and conditions of the Court approved Supplemental Post Petition Secured Financing Agreement.
About Minco Silver
Minco Silver Corporation (TSX: MSV) is a TSX listed company focusing on the acquisition and development of silver dominant projects. The Company owns 90% interest in the world class Fuwan Silver Deposit, situated along the northeast margin of the highly prospective Fuwan Silver Belt. Minco Silver is extremely pleased with the positive results of its Bankable Feasibility Study demonstrating a robust deposit is and is working towards bringing the Fuwan Silver Deposit into production. For more information on Minco Silver, please visit the website at www.mincosilver.ca
or contact Ute Koessler at 1-888-288-8288 or (604) 688-8002 ir@mincosilver.ca.
ON BEHALF OF THE BOARD
"Dr. Ken Z. Cai"
Chairman & CEO
NYBob
15 years ago
Sterling Mining To Voluntarily File For Bankruptcy Protection
Coeur d'Alene, Idaho -- March 2, 2009, Sterling Mining Company (OTCB:SRLM) today announced that the Company intends to file a voluntary petition under the provisions of Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court, Coeur d'Alene, Idaho. The Company believes the filing will occur by the close of business on March 3rd, 2009.
Sterling Mining Company has taken these actions after determining that seeking Chapter 11 bankruptcy protection is in the best interests of the Company, its creditors, stockholders and other interested parties in light of ongoing financial challenges and the inability to adequately fund operations and obligations. The Company will be debtor-in-possession under the jurisdiction of the Bankruptcy Court and in accordance with the applicable provisions of the Code and orders of the Court.
Roger Van Voorhees, who was recently appointed as President, said, "Unfortunately, the burden of Sterling's debt coupled with recent legal actions against the Company, have limited our ability to restructure using out-of-court vehicles, leaving us with no alternative other than the actions announced today."
Sterling Mining Company has retained Elsaesser Jarzabek Anderson Marks Elliott & McHugh as bankruptcy counsel.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
http://www.sterlingmining.com/s/NewsReleases.asp?ReportID=340207&_Type=News-Releases&_Title=Sterling-Mining-To-Voluntarily-File-For-Bankruptcy-Protection
TraderRich
15 years ago
March 10, 2010
ALBERTA STAR ANNOUNCES 5:1 CONSOLIDATION OF COMMON SHARES
Alberta Star Development Corp., (the "Company") listed on the TSX Venture Exchange (ASX), on the OTCBB (ASXSF) and on the Frankfurt Exchange (QLD), is pleased to announce that at its annual and special meeting (the "Meeting") of shareholders held on February 8, 2010, shareholders approved a special resolution to consolidate (the "Consolidation") its issued and outstanding common shares ("Common Shares") at a ratio (the "Ratio") of one (1) new Common Share for up to every five (5) outstanding Common Shares. The 5:1 Ratio has been approved by the Board of Directors after the Meeting. No name change or change of trading symbol will be undertaken in connection with the Consolidation.
The Company's consolidated Common Shares will begin trading on the TSX Venture Exchange under the symbol "ASX" effective as of the opening of trading on March 11, 2010. Currently, there are 107,019,894 Common Shares outstanding. Following the Consolidation there will be approximately 21,403,979 Common Shares outstanding. Any fractional Common Shares resulting from the Consolidation will be cancelled.
The Board of Directors of the Company has concluded that the Consolidation is in the best interests of the shareholders and that the Consolidation will have no substantive economic effect on the shareholders, whose ownership percentage in the Company will remain unchanged. The Consolidation is expected to lead to increased interest to a wider audience of potential investors and would better position the Company to broaden its financing alternatives and pursue acquisition opportunities.
The Company is a Canadian mineral exploration company that identifies, acquires and finances advanced stage mineral exploration projects in North America. The Company is committed to creating long term shareholder value through the discovery of base and precious metals. The Company's Common Shares trade on the TSX Venture Exchange under the symbol "ASX".
INVESTOR RELATIONS
Investors are welcomed to contact Benjamin Curry or Andrew Mugridge of Progressive I.R. Consultants Corp. at (604) 689-2881, the Company's Investor Relations specialists for all corporate updates, and investor inquiries, or Morgan Brewster, Corporate Development of the Company at (778) 989-2739 or mbrewster@alberta-star.com.
FOR FURTHER INFORMATION, PLEASE CONTACT:
Tim Coupland, President and CEO
Alberta Star Development Corp.
Tel 604.681.3131 Fax 604.408.3884
www.alberta-star.com
Forward-Looking Statements
In the interest of providing the Company's shareholders and potential investors with information regarding the Company, including managements' assessment of the future plans and operations of the Company, certain statements contained in this document constitute forward-looking statements or information (collectively "forward-looking statements") within the meaning of applicable securities legislation. Forward-looking statements are typically identified by words such as "anticipate", "continue", "estimate", "expect", "forecast", "may", "will", "project", "could", "plan", "intend", "should", "believe", "outlook", "potential", "target" and similar words suggesting future events or future performance. In addition, statements relating to "resources" are deemed to be forward-looking statements as they involve the implied assessment, based on certain estimates and assumptions, that the resources described exist in the quantities predicted or estimated and can be profitably produced in the future. In particular, this document contains, without limitation, forward-looking statements pertaining to the following: expectations of management regarding the proposed Consolidation, including the timing of completion of the Consolidation and the effect of the Consolidation on the Company's operations.
With respect to forward-looking statements contained in this document, we have made assumptions regarding, among other things: future capital expenditure levels; future silver and base and precious metals prices and future silver and base and precious metal production levels; future exchange rates and interest rates; our ability to obtain equipment other resources in a timely manner to carry out development activities; our ability to market our silver and base and precious metals successfully to current and new customers; the impact of increasing competition; our ability to obtain financing on acceptable terms; our ability to attract new senior management and board members; and our ability to add production and resources through our development and exploitation activities. Although the Company believes that the expectations reflected in the forward-looking statements contained in this document, and the assumptions on which such forward-looking statements are made, are reasonable, there can be no assurance that such expectations will prove to be correct. Readers are cautioned not to place undue reliance on forward-looking statements included in this document, as there can be no assurance that the plans, intentions or expectations upon which the forward-looking statements are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties that contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will not occur, which may cause the Company's actual performance and financial results in future periods to differ materially from any estimates or projections of future performance or results expressed or implied by such forward-looking statements. These risks and uncertainties include, among other things, the following: that the failure of the Company to obtain the necessary Exchange, regulatory and other third party approvals required in order to proceed with the proposed Consolidation and the other factors described under "Risk Factors" in the Company's annual reports and Form 20-F available in Canada at www.sedar.com, as well as on file with the U.S. Securities and Exchange Commission. Readers are cautioned that this list of risk factors should not be construed as exhaustive.
The forward-looking statements contained in this document speak only as of the date of this document. Except as expressly required by applicable securities laws, the Company does not undertake any obligation to publicly update or revise any forward looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this document are expressly qualified by this cautionary statement.
Statements contained in this news release relating to future results, events, and expectations are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements involve known and unknown risks, uncertainties, scheduling, re-scheduling, and other factors which may cause the actual results, performance, estimates, projections, resource potential, interpretations, prognoses, schedules, or achievements of the Company, or industry results, to be materially different from any future results, performance, or achievements expressed or implied by such statements. Such factors include, among others, those described in the Company' annual reports on Form 20-F on file with the U.S. Securities and Exchange Commission and available in Canada at www.sedar.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as the term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
You can view the Previous News Releases item: Mon Mar 8, 2010, KOOTENAY GOLD JOINS ALBERTA STAR'S BID TO ACQUIRE ONE OF THE WORLDS LARGEST PRODUCERS OF SILVER-THE STERLING MINING COMPANY & THE SUNSHINE SILVER MINE
Montanore
15 years ago
Kootenay Gold Joins Alberta Star's Bid to Acquire One of the Worlds Largest Producers of Silver-the Sterling Mining Company & the Sunshine Silver Mine
March 8, 2010
(Source: MARKETWIRE)Alberta Star Development Corp. (the "Company") (TSX VENTURE: ASX)(OTCBB: ASXSF)(FRANKFURT: QLD) is pleased to announce that has entered into a letter agreement with Kootenay Gold Inc. ("Kootenay"), whereby the Company and Kootenay have agreed to cooperate in a joint bid to acquire a 100% interest in Sterling Mining Company ("Sterling") and its assets, and provide for financing of Sterling's continuing operations and development. The Company is a "qualified bidder" under the Sterling plan of reorganization.
STERLING MINING COMPANY-THE SUNSHINE MINE
Sterling's "Sunshine Mine" located near Coeur d'Alene, Idaho, USA, has been one of the world's largest producers of silver, having recorded production of over 360 million ounces of silver since 1904. A 2007 Canadian "National Instrument 43-101- Standards of Disclosure for Mineral Projects" report (the "Report") by Behre Dolbear & Company estimated remaining resources as follows:
-- Measured and Indicated resources of 31.51 million ounces of silver in
1.43 million tonnes at 21.8 ounces of silver per tonne
-- Inferred resources of 231.5 million ounces of silver in 2.28 million
tons at 101.6 ounces of silver per tonne.
A qualified person has not done sufficient work to classify the historical estimate as current mineral resources, the issuer is not treating the historical estimate as current mineral resources and the historical estimate should not be relied upon. The Report can be found under Sterling's profile with the U.S. Securities and Exchange Commission and available in Canada at www.sedar.com.
Sterling is currently a debtor-in-possession in Chapter 11 Bankruptcy in the District of Idaho, U.S.A. Sterling is engaged in the business of acquiring, exploring, developing and mining mineral properties primarily those containing silver and associated base and precious metals. Sterling operates the Sunshine Silver Mine in Idaho and has exploration projects in Idaho, U.S.A. Sterling was incorporated under the laws of the State of Idaho on February 3, 1903 and its common shares are currently listed on the (OTCBB: SRLMQ).
THE GROUP-ALBERTA STAR & KOOTENAY GOLD
Alberta Star and Kootenay both maintain strong balance sheets, maintain seasoned and qualified management in both exploration & underground mining. Both companies are seeking to fulfill their stated mandates of creating long term shareholder value through the discovery of base and precious metals and by acquiring additional world class, advanced stage exploration and production projects.
Montanore
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TERMS OF ACQUISITION OF STERLING AND CHAPTER 11 PLAN
As previously announced by the Company (refer to the Company's press release of June 10, 2009), the Company filed a "Notice of Appearance and Request for Special Notice" with the United States Bankruptcy Court for the District of Idaho, U.S.A. (the "Court") regarding Sterling and subsequently executed a Binding Term Sheet which is superseded by the acquisition agreement (the "Agreement") dated November 17, 2009 between the Company and Sterling. Pursuant to the Agreement, the Company has agreed to acquire up to 100% interest in Sterling and its assets and provide for financing of Sterling's ongoing operations. The Agreement contains a number of conditions precedent to the obligations of the parties. Unless all of such conditions are satisfied or waived by the party for whose benefit such conditions exist, to the extent that they may be capable of waiver, the proposed transaction will not proceed. There is no assurance that the conditions will be satisfied or waived on a timely basis, or at all. Such conditions include: an order ("Order") of the Court approving a Plan of Reorganization of Sterling (the "Plan of Reorganization"); all claims of all the creditors of Sterling are paid, satisfied, settled or compromised under the Plan of Reorganization and that all other consents and approvals, including regulatory approvals, are obtained. The proposed transaction has not been approved by the TSX Venture Exchange (the "Exchange") and remains subject to Exchange approval.
There can be no assurance that the proposed transaction will be completed as proposed or at all. The proposed transaction is an "arms length transaction" as defined in Exchange Policy 1.1.
Sterling has filed its Second Amended Disclosure Statement ("Disclosure Statement") in the bankruptcy proceedings. The Disclosure Statement has been approved by the Court and contains a Plan of Reorganization for Sterling. The Sterling Plan of Reorganization proposes a bidding process for 100% of the issued and outstanding common stock of Sterling entitling the purchaser to all assets of Sterling. The key dates for the sale process are as follows:
February 15, 2010 Due date for deposits and qualification of bidders
March 31, 2010, 5:00pm Due date for bids
April 5, 2010, 8:00am Auction
April 6, 2010, 9:30am Plan confirmation hearing and sale approval hearing
April 15, 2010 Sale closing date
The Sterling Plan of Reorganzation sets forth specific bidding procedures and processes which must be followed. The Sterling Plan of Reorganization and the Disclosure Statement are available at (a) the Clerk's Office of the U.S. Bankruptcy Court for the District of Idaho, located at 6450 N. Mineral Dr., Couer d'Alene, ID 83815; or (b) online at https://ecf.idb.uscourts.gov/cgi-bin/login.pl (a fee-based registration is required to access the information on this website).
The Company is a "qualified bidder" under the Sterling Plan of Reorganization and the Company intends, subject to Court and Exchange approval, and being the highest bidder to acquire not less than 100% of the outstanding Sterling shares, and for Sterling to exit the Chapter 11 process with the following assets in place: its interest in the Sunshine Silver Mine, facilities, Sunshine Silver Mine lease, and exploration interest in the Sterling exploration projects in Idaho. In addition, the Company upon meeting of the above referenced conditions, including the confirmation of a Plan of Reorganization, will reconstitute the Sterling Board of Directors and make additions to senior management of Sterling.
The Company believes that the proposed acquisition of Sterling represents a significant opportunity for the Company to become a near-term, mid-tier silver producer.
The Company maintains a strong balance sheet and has no long term debt. The Company continues to maintain seasoned and qualified management and seeks to fulfill its stated mandate of acquiring a world class advanced stage exploration and production projects.
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