Goldtent TA Paradise

CANAMEX

1. Fullgoldcrown says:

   January 28, 2020 - 9:14 am at 9:14 am

   Thanks Dave

   Certainly an optimistic News Release.

   Looks like they will build a mine .

   Now to get the stock trading again

2. Bikoo99 says:

   January 28, 2020 - 9:14 am at 9:14 am

   I have been student of Spock. This is the great deal making. Compare this with recent two other companies: Azumah and San Gold (SAN.v)

   Out side private companies noticed the value in their property and out right buyout. Both of them sold the properties and left the original investors hanging.

   Great news. thanks for sharing.

3. Jonno says:

   January 28, 2020 - 9:26 am at 9:26 am

   Canamex is fully funded now to build a mine.

   But is anyone noticing too that Canamex gets a 9.9% stake in the company that is funding them plus future financing solution already in place – a very good deal …

4. Northstar says:

   January 28, 2020 - 10:27 am at 10:27 am

   After taking out a Spock subscription, this was one of the companies I bought. It needs to go up almost 1000% to get my money back unfortunately. On the upside, it taught me some valuable lessons.

   • Karl says:

     January 28, 2020 - 2:12 pm at 2:12 pm

     I could write some strong things for and against Spock. I have written some of them already but have for the most part held back.

     On Canamex itself I have not lost anything like 1000%. Its high in US currency was something like 25 cents in 2016. Today so far it is down a little but over 2 US cents.

     One or two of the Spock suggestions have done well and may do even better in the future. I would not have known about it w/o my subscription. If I had more cash I might buy even more.

     I was given a hard time when I last made some of my sharper criticisms, which were not as tough as they could have been.

     It has been quite an experience. I will say that. I wish there were a better outlet to compare and contrast various subscription services.

5. Alex33 says:

   January 28, 2020 - 11:17 am at 11:17 am

   12.5% NSR over the Project. never seen such a bad deal for shareholders.

   • Fullgoldcrown says:

     January 28, 2020 - 2:30 pm at 2:30 pm

     What is NSR ?

     • Alex33 says:

       January 28, 2020 - 2:55 pm at 2:55 pm

       NSR is the royalty miners give away to royalty companies or financing institutions when they sell a royalty. Typically, the standard NSR agreement runs between 2 percent and 5 percent, meaning a mine operator is obligated to pay 2 percent to 5 percent of the net smelter return to the royalty holder. Anything above 6/7%% is killing the ability to book profits for the mining company. Management should be fired. 12.5% means that at current pricing Canamex has to pay almost 200$/ounce to the royalty holder when going into production. Assuming an AISC of 1000$, this means company will hardly be profitable.

     • Jonno says:

       January 28, 2020 - 2:56 pm at 2:56 pm

       Net Smelter Return

       As for whether 12.5% NSR is good or bad is academic anyway as this is only applicable under certain conditions: “The Buyer will not enforce payments against the Royalty, provided that the terms of the Agreement relating to the delivery of gold purchased under the Agreement are being met by the Supplier.”

       Furthermore Canamex will own almost 10% of the Buyer that is financing the deal so any money parted is coming back to Canamex anyway

6. Jonno says:

   January 28, 2020 - 3:03 pm at 3:03 pm

   And forward sale linked to NSR is maxxed to 50,000oz only. This is just a little over 10% of resource and they get upfront $35M There is still another 340Moz in ground excluding future resource upgrades

   • Alex33 says:

     January 28, 2020 - 3:09 pm at 3:09 pm

     50.000 is 12.5% of 400.000 ounces so company giving away 12.5% of future ounces

   • Fullgoldcrown says:

     January 28, 2020 - 3:23 pm at 3:23 pm

     Thanks Jonno. Very good information and reading of this complex deal

     Looks like the 10% share in the Royalty Company offsets and loss on the sale of the gold.

     And as you say…they will have $35,000,000 to finance the project…with No Dilution.

     Looks good from that perspective

7. Karl says:

   January 28, 2020 - 3:21 pm at 3:21 pm

   As of about 3:10 pm Eastern Time NAmerica, 10,000 shares of CNMXF had traded — now up to US$0.03! The total value of those shares by my calculations = US$300.00. Woo-hoo!!

   • Karl says:

     January 28, 2020 - 3:21 pm at 3:21 pm

     And on a down day for gold!