AI
Tuesday, November 15, 2011 7:19:24 PM
THE VALUE IN THE GROUND?
Some say that MMTE's value is based in the lithium in the ground… that all of the other, above aspects of exploration, mining, evaporation, harvesting, transporting, refining, etc., mean nothing. A more ludicrous statement one would find hard to make.
First, unless MMTE can find an entity crazy enough to merge or create a joint venture with the diluted, forlorn MMTE to mine & refine lithium (eventually) the relatively tiny land acquisitions MMTE purportedly required an ownership interest in, or some such other miracle happens, I believe MMTE mislead investors, perhaps banks, and will find itself in a world of hurt sooner than later!
Second, and as previously noted by many posters, MMTE makes its ownership and mining rights disturbingly fuzzy by way of (among other things) statements on the company's own “carefully” worded website. For instance, the first page of the MMTE Website stated: "Mammoth Energy Group (MMTE) is the owner of interests in three salars with the potential to produce lithium and other metals from surface lakes and subsurface brines." (See MMTE @ http://www.mammothenergygroup.com .) The above, bolded highlights point out suspect conditions or issues that place in doubt and question exactly what MMTE's purported mining claims actually entail. Those same suspect terms - combined with months of weak press releases and forlorn PPS values - create inherent doubt as to whether MMTE will (or even can) effectuate any significant lithium extraction and sales from whatever "ownership interests" MMTE might have.
As a footnote to the above, an iHub member with an eye-witness accound recently reported the following in response to a challenge regarding the purported MMTE ownership interests in these small salar portions: "Not sure what claims of proof of land you're talking about. Just got back from Chile and Argentina and according to Ministry of Mines the only thing on record is CLIL being formed. Did not see any records of concessions. Sent WL an email to confirm as to why no records of concessions and got no answer. I am through posting on this 'scam of a stock' all you believers can hang in there but from what I can see this is just another WL ruse."
Third, the world's most lithium-rich geographical salars do NOT include MMTE's fuzzy claims to a few, relatively small portions of isolated Chilean salars (e.g., Salar de Maricunga, Salar del Laco, and Salar de Pujsa). Indeed, the world's primariy lithium-rich and lithium-producing salars include: (1) Salar de Hombre Muerto; (2) Salar de Rincon; (3) Cauchari, (4) Olaroz, (5) Salar de Uyuni, (6) Salar de Atecama, (7) Taijanier Lake, (8) Zhabuye, and (9) Silver Peak. See, e.g., Signum Box, "Salar de Maricunga: Project Review," p.5, tab. 3 (June 2011) @ http://www.li3energy.com/projects/signumBOX/IVG-LIEGsignumBOX2011.pdf ; Lithium Investing News, "World Class Deposit" @ http://lithiuminvestingnews.com/investing-in-lithium/lithium-world-class-deposit ; R.K. Evans, An Abundance of Lithium II @ http://www.worldlithium.com/AN_ABUNDANCE_OF_LITHIUM_-_Part_2.html ; New World Resource Corp., "Projects About Lithium," @ http://www.newworldresource.com/s/AboutLithium.asp .
Fourth, where finding a merger candidate proves unlikely and based on the press releases and recent 10Q, inter alia, MMTE appears far from establishing even the most basic resources required to mobilize and initiate a successful precious metal mining and refining operation. Moreover, without mammoth dilution and/or a reverse split, MMTE will almost certainly find itself unable to finance the colossal industry entry costs inherent to precious metal mining - small Brine Mining operations included. See, e.g., below photos of a low-key, small lithium mining operation. Moreover, as to a potential buyout or merger, where MMTE's purported salar land ownership interests are NOT found among the very few, lithium-rich salars on the planet (and where MMTE's ownership status or interests pertaining to its relatively unknown salars also remains in question), one would find it rather unlikely that any viable or reputable mining company might want to purchase, enter a joint venture, or merge with the cash-strapped, heavily O/S diluted, forlorn penny stock, MMTE.
Simply put, and assuming that MMTE actually has some salar ownership interests, MMTE bought comparatively less-than-favorable salar claims because that is all it could afford, even after selling so many billions of shares to the 'investors' that are the so-called MMTE common shareholders, i.e., us!
SUMMARY
It is beyond doubt that what MMTE reports and purports is not the entire story, or perhaps not even the actual story at all. Without question, however, the above and my prior posts today evidence the cold, hard fact that MMTE is a long way from producing any significant amount of lithium for purchase by end users and remains a most unlikely candidate for a merger, joint venture, or a buyout.
MMTE faces an expensive, uphill battle that simple common sense suggests MMTE cannot win, and no company in their right mind would buy, merge with, or enter into a joint venture with this rat hole excuse for a mining exploration company!
Some say that MMTE's value is based in the lithium in the ground… that all of the other, above aspects of exploration, mining, evaporation, harvesting, transporting, refining, etc., mean nothing. A more ludicrous statement one would find hard to make.
First, unless MMTE can find an entity crazy enough to merge or create a joint venture with the diluted, forlorn MMTE to mine & refine lithium (eventually) the relatively tiny land acquisitions MMTE purportedly required an ownership interest in, or some such other miracle happens, I believe MMTE mislead investors, perhaps banks, and will find itself in a world of hurt sooner than later!
Second, and as previously noted by many posters, MMTE makes its ownership and mining rights disturbingly fuzzy by way of (among other things) statements on the company's own “carefully” worded website. For instance, the first page of the MMTE Website stated: "Mammoth Energy Group (MMTE) is the owner of interests in three salars with the potential to produce lithium and other metals from surface lakes and subsurface brines." (See MMTE @ http://www.mammothenergygroup.com .) The above, bolded highlights point out suspect conditions or issues that place in doubt and question exactly what MMTE's purported mining claims actually entail. Those same suspect terms - combined with months of weak press releases and forlorn PPS values - create inherent doubt as to whether MMTE will (or even can) effectuate any significant lithium extraction and sales from whatever "ownership interests" MMTE might have.
As a footnote to the above, an iHub member with an eye-witness accound recently reported the following in response to a challenge regarding the purported MMTE ownership interests in these small salar portions: "Not sure what claims of proof of land you're talking about. Just got back from Chile and Argentina and according to Ministry of Mines the only thing on record is CLIL being formed. Did not see any records of concessions. Sent WL an email to confirm as to why no records of concessions and got no answer. I am through posting on this 'scam of a stock' all you believers can hang in there but from what I can see this is just another WL ruse."
Third, the world's most lithium-rich geographical salars do NOT include MMTE's fuzzy claims to a few, relatively small portions of isolated Chilean salars (e.g., Salar de Maricunga, Salar del Laco, and Salar de Pujsa). Indeed, the world's primariy lithium-rich and lithium-producing salars include: (1) Salar de Hombre Muerto; (2) Salar de Rincon; (3) Cauchari, (4) Olaroz, (5) Salar de Uyuni, (6) Salar de Atecama, (7) Taijanier Lake, (8) Zhabuye, and (9) Silver Peak. See, e.g., Signum Box, "Salar de Maricunga: Project Review," p.5, tab. 3 (June 2011) @ http://www.li3energy.com/projects/signumBOX/IVG-LIEGsignumBOX2011.pdf ; Lithium Investing News, "World Class Deposit" @ http://lithiuminvestingnews.com/investing-in-lithium/lithium-world-class-deposit ; R.K. Evans, An Abundance of Lithium II @ http://www.worldlithium.com/AN_ABUNDANCE_OF_LITHIUM_-_Part_2.html ; New World Resource Corp., "Projects About Lithium," @ http://www.newworldresource.com/s/AboutLithium.asp .
Fourth, where finding a merger candidate proves unlikely and based on the press releases and recent 10Q, inter alia, MMTE appears far from establishing even the most basic resources required to mobilize and initiate a successful precious metal mining and refining operation. Moreover, without mammoth dilution and/or a reverse split, MMTE will almost certainly find itself unable to finance the colossal industry entry costs inherent to precious metal mining - small Brine Mining operations included. See, e.g., below photos of a low-key, small lithium mining operation. Moreover, as to a potential buyout or merger, where MMTE's purported salar land ownership interests are NOT found among the very few, lithium-rich salars on the planet (and where MMTE's ownership status or interests pertaining to its relatively unknown salars also remains in question), one would find it rather unlikely that any viable or reputable mining company might want to purchase, enter a joint venture, or merge with the cash-strapped, heavily O/S diluted, forlorn penny stock, MMTE.
Simply put, and assuming that MMTE actually has some salar ownership interests, MMTE bought comparatively less-than-favorable salar claims because that is all it could afford, even after selling so many billions of shares to the 'investors' that are the so-called MMTE common shareholders, i.e., us!
SUMMARY
It is beyond doubt that what MMTE reports and purports is not the entire story, or perhaps not even the actual story at all. Without question, however, the above and my prior posts today evidence the cold, hard fact that MMTE is a long way from producing any significant amount of lithium for purchase by end users and remains a most unlikely candidate for a merger, joint venture, or a buyout.
MMTE faces an expensive, uphill battle that simple common sense suggests MMTE cannot win, and no company in their right mind would buy, merge with, or enter into a joint venture with this rat hole excuse for a mining exploration company!
Whenever executives' greed or misfeasance supersede shareholders' investment interests, that corporation suffers a fatal illness.
-John A. White, 21st Century Economist
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