start here

start here

The Daily IKN email digest, get all daily posts sent to you next day (& no ads)

I say things on Twitter

4/21/18

BREAKING: Tahoe Resources (TAHO) (THO.to) La Arena shut down due to employee strike action (UPDATED=

As from just a couple of hours ago (Saturday April 21st), the La Arena gold mine in La Libertad owned by Tahoe Resources (TAHO) (THO.to) has been shut down, due to a general and indefinite strike by its workforce. Here's a photo from the scene as the strike began:


The strike has been called on a straw breaking camel's back decision. The long-term indifference and arrogance of management toward its workforce is not going to be taken by them any longer, we understand. For more information, please do not hesitate to contact Edie Hofmeister.

UPDATE: This link to a local media channel states that the workers are striking because TAHO has not yet paid them the statutory workers' profit participation bonus for 2017 and the end of abusive practices of management toward them. They demand the presence of General Manager Phil Drake and will continue the strike action until their demands are met. We also hear that the strike action started with a smaller contingent of workers yesterday Friday afternoon, but then became a general strike when the strikers were threatened with immediate dismissal. Here's another photo:


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

...in reverse order:

Third Place: "Pretium (PVG): Aaaaaaaaaaand it's gone". It's going to be really interesting to see how PVG prepares the market for the inevitable equity raise.

Second Place: "The 2018 World Silver Survey has a hidden bullish signal for the metal". Plenty more on the subject of silver in this weekend's edition of The IKN Weekly.
 
First Place: "Evrim Resources (EVM.v): In praise of Joe Mazumdar and Exploration Insights". It's suddenly a hot stock, which means a post with its name in it is always going to get plenty of clicks (even though I don't own it and have never covered it personally...still true today). It's also been interesting to see all the newsletter and investment community whores line up and tell the world they were first, they called EVM before the rest, me me me me!, look how wonderful (etc). Here's a fact: Brent Cook and Joe Mazumdar have been reco'ing Evrim since 2015, Joe made it not simply a reco but a Top Pick for 2018. That's the difference between the also-rans and the real brains in the mining commentary world so be in no doubt, Exploration Insights really is the best junior mining newsletter out there. Period.

4/20/18

It's a late Friday NR special: Agnico (AEM) dumps Belo Sun (BSX.to)

Here's the NR, here's the pay dirt:

TORONTO, April 20, 2018 /CNW/ - Agnico Eagle Mines Limited (NYSE: AEM, TSX: AEM) ("Agnico Eagle" or the "Company") announced today that it has disposed of 44,551,000 common shares of Belo Sun Mining Corp. ("Belo Sun") in a pre-arranged trade executed through the facilities of the Toronto Stock Exchange (the "TSX").  The sale price was C$0.335 per common share (the 30-day volume weighted average price of the common shares of Belo Sun on the TSX at the time of the trade), for aggregate proceeds of C$14,924,585.
The Company reviews its portfolio of equity investments in junior mining companies on an ongoing basis.  The Company completed the disposition in order to monetize a non-core asset held in its portfolio.
Immediately prior to the disposition, Agnico Eagle owned 89,102,760 common shares of Belo Sun, representing approximately 19.14% of the issued and outstanding common shares of Belo Sun on a non-diluted basis.  Following the disposition, Agnico Eagle owns 44,551,760 common shares of Belo Sun, representing approximately 9.57% of the issued and outstanding common shares of Belo Sun on a non-diluted basis.

Ottotrans: AEM ran out of patience. That takes AEM's holding in BSX to under 10%, which means that from now on if the block buyer doesn't take the rest in the next two months they'll dump the rest into the market without having to tell anyone.

PS: Back in December 2017 in the subscriber-only IKN Weekly edition IKN446, while commenting on the latest round of negative news for BSX, we ran the calc on the cost average for AEM on BSX.to shares. It went like this:

Here’s how AEM has bought into BSX, three trades between 2015 and 2016:

  • 62.5m shares bought at 24c
  • 11.68m shares bought at 53c
  • 15.42m shares bought at 97c per share
That first move at the market bottom was a good entry point, since then they’ve topped up twice and in total have spent CAD$36.15m spent for 89.6m shares, an average of 40.3c per share.


So AEM is taking a small loss on exit. No biggie though.

That "up on a down day" feeling

Don't say you weren't warned.


The Friday OT: Mendelssohn Violin Concerto in E Minor (Opus 64)

I got reminded of this piece by twitterpal sez me man earlier in the week. One of those moments when just one semi-random comment from one person will zoom you back into your past, way back when I lost count of the number of times I listened to this on an old cassette Walkman. This version has Hilary Hahn on lead fiddle with the Frankfurt Radio Symphony Orchestra behind and is an intense experience, especially the famous last movement.



Minera IRL (MIRL.cse) mailbag

On the back of this NR out of Minera IRL today...

LIMA, Peru, April 20, 2018 (GLOBE NEWSWIRE) -- Minera IRL Limited ("Minera IRL" or the "Company"), (BVL:MIRL) (CSE:MIRL), the Latin America gold mining company, is pleased to provide an update on the COFIDE arbitration pending before the Chamber of Commerce of Lima, a program at its Corihuarmi mine initiated in an effort to minimize production costs, and the status of the new technical report being prepared by Mining Plus.
In the arbitration, the Company has filed its statement of claim on February 28 and the Arbitral Tribunal is currently waiting on Corporación Financiera de Desarrollo S.A. ("COFIDE") to present its response.  In the interim, the Arbitral Tribunal has ordered that the protective order obtained from the Superior Court of Justice of Lima preventing COFIDE from collecting the US$ 70 million Bridge Loan debt or executing on its payment guarantees, will be extended until the arbitration is concluded.
At Corihuarmi, the Company has initiated a review of its metallurgy, hauling and blasting processes in an effort to improve recovery levels and reduce production costs. The Company has also begun to explore areas near Corihuarmi in an effort to identify new mineralization.
Meanwhile, Mining Plus continues to work towards completing its new National Instrument 43-101 compliant technical report to replace the report prepared by Andean Consulting Group SAC filed on the Company's SEDAR profile on October 2, 2017. Mining Plus has advised that the underlying geological model and the modifying factors have not changed from the previous model and that it expects to complete the report before the end of April, 2018, on schedule. Mining Plus estimates that the mine will continue producing until 2020, which is in-line with previous estimates.

...your humble scribe receives a mail from A. Reader who asks:

"And does COFIDE have a time constraint/deadline by which to submit response?"

It's a good question. So I found out. It's end of June latest.

Don't believe everything you read in GMO

From Global Mining Observer yesterday:



From Goldcorp (GG) AIF, out March 23rd 2018:


So, 2.35m oz gold, 237.53m oz Ag, large amounts of Zn and Pb. If you're going to write asslicking pump pieces on mining companies you have to get your basic facts right, else look really dumbass Alex. And by the way, it's "Peñasquito" with and enye (Ñ), not Penasquito, basic spelling helps too. If you don't believe me, try wishing a Spanish speaker "feliz ano nuevo".

UPDATE: Precisely, Mr. Black:


We like Twitter.



 

4/19/18

Zinc One (Z.v) files a 44-101 short form prospectus

Do not say you were not warned by this humble corner of cyberspace. On SEDAR tonight:

APPENDIX A - NOTICE DECLARING INTENTION TO BE QUALIFIED UNDER NATIONAL INSTRUMENT 44-101 SHORT FORM PROSPECTUS DISTRIBUTIONS
(“NI 44-101”)
April 19, 2018
TO: BRITISH COLUMBIA SECURITIES COMMISSION
AND TO: ALBERTA SECURITIES COMMISSION
ZINC ONE RESOURCES INC. (the “Issuer”) intends to be qualified to file a short form prospectus under NI 44-101. The Issuer acknowledges that it must satisfy all applicable qualification criteria prior to filing a preliminary short form prospectus. This notice does not evidence the Issuer’s intent to file a short form prospectus, to enter into any particular financing or transaction or to become a reporting issuer in any jurisdiction. This notice will remain in effect until withdrawn by the Issuer.
ZINC ONE RESOURCES INC.
“James Walchuck”
______________________
James Walchuck,
Chief Executive Officer


As they're going the 44-101 route it means that main player Elefterios Aligizakis, along with stooges Neumeyer and Ameduri, will be able to dump their paper immediately into the inevitable pump.

Glance Technologies (GET.cse): When a proxy slate battle turns into pure comedy gold

Before serving up the links, please be clear that this humble corner of cyberspace has no dog in this fight. In fact, your humble scribe only found out that this company exists this morning so no share position here and no worries about how the proxy battle turns out, either. 

With that said, be aware that GET board of director member, one Penny Green, is heading a dissident slate and is looking to wrest control from the current board and officers. To that end, she has nominated a new slate to be considered by shareholders at the upcoming AGM. Therefore please take time and check out the following:
1) The GET NR dated April 12th that focuses on John LoGiudice, one of Ms. Green’s dissident nominees for the Glance Board of Directors.

2) The GET NR dated April 18th that focuses on Penny Green herself.

3) The GET NR dated April 19th that focuses on Hugo Kotar, another of the dissident nominees.
These three NRs are absolute comedy gold for connoisseurs of the Canadian Cap Mkts scene. I sincerely thank reader A. Person for bringing them to my attention, I've been wetting myself laughing all morning.

UPDATE: Reader 'T' adds:

RE:Glance

I think you are missing the best part. Penny's sister is the CTO and the brother-in-law is the CEO. Talk about airing the family laundry for everyone to see!

All the evidence you'll ever need that Asanko Gold (AKG) is headed higher

Even after a dog's breakfast of a Q1 production announcement, AKG stock moves up on the day:


Right on schedule, this is a market saying, "We don't care any more, Gold Fields is taking away the debt and it's still going to produce 200k oz Au this year....optionality! Buy!". Also, as a more badly run gold miner is difficult to find, when GFI brings in its adult supervision it cannot get any  worse and will likely improve. This U$1.05/U$1.07 level is resistance, when it breaks AKG is going back to book value (around U$1.40) and Gold Fields gets its round of applause.

Disclosure: I'm long AKG since 93c a couple of weeks ago. Took on the trade specifically because of this as it's working as planned this shameless auto-pump post exists. Live with it.

Asanko Gold (AKG) 1q18 production

NR here. Well, this looks profitable:

 
Why is Peter Breese still CEO? Asking Gold Fields, asking anyone with a brain.

First Majestic (FR.to) (AG) puts in a stinker of a Q1

Right here, YoY drops everywhere you look. And have you noticed how all that "The Purest Silver Play Out There" talk has quietly slipped off the table? Nowadays less than 56% of its production comes from the metal in the corporate title.