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Wow you placed the drill where others failed. WOW!!!
However, if you sold under .10 hoping to buy back a month later at the same price....
Rumors of takeover?
g.p.
I wish the Body Politic would finally pay attention to all of the illegal goings-on. Seems that if they did, they may just put themselves right out of business though...
Can't win fer losing, I guess...
Just sent this to over 150 Press, Politicans, and Government Agencies
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To whom it might concern;
I thought you might like to hear what I thinking right now. I think it is definitely worth your time to read, it gets pretty heavy at the end. Here is a series of combined Emails I just sent to my friends.
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Subject; Grandfather clause finally hit the Federal Register, this is what we have been waiting for IMO
http://a257.g.akamaitech.net/7/257/2422/01jan20071800/edocket.access.gpo.gov/2007/E7-15708.htm [Federal Register: August 14, 2007 (Volume 72, Number 156)] - Ding Dong....Grandfather Clause
slhicks2: http://a257.g.akamaitech.net/7/257/2422/01jan20071800/edocket.access.gpo.gov/2007/E7-15708.htm [Federal Register: August 14, 2007 (Volume 72, Number 156)] - Ding Dong....Grandfather Clause
scrappy24: Although this amendment will allow fails to deliver resulting from
scrappy24: sales of threshold securities pursuant to Rule 144 of the Securities
scrappy24: Act 35 rather than 13 consecutive settlement days in which to be closed
scrappy24: out, these fails to deliver must be closed out within 35 consecutive
scrappy24: settlement days and, therefore, these fails to deliver cannot continue indefinately
frescas: http://a257.g.akamaitech.net/7/257/2422/01jan20071800/edocket.access.gpo.gov/2007/E7-15708.htm GRANDFATHER CLAUSE HIT THE REGISTER
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Subject: We Won, We Won, We Won, fails to deliver (Naked Short Sells) cannot continue indefinitely, We Won
scrappy24: Although this amendment will allow fails to deliver resulting from
scrappy24: sales of threshold securities pursuant to Rule 144 of the Securities
scrappy24: Act 35 rather than 13 consecutive settlement days in which to be closed
scrappy24: out, these fails to deliver must be closed out within 35 consecutive
scrappy24: settlement days and, therefore, these fails to deliver cannot continue indefinitely
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Subject: Warning
http://www.thesanitycheck.com/BobsSanityCheckBlog/tabid/56/EntryID/634/Default.aspx
In my opinion the shit is about to hit the fan and you better be out of the stock markets in general. In my opinion look for metals and minerals to invest in, last warning. The TSX in Canada is a good market, look for metal and mineral companies, mining sector, just in my opinion.
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Subject: Fw: Warning
In my opinion, if you just going to buy metals like gold or silver, I would choose silver, it is shorted and under priced.
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Subject: Fw: Warning
If you really want to gamble, take about 10% percent of your money and bet on the November puts on the S&P 500, the Black October is about to happen again, the Witching Hour, and if it don't you still have time to get out. You have a chance to 100 times your money, just in my opinion.
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Subject: O'quinn suit is 4 Trillion shares Naked Shorted
http://ragingbull.quote.com/mboard/boards.cgi?board=CMKI&read=589736
O'quinn lawyers only represent about 12 to 20 companies and they have 4 Trillion shares Naked Shorted. Now just ask yourself, what is that going to do to the market when all of that gets settled? How are the stocks of the banks, brokers, and hedge funds going to do? And this is not counting what we believe, that there is over a Trillion Shares Naked Shorted in CMKX alone, and that is not counting all of the rest of the hundreds of other companies that aren't represented by O'quinn that are Naked Shorted and have requested the OBO/NOBO lists and have public stated that they are Naked Shorted and are on the SHO list today. Right now the last date for settlement of Naked Shorted Shares is 60 days plus 35 days, or about November 20th. Without a doubt the SEC has waited all these years to give the Banks, Brokers, and Hedge Funds time to cover, but some are just to arrogant to heed the message, you have to pay. They have been dirty so long, that they never thought this day would happen. There will be a bunch of them go under, already starting to see it. All just in my opinion.
--------------------------------
Subject: Just in my Opinion
This is nothing short of redistribution of wealth, from the bad guys to the good guys, us. But, saying that, a lot of good people that are invested in the bad guys in there 401K's, are going to bite the bullet with them. This I hate to say is necessary, but the markets are totally unfair they way they are now and America would go completely under if it is not corrected. If you want you can blame the media for not warning them, they know what is going on. America will be much stronger after all of this fall out, it is a necessary step for America to survive and thrive. There is a reason the rich get richer and the poor get poorer, the rich cheat, and this will make the playing field much more even. American justice is at hand. Oh the rich will still get richer, but after this, now the little guy has a chance to get rich also. Sorry for all the dome and gloom, but I just don't see it any other way.
Just in my opinion.
---------------------------
Thank You,
Dan Heilman, Pekin, IL
Small Time Investor, one of the good guys, a long
Any Snowfield investors here? sno.v. Ive owned it for about 6 months, a they are getting close to the kimberlite for the 500 ton bulk sample that De beers is going to process for free.
poco
AFA.V - Nice base in the .35- .37 range - Volume is steady
http://www.stockscores.com/quickreport.asp?ticker=v.afa
I rather doubt it... Drop me a line when you get out of jail.
http://www.investorshub.com/boards/read_msg.asp?message_id=16149153
What does everyone think about CRLD
Core International Encouraged by Nearby Testing
Monday May 14, 8:30 am ET
TORONTO--(MARKET WIRE)--May 14, 2007 -- Core International Limited (Other OTC:CRLD.PK - News) is the holder of approximately 7,000 acres of exploration property around Dog Lake north and east of Wawa. The company has been very encouraged by the recent discoveries and activity in the Wawa area. Staking, aerial surveys and ground accumulation has never been so active. With the Dianor Resources discovery of a 1.8 ct diamond on nearby property, Core is reviewing its reports received from both Geoanalytical Laboratories SRC in Saskatoon and SGS Lakefield Research Limited on rock samples taken from their Dog Lake property. The results reported have been very encouraging.
Two separate samples of material were taken from the property and submitted, one sample each to the Labs mentioned for analysis. Both samples where small with the first weighing 2.35 KG and the second 19.8 KG. The 19.8 KG sample showed a total of 288 micro-diamonds collected in a 150-mesh screen while the second sample of 2.35 KG showed 19 micro-diamonds in a 106 micron sieve. "We are pleased with the initial testing and are very encouraged to continue our field work," said Mr. Jan Vrba, Director of Core.
Core Resources has asked for and received a Mineral Exploration Budget Proposal from a qualified field geologist to commence the next phase of testing. The plan calls for four (4) prospectors to be on the property for up to 120 days. "Geologically speaking, we are in the same rock formation and trend as other discoveries and hope to confirm the geological structures are also the same as other diamond discoveries," stated Mr. Vrba.
chart doesn't come up ascending channel could have been traded twice already since April 9th
coulda shoulda woulda have fun with it
The channel has been breached brother........up 100% in the last 60 days and going higher :)
I remember it from over the years never really dd it, trade the channel?
AFA.V - .35 X .355 - Last @ .355- Volume of 1,776,000 - Time to go higher
AFA.V - Last @ .355 - Volume building
http://www.stockscores.com/quickreport.asp?ticker=v.afa
AFA.V - .33.5 X .34 - Over 12 million shares traded this week - Last @ .34
http://www.stockscores.com/quickreport.asp?ticker=v.afa
What's up December and the rest of the good crew over here, Like I say, Diamonds are also a mans best friend, haha, so I have this online diamond company and they have ridiculious numbers that just won't quit. It just did about a .30-.40 penny pull back and yet it is still cheap in terms of dollars... ABZA... check it out, DD, all that...please let me know what you think also... I hope you will be impressed...
Enjoy knowledge please and all pass it on... thank you very much and GOOD LUCK TO ALL
think positive
AFA.V - Volume of over 2,580,000 last @ .36 - New 52 Week High of .37 Hit Today
AFA.V - Last @ .36 - The company is firing on all cylinders - Up 12.5%
http://www.stockscores.com/quickreport.asp?ticker=v.afa
AFA.V
My first AFA - (rough) calculation example :
Disclaimer : I take no responsibility whatsoever for any errors, bad conclusions, important facts missing etc that might affect my analyses and their readers in any respect, but I always try to keep the facts accurate, as well as the calculations with their usually simple mathematics. Sometimes even the companies analysed deliver false information which could be impossible to detect for me and many other interested parties. In general I trust the corporate information and use it for my analyses. The future can´t be predicted 100 % and the stock market in particular is associated with considerable risks on the company level, but also on branch-, country- and world market level, implying that each person has to take their own full responsibility of the consequences of buying this particular stock.
Do your own due diligence !
Calculated 2007 stock price potential CAD 1.46-2.44 , CAD 0.235 April 20 close
Let us assume that the "potential content to up to 1.6 million carats on about 25% of the mineralized area" is realized in the upper end and that there are 4 times that figure on the whole (100%) mineralized area, with a value of USD 276 for each carat. This accounts only fore the near "surface" and therefore there might be a potential for further "deeper" findings also not included in this calculation.
Assuming there will be a heavy stock dilution to 200 million fully diluted shares in the future as a calcution base, covering further capitalization via PP, the gross value per share would be around CAD 10.0 (assuming USD=1.13 CAD)
I have no precise idea of the total production time, but let say it takes as much as 15 years. Then the present gross value would be reduced to around 4.88 CAD/share in a quick estimation assuming all value in average being 7.5 years away from now and discounted with a yearly 10 % rate of interest.
The profit margin after tax should be somewhere within 30-50 % in my rough estimation, thereby resulting in a net present value of CAD 1.46-2.44 per AFA share right now.
This means that AFA could be a 6 to 10 - "bagger", if such a diamond discovery is confirmed this year.
Even half of that or 3.2 million carat, thus would make AFA a prossible 3-5 "bagger" or there around according to this simple calculation. In this case the overall profit of margin after tax might decrease somewhat, but on the other hand the weighted average production time should decrease thus elevating the present value/carat.
The risks are obviously very high in ADAs case. Anyhow I find that AFA must have an extremely attractive risk/reward-ratio, maybe of a similar magnitude as in the TAM case recently before the TAM stock price tripled in just a few weeks ! (In that case though the value of the property in the ground was known already before the "take-off" making TAM a little bit simple case according to my judgement)
Have you guys checked out AFA.V -------- in since .17..........went crazy today
2006 overview
Jericho diamond mine:
- completed construction of the Jericho diamond mine and related infrastructure for a total capital cost of $116-million;
- 539,000 tonnes of kimberlite were processed, resulting in production of 296,000 carats for a grade of 0.55 carat per tonne. These diamonds were sold for an average of $93.00 (U.S.) per carat at an average exchange rate of 1.12, resulting in total value of production of $31-million;
- experienced start-up difficulties, which persisted through to year-end. Shorter-than-expected 2006 winter road access resulted in a fuel and explosives shortage, which restricted the mine plan and thereby negatively impacted ore exposure, and carat production;
- the average recovered grade was 76 per cent of the SRK estimated resource and reserve grade of 0.75 cpt for the material mined in 2006. Tahera believes that the estimated actual recovered grade per geological unit was 89 per cent to 95 per cent of the revised modelled grade when applying a predictive block model using vertical grade variations. Refer to the management's discussion and analysis for a discussion of the grade reconciliation analysis;
- based on the above analysis, the grades recovered are considered normal variations from the overall modelled resource grade, and lie within the expected confidence levels for the reserve and resource estimates. Management believes that the life-of-mine expected grade of the Jericho kimberlite resource and reserve material is 0.85 cpt as per the SRK resource and reserve estimates; and
- a 59-carat gemstone, which sold for $450,000 (U.S.), was the most valuable diamond recovered in 2006. The largest diamonds recovered include three low-quality stones in excess of 100 carats each.
* * * * *
While waiting for Don's answer.
Mood of some shareholders bitter. Delays and grades lower and money problems don't help.
Will be looking for his answer too.
g.p.
Dan
I was wondering if you could provide me with your professional input on Tahera diamonds in northern Canada.
Thanx
Have the two kimberlites you just placed drills on found any diamonds?
C'mon tell us the secret about how smart you are...
Counterfeit Shares and the need to bring back the Untouchables!
Open Letter
Dear Honorable Senator Dodd,
Counterfeiting Shares, (Naked Short Selling), has diluted the market so bad, if nothing is done; a market collapse is imminent. With your new position as Chair of the Banking Committee, which oversees the SEC, you have found yourself in the middle of a War. Not fought with guns, but with money, the War that pits the Hedge Funds, Market Makers, Brokers, and the SEC, against the Investor, John Q. Public. The outcome of this War will be no different then if it was fought with guns, America will either stand tall in the end, or she will collapse, just like in 1929, when the Money Pools, (Hedge Funds), shorted America to death.
Ever notice how the SEC says it can't allow a Legal Short Squeeze because it would disrupt the market, but they allow these Illegal Naked Short Sellers to pillage a company out of all its money to the point of bankruptcy, leaving all of its employees jobless, and all of the investors penniless. No wonder the SEC took the word "Integrity" out of its Mission Statement.
As you will learn from everybody that is advising you, the SEC is not doing its job, and letting Big Money rule the roust, the Fox is guarding the Hen house. So, instead of telling you what is going on, I’m going to suggest a solution. It is time once again in our history to bring back the Untouchables, Eliot Ness style. There are many honest hardworking people at the SEC, it is only the Top of the SEC that needs to be replaced, and you have the power to do this. Not only do have the power to do this, you have the obligation to Defend America, it is your job.
You ask, where do you find your Untouchables, look no further then retired U.S. military personal, these people no all about Defending America. At the top position, look no further then General Norman Swartzkoff or General Colin Powell; these are true Untouchables and American Heroes. I’m sure they would be able to fill all the other top positions with men they trust, real Untouchables. I’m sure if General Norman Swartzkoff or General Colin Powell new the importance of the job, their American Patriotism would compel them to take the job, as head of the Untouchables.
Thank You,
Dan Heilman
Golden, CO
More than Walter Stunder, Dan Heilman, and Shaun Spellicy combined.....
1.
If you really want to know, I have just placed the drill on 2 kimberlites for the private company, where 8 others failed in their drillings, I hit the kimberlites. I am very good at what I do, someday in the future you will find out how good, I'm a secret for now. Walter never listened to me, it was not my fault what has happened to NSDM.
See you in a PR in the future, but not with NSDM.
And how many diamonds have you found?
hey miners...grab your picks, sing a song (HI HO HI HO!) Dan Heilman is going to bring NSDM to the next level....of mediocrity.
Dans tenure at NSDM can be summed up in 1 statement,
"Find Suckers, Make Money"
Thanks for taking part with Walter in diluting this POS scam.
You're right Dan you really have no clue about it. Still smiling?
Motapa expands its African hunt
2005-09-06 15:23 ET
by Will Purcell
Dr. John Gurney and Dr. Larry Ott's Motapa Diamonds Inc. is picking up the pace on its African diamond hunt. The company got started out in Namibia, but has added some other projects in recent months. The company now has intriguing plays in Mozambique, Botswana and Gabon, as well as the Namibian property that prompted Dr. Gurney and BHP Billiton Diamonds Inc. to create Motapa in 1998. Despite the early encouragement, Motapa's African plays remain tough sells with Canadian investors.
The start
Motapa's Kavango project spans about 1.2 million hectares of northeastern Namibia, just south of peaceful Angola. The Kaudom project covers another 470,000 hectares of ground just to the southeast of Kavango. As well, Motapa added another 420,000 hectares this week. Still, the prime area of interest on the Namibian play lies along the Omatako River, which meanders northeastward.
Motapa began a drill program on the Kavango project about a year ago, in the hope of finding the source of a promising diamond and indicator mineral anomaly. The work produced at least six new kimberlite hits on the southeastern part of the Kavango project in late 2004 and early 2005. Still, Motapa does not think any of the finds are the source of the Omatako anomaly.
An analysis of the drill cores produced an array of indicator minerals dominated by ilmenite grains. That was distinct from what the company found in the Omatako anomaly, which produced significant numbers of pyrope garnets, including a high proportion of the promotable G-10s that suggested a diamondiferous source.
Motapa suspended its drill program in February as the Namibian rainy season closed in. The poor weather typically lasts a few months and Motapa was able to resume its drill program in April, but there has been no news since then. The company also completed ground geophysical work over the property this year, developing at least 20 airborne magnetic features into drill targets. The absence of promotable news is adding to the promotional woes of Motapa.
The area attracted diamond explorers a few decades earlier. De Beers tried its luck in the area in the late 1970s, collecting the usual array of surface samples and flying geophysics across the district. The work produced some intriguing indicators and the diamond giant drilled into four kimberlites on what is now the southeastern district of Motapa's Namibian play.
De Beers called it quits just a few years later. The company cited security concerns amid a worsening political climate in Namibia as its reason. Still, the absence of diamonds in its Sikereti kimberlites undoubtedly aided the decision to leave.
Dr. Gurney and Dr. Ott developed the exploration strategy for BHP during the 1990s and creating Motapa was part of that plan. Cash has not been a major problem for Motapa as a result, as BHP contributed more than $14-million to the company's diamond hunt over the years.
The record
That leaves BHP as a major shareholder of Motapa. The mining major owns over 3.5 million Motapa shares, which is about one-eighth of the company's outstanding stock. Dr. Gurney remains the largest Motapa shareholder. He owns just a few shares directly, but Harbour Trustees Ltd. holds about one-quarter of Motapa's outstanding shares in trust for the good doctor.
The Cape Town-based Dr. Gurney has long been active in diamond exploration through his role as a professor at the University of Cape Town. Now in his mid-60s, Dr. Gurney put much of his effort into the geochemical side of things and his academic work forms the basis for much of the indicator mineral analysis done today. As a result, fledgling explorers often called on Dr. Gurney as a consultant. He spent over a decade in that role with BHP, when the company took up diamonds with Chuck Fipke's Dia Met Minerals Ltd. in the late 1980s.
Academic research and consulting kept Dr. Gurney busy over the years and that left little time for the business end of the diamond hunt. He did spend about a decade the chairman of Benguela Concessions, a public company listed in South Africa, but he left in 1998 to help get Motapa off the ground. With little experience on the promotional side, Motapa's largest shareholder took the chairman role with the new company, leaving the top job to Dr. Ott.
The Colorado-based Dr. Ott is 20 years younger than Mr. Gurney, but he has long been a diamond hunter. He joined BHP in the late 1980s and stuck with the company until Motapa got rolling 10 years later. Dr. Ott was diamond exploration manager for BHP, but like Dr. Gurney, he had little experience at promoting a public company before he became chief executive officer of Motapa in 1998.
Dr. Ott recently had a brief stint as a director of another Canadian public diamond junior. Indicator Minerals Inc. got its public start early in 2004 when another former BHP diamond hunter, Bruce Counts, created the company out of a shell. Mr. Counts added Dr. Ott as a director a short time later.
Unfortunately, the Indicator role did not provide Dr. Ott with a positive promotional experience. The fledgling company was still attracting some market interest at the time with its gem plays in Canada's North, and an Indicator share went for about 70 cents. A share cost just 30 cents when Dr. Ott left Indicator a year later, a result of the lack of a quick big find and increasing investor impatience.
For all its activity, Motapa remains largely ignored by investors. The stock traded as high as $1.25 on its opening day last August, but a share cost just 71 cents by the end of 2004. The company rounded a promotional corner early this year, helped by a hefty exploration budget, more indicator minerals and some timely touts. The company's shares jumped to a brief crest of $1.35, but interest quickly dried up and Motapa's shares recently dipped below the 50-cent mark.
Motapa does have a few directors who are no stranger to promoting diamond hunters. James Rothwell was a president of BHP Diamonds in the 1990s, and he took the same job with Dia Met Minerals Ltd. in 2000. That was a short stint, as BHP bought the company a year later, but Mr. Rothwell popped up as a director of Kensington Resources Ltd. in 2002. Kensington is now a takeover target of Shore Gold Inc., but Mr. Rothwell will remain a player with the expanded Shore.
A California-based newsletter writer, Bob Bishop, who has been a fan of Dr. Gurney for many years, is a Motapa director. Mr. Bishop is the editor and publisher of the Gold Mining Stock Report, which provides commentary on junior resource companies. A Vancouver stock promoter, Duane Poliquin, is also a director of Motapa.
The new plays
Motapa seemed likely to catch the market's eye this spring, when a company with much more promotional savvy arrived to help out with a diamond hunt in Botswana. Eira Thomas's Stornoway Diamond Corp. agreed to complete an airborne gravity survey over the Sua Pan dry lake and issue shares worth $1-million (U.S.) to Motapa over the next year. As well, Stornoway would pay the cost of exploration on any project identified from the survey. Stornoway's full exploration requirement is $2-million (U.S.).
In return, Stornoway would receive a 50-per-cent share of the play, which covers more than two million hectares of ground in an area 50 kilometres northwest of the large and rich Orapa diamond mine. The favourable location failed to impress Stornoway's followers, who remain preoccupied with the company's main plays in Canada's North. The company's shares continued a slow decline following news of the arrangement and the news had no effect on Motapa's own slumbering shares.
Motapa and Stornoway have been mum about Botswana since late June, when Stornoway issued 374,855 shares and officially joined the joint venture. Those shares fulfilled the first $500,000 (U.S.) requirement, but Motapa has already written down their value. At recent prices, Motapa's Stornoway shares are worth about $392,000 (U.S.).
With its own shares also in decline, Motapa is becoming chattier about its other diamond projects. Late last week, Dr. Ott revealed that his company began a magnetic survey over parts of the Lebiri project in eastern Gabon. The geophysical survey will cover about 68,000 hectares of ground that produced two areas with indicator mineral anomalies. The data from the survey should be available by the end of September, and Motapa hopes to identify several potential kimberlite targets from the information. That could lead to a drill program later this year if all goes well.
Motapa began promoting its grassroots Gabon play just after it went public. The company completed a round of indicator sampling before the end of 2004, coming up with promotable numbers of chromite grains that suggested a diamondiferous source. The company did not have big numbers of pyrope garnets or chrome diopsides, although Dr. Ott explained that away as the result of Gabon's tropical climate, which destroys the fragile grains.
Dr. Ott also touted another Motapa diamond hunt last week. The company picked up 500,000 hectares of permits in western Mozambique, on the southernmost part of the Zimbabwe craton. Motapa thinks the area is diamond country based on that geologically favourable area, as the craton is home to the Murowa diamond mine in the southern part of Zimbabwe.
Because of the diamond encouragement on the craton, Zimbabwe and the northern part of South Africa have been busy spots for diamond exploration. Mozambique has been quiet in comparison, but Motapa hopes to change that. The company is starting its first sampling effort on the play, which will give it a rough notion of where to start.
Motapa, such a skinny trader its chart looks like fly droppings, did not trade on Friday; it closed at 46 cents on Wednesday.
Hi Dan. You should invest in Canadian issues. Everything is above board here.
My response to Motley Fool
Seth,
http://www.fool.com/news/mft/2005/mft05090219.htm?logvisit=y&source=estmarhln001999&npu=y&am...
This is just what the bad guys want, don't invest in the targeted companies. The bad guys are trying to cellar box these companies to bankruptcy, so they never have to cover or pay taxes. We are here to fight for the targeted companies and put the bad guys down and save the companies. Maybe you are just naive or worst, but this thing is bigger than you can even imagine. My grandkids deserve to play in a fair market. Nothing less then the American Dream is at stake. Get on the right side of the fence.
Thank You,
Dan Heilman, Golden, CO
Hudson's Greenland play inches forward
2005-07-13 15:08 by Will Purcell
Jamie Tuer's Hudson Resources Inc. now has the diamond counts from drill hits on a series of kimberlite dikes near Garnet Lake in Greenland. The tallies offer a mixed message that did nothing to stop Hudson's slipping share price. The company wowed speculators last fall with diamond counts that were far better than all earlier Greenland efforts. The first Garnet diamonds came from kimberlite float that Hudson found while prospecting on its large property and the company spent the spring looking for a bedrock source for the rock. The drill program did deliver some encouraging hits, but Hudson will have to produce some big intersections to generate more excitement.
The counts
Hudson processed about 40 kilograms of kimberlite, from three of its Garnet Lake drill holes. The rock contained 23 diamonds larger than a 0.106-millimetre sieve, which works out to just under 600 stones per tonne. There were no large macrodiamonds in the latest samples and just one of the stones clung to a 0.425-millimetre screen.
That was barely 4 per cent of the haul, but such a tiny sample has a large margin for error. Six of the stones sat on a 0.30-millimetre mesh, or about 26 per cent of the parcel. That more promotable proportion is likely more representative of the diamond size distribution.
Late last summer, Hudson recovered 120 diamonds larger than a 0.106-millimetre sieve when it processed 108 kilograms of float. That worked out to a more promotable 1,100 stones per tonne, roughly double what the drill core samples delivered. The larger samples of float contained some larger diamonds and the finds got the market's speculative sap flowing.
Four of the diamonds remained on a 0.85-millimetre sieve, and that haul weighed 0.073 carat, pointing to a diamond content of roughly three-quarters of a carat per tonne. Grade calculations based on tiny samples is usually misleading, but there was nothing in Hudson's recoveries to suggest a lucky find was skewing its results.
There were 26 diamonds large enough to sit on a 0.30-millimetre screen, which worked out to about 22 per cent of the haul. As well, the 16 stones that Hudson picked off a 0.425-millimetre mesh amounted to a healthy 13 per cent of the company's diamond parcel. At this stage, there is nothing in the new numbers to suggest the size distribution is materially different from what Hudson recovered from its drill core samples.
That leaves the matter of the lower stone counts, but Hudson has an answer for that concern. Two of the three core samples, which weighed about 14 kilograms each, came from narrow kimberlite intersections unrelated to the main Garnet Lake body. As a result, Hudson thinks the two samples were diluted.
The third sample was the only hole that tested just the main kimberlite body. About 11 kilograms of kimberlite produced 13 diamonds larger than a 0.106-millimetre sieve, and that worked out to a rate of nearly 1,200 stones per tonne. That was comparable with what Hudson found in its float last year. As well, five of the six largest diamonds came from that third batch of core.
The spin
With hints of promotional sparkle in its drill core, Hudson launched a few new promotional salvos. Mr. Tuer described the latest result as "highly significant," adding that it established that the Garnet Lake site hosts its own diamondiferous kimberlite body. "This is a very important result for our company."
The diamond counts from the core samples do support the earlier encouragement. Further, they prove that Garnet Lake is home to a significantly diamondiferous kimberlite body. Unfortunately, the tallies say nothing about the potential size of any such kimberlite body, and that remains a continued source of concern for investors.
Hudson's head of exploration, Dr. Mark Hutchison, had some words of enthusiasm to address those concerns. He stated that the company proved wrong the argument that the float could have come from a kimberlite long since scraped away by glaciers. As support, he cited the diamond counts and promising geochemistry recovered from an area 150 metres long and 100 metres wide.
Hudson's drill program did produce drill hits over that area and the dikes remain open in all directions. Still, if most of Hudson's enthusiasm stems from just one of its samples, the company still has a long way to go to show that it has a significantly diamondiferous kimberlite body with promotable dimensions. Speculators were clearly hoping for a lengthy drill hit into a big Greenland pipe and they judged the results of the spring drill program to be disappointing.
Nevertheless, Dr. Hutchison believes that the Garnet Lake kimberlite could be significantly more extensive than Hudson's limited drill program shows. Still, proving a dike has promotable dimensions will take a major drill effort, and that will take tome and money. Time is short in the harsh Greenland climate, and Hudson usually has a similarly short supply of exploration dollars.
The track record
Hudson's Garnet Lake results remain encouraging, despite the lack of a lengthy drill hit. Still, the company's shares recently dipped below the 40-cent mark, the level from which Mr. Tuer launched his company's Sarfartoq promotion last September. The stock jumped to $1.10 in an early burst of enthusiasm, then traded in a range near 60 cents for much of the fall and winter.
Hudson got its start in 2000, when Mr. Tuer created a cash shell seemingly intended to capitalize on the high-tech frenzy. The company started out as eVoluton networking corp., but it had a slightly better handle on the rules of capitalization when it began trading the following year as Tekwerks Solutions Inc. Mr. Tuer had a background in computer software and technology, but he reconsidered a high-tech move for Tekwerks amid the market meltdown.
The company used the Greenland diamond project as its major transaction in 2002, but the play proved a tough tout at first. A share cost less than a nickel late in 2002, but the company made the transition to Hudson without benefit of a share rollback. It took over a year for speculators to nibble at Mr. Tuer's story, but Hudson did manage to spark some interest in the Greenland hunt early in 2004 with some promotable geochemistry.
Mr. Tuer took another cash shell the other way. True Exploration Corp. became Compusoft (Canada) Inc. late in 1998, getting a jump on the high-tech frenzy. The company's shares ran from pennies to a $4.25 crest in the spring of 2000, but the wheels fell off the company's bandwagon after the market crash. Another name change did not help and a share cost just a nickel by early in 2002, when the story collapsed for good.
Mr. Tuer was also briefly involved on an earlier Greenland gem hunt. He provided Citation Resources Inc. with management help, when a current Hudson director, Dr. John Ferguson, was running things. As well, Mr. Tuer was a director of the company during the latter half of 2002, just as it was consolidating itself into Macarthur Diamonds Ltd. through a 2-for-5 rollback. Dr. Ferguson left Macarthur earlier this year, but the company could use another management assist. It recently became Macarthur Minerals Ltd. after another 1-for-10 consolidation and last traded for just 15 cents.
The Spider site
Mr. Tuer and Hudson mustered less enthusiasm for the diamond counts from two core samples drilled up at its Spider Lake site. Both batches of rock proved diamondiferous, although just barely. One sample weighed 14.85 kilograms and the rock delivered just one tiny microdiamond. That minuscule stone failed to cling to even a 0.106-millimetre mesh.
The second batch contained two slightly larger diamonds, but it took 26.8 kilograms of kimberlite to double the other Spider test. Both stones clung to a 0.106-millimetre sieve, but the largest stone fell through anything larger than the 0.15-millimetre screen. In all, Hudson recovered two diamonds larger than a 0.106-millimetre cut-off from nearly 42 kilograms of rock. That works out to about 50 stones per tonne, with no hint of a hopeful size distribution curve.
The dismal counts added to the Spider disappointment. Hudson had reasonable expectations going into its spring drill program, because of a large electromagnetic anomaly within Spider Lake. Still, Mr. Tuer found something to cheer about in the result. Each of the three holes that tested the anomaly hit roughly 30 separate kimberlite occurrences that appear to be narrow sills averaging about 0.24 metre thick. That works out to about seven metres of kimberlite, spread over a zone roughly 70 metres thick. Hudson also hit kimberlite in its holes on the shore of Spider Lake. The largest hit was 3.7 metres across, compared with 1.7 metres for the longest hit within the lake.
Kimberlite rocks at Spider Lake provided Mr. Tuer with his first hint of Greenland sparkle. In the fall of 2003, the company processed 56.65 kilograms of kimberlite bits and the material produced 20 diamonds. That worked out to 350 stones per tonne, well above what the drill core samples produced. There was little joy in the size distribution, as just one of the stones sat on a 0.30-millimetre mesh.
Hudson still has time to get more work done, and at last report it had $1.7-million in working capital, although that was before the big spring drill program. The company plans to scout along a five-kilometre swath with promising chemistry near Garnet Lake, seeking kimberlite outcrops that would provide much larger samples. Healthy counts and larger diamonds from such a test could attract new interest in Mr. Tuer's project.
Western Warrior surrounded by De Beers
2004-12-14 10:31 ET - News Release
Mr. Klaus Zahnd reports
WESTERN WARRIOR ANNOUNCES DE BEERS CANADA LAND ACQUISITION SURROUNDING ITS EPPLER LAKE PROPERTY IN NORTHERN MANITOBA
The Ministry of Industry, Economic Development and Mines of the province of Manitoba posted the attached mineral exploration licence map indicating that De Beers Canada Exploration Inc. has acquired 23 exploration licences totalling 1.94 million hectares surrounding Western Warrior's 100-per-cent-owned Eppler Lake property located 110 kilometres west of Churchill, Man.
To view mineral exploration licence map, please visit the following link: http://files.newswire.ca/382/DeBeers_Staking.pdf.
CNW Cons New Sage adds to its Australian gem haul
2004-11-22 13:05 ET - Street Wire
by Will Purcell
Consolidated New Sage Resources Ltd., hardly a market star these days, has the diamond results from a test of the Seppelt 5 kimberlite. The pipe is one of several diamondiferous bodies on the company's North Kimberley property in Western Australia, in which it holds a 10-per-cent interest. The company began working on its Australian project in 1993, after Striker Resources NL took over the struggling Sage Resources Ltd. and turned it toward Australian gems. New Sage and Striker, which owns the remaining interest, now have a few promotable kimberlites, but progress has been slow, and shareholders are unimpressed.
The Seppelt encouragement
The Seppelt diamond project lies about just southwest of Joseph Bonaparte Gulf and the Timor Sea, northeast of the Kimberley Plateau, in the northeastern corner of Western Australia. That places the play about 20 kilometres southeast of the company's cluster of Ashmore pipes. The Seppelt cluster is about 300 kilometres northwest of the Argyle diamond mine.
The area is diamond country. New Sage crafted an effective promotion out of the Ashmore kimberlites in the mid-1990s, although the play failed to produce much in the way of a diamond parcel. The Ashmore-1 pipe contains less than two million tonnes of kimberlite, and the body had a small diamond grade to match. Ashmore-1 produced a result of just 0.03 carat per tonne, even with an unrealistically small minimum cut-off.
Ashmore-2 had a comparable size, but a somewhat healthier grade. At one time, the partners touted the body as possibly having a grade of one carat per tonne, but larger samples produced a diamond content of about 0.10 carat per tonne. The pipe contains about 1.3 million tonnes of kimberlite.
The partners found two more Ashmore kimberlites. Both were diamondiferous, with grades that seemed comparable with the first two finds. Perhaps the most promotable aspect of the Ashmore play came from some 10-carat diamonds recovered from Ashmore-2. The stones proved the region was capable of producing large diamonds, and the partners estimated the Ashmore diamonds would be worth roughly $66 (U.S.) per carat.
The grade was more promotable in the Bulgurri kimberlite, which is also in the North Kimberley region. Bulgurri was the first project of Striker and its Canadian junior partner. The two companies collected a nine-tonne sample from Lower Bulgurri, and came up with 2.5 carats. That was good for a grade of 0.28 carat per tonne, however later tests fell well below that toutable tally.
Seppelt 5
Things seem more promising with the Seppelt cluster of kimberlites. The North Kimberly partners recently collected a 293-tonne surface sample from Seppelt 5 and processed it for diamonds. The rock yielded 82 carats, suggesting a grade of about 0.28 carat per tonne. The grade is on the modest side, but the sample included dilution from country rock and gravels. Included in the diamond parcel were three diamonds larger than one carat and 15 stones weighing more than one-half carat. Those stones offer encouragement that larger batches of rock would produce promotable quantities of larger diamonds. As well, the Seppelt 5 parcel was described as containing mainly gem quality white diamonds, which displayed good clarity. That could bode well for the value of the diamonds. There was a degree of promise in the mini-bulk test, but the grade fell well short of loftier expectations dangled by New Sage this spring. The company produced a promotable haul of macrodiamonds from a sample of weathered kimberlite at Seppelt 5, a result that it thought would be consistent with a diamond grade of two carats per tonne. That rosier assessment was based on the recovery of 20 diamonds larger than 0.8 millimetre, from a bit more than 300 kilograms of kimberlite. That diamond haul weighed 0.81 carat, suggesting a grade of nearly 2.5 carats per tonne. The largest diamond weighed 0.178 carat, suggesting that a single large stone did not heavily skew the parcel weight.
Seppelt 2
Meanwhile, Striker and Consolidated New Sage continue with their trial mining of the Seppelt 2 kimberlite. The program will test about 20,000 tonnes of kimberlite and infill material taken from near the surface of the body. New Sage and its partner think the test will produce more than 15,000 carats.
The two companies believe the diamond haul will be worth more than $750,000 (U.S.), which will be enough to pay for the cost of the trial mining program. That would imply a value of at least $50 (U.S.) per carat for the Seppelt 2 diamonds.
Work began on Seppelt 2 in the late 1990s. The body lies on a fissure system that runs for more than three kilometres and may join the Seppelt 5 body at its northeastern end.
The latest assessment of Seppelt 2 suggests the fissure system contain a high-grade zone that lies beneath the infill gravels. The latter zone has a grade estimated at 0.60 carat per tonne, while the partners think the richer region has a grade of about two carats per tonne. That zone holds just 200,000 tonnes of kimberlite to a depth of 200 metres, while the infill material holds about 135,000 tonnes.
By this spring, New Sage and Striker recovered over 3,500 carats from Seppelt 2. The haul included several larger stones, including an 8.5-carat gem valued at about $1,500 (U.S.) per carat. The entire parcel of diamonds larger than a 1.5-millimetre cut-off was worth just under $50 (U.S.) per carat. That supports the expectation that the trial mining program will pay for itself.
Seppelt 1 and the plan
The Seppelt 1 body, about five kilometres northeast of Seppelt 2, was the first kimberlite on the North Kimberley project to see a significant amount of work. The small pipe contains about 1.7 million tonnes of kimberlite to a depth of 140 metres, with an inferred resource of 0.39 carat per tonne.
As well, the Seppelt partners think there is another 360,000 tonnes of weathered kimberlite and gravel at the top of Seppelt 1. That material has an estimated grade of 0.36 carat per tonne.
In all, New Sage and Striker have an inferred open pit resource of about 553,000 tonnes of kimberlite, containing about 450,000 carats. Most of that material lies within the top 40 metres of Seppelt 1, where 358,000 tonnes of material should provide 129,000 carats.
The upper 70 metres of Seppelt 2 would provide 135,000 tonnes of rock, containing 200,000 carats. Meanwhile, the top 25 metres of Seppelt 5 holds 60,000 tonnes of material that the partners believed would deliver 120,000 carats, although that estimate might now be optimistic.
As well, the Seppelt project has two underground exploration targets. The partners suggest that Seppelt 5 could contain one million tonnes of economic kimberlite, while Seppelt 2 may hold 250,000 tonnes of rock worthy of mining.
The players
Clayton Dodd, Striker's president and founding director, took over as president of Sage in 1993, but he stepped aside in 1998, after the company fell on hard times. Australian gem hunters are generally a tough tout in Canada, but Mr. Dodd, a Perth-based accountant, had some brief success at selling Sage's story to speculators.
The company began its life as Striker's junior partner with a share price of about a nickel, but the stock surged to a crest of $1.24 in the summer of 1993. That was after Mr. Dodd's two companies began finding gems on the north Kimberley play. Interest in the project quickly waned, and by 1996, Sage consolidated its shares on a 1-for-5 basis.
Mr. Dodd and New Sage had another brief promotional fling in the summer of 1996. The stock peaked at $2, but once again the market's interest was fleeting. By the fall of 1998, a share cost less than a dime, and Mr. Dodd decided to move on.
West Vancouver-based Rodney Duncan, another arrival during the 1993 Striker takeover of Sage, replaced Mr. Dodd as president. A lawyer by trade, Mr. Duncan handled administrative, financial and promotional matters for several public companies, including a few diamond explorers.
With Mr. Duncan running things, New Sage tried to land a high-tech venture in the fall of 2000. The move did not work out, leading to another consolidation, this time on a 1-for-2 basis. Not long after, Mr. Dodd returned as president of the company. With Mr. Dodd's continued role as head of Striker and his involvement in the diamond industry since the mid-1980s, it is no shock that New Sage revived its interest in the Australian gem projects after his return.
Consolidated New Sage made further changes to its board. In the fall of 2003, the company added Marvin Mitchell as a director. He did not last long, as he resigned a few months later. New Sage added two new directors in Mr. Mitchell's place, appointing David Lenigas and Jonathan Malins to its board.
Mr. Malins is also a bean counter, but in the early 1980s he began to take an active role in the management side of things. Mr. Malins is a director of Cambrian Mining PLC, a junior resource company listed on the Alternative Investment Market of the London Stock Exchange.
Mr. Lenigas has a background in the resource sector and is a significant shareholder of New Sage. A mining engineer by trade, Mr. Lenigas is no stranger to Mr. Malins, as he is the general manager of Cambrian. Mr. Lenigas knows a few things about diamonds as well, as he is a director of River Diamonds Ltd. and BM Diamondcorp Inc.
This spring, New Sage added Dr. Hugh Squair to its board, replacing Jim Watt, who served since 1998. A geologist, Dr. Squair has been exploring for metals and working as a consultant for more than 35 years.
I'M LOOKING FOR DAN HEILEMAN! I DEMAND HIS ASS BE BACK ON THE NSDM BOARD PRONTO FOR A DISCUSSION!
Vaaldiam tracks Otish indicators
2004-10-28 13:34 ET - Street Wire
See Street Wire (C-VAA) Vaaldiam Resources Ltd (2)
by Will Purcell
Ken Johnson's Vaaldiam Resources Ltd. is hunting indicator minerals on two properties in the Otish Mountains region. The company can earn a share in the play from Santoy Resources Ltd. Santoy found some geophysical targets in a program earlier this year, and if Vaaldiam can find indicator anomalies near some of Santoy's targets, the partners could be in a position to drill next year. Toutable diamond deposits in the Otish region are limited to the Renard cluster, but there are signs that the Otish promise is spreading beyond the confines of that Ashton Mining of Canada Inc. play. As a result, Vaaldiam and Santoy's play could get a promotional boost from a rival.
The Otish option
Vaaldiam picked up the option on the Santoy properties earlier this year. The arrangement allows Vaaldiam to earn a 60-per-cent stake in the two blocks, in exchange for spending $200,000 on exploration over a two-year period. As well, the company made the usual payment of shares to Santoy.
The two blocks cover about 8,500 hectares of ground. The project is on the eastern fringe of the Otish district, although some new finds could alter the perceived bounds of the play. Ashton has come up with a few discoveries beyond the bounds of its Renard project, and Majescor Resources Inc. has turned up some promise on its Portage property, to the south of Ashton's Foxtrot claims. Furthermore, Dios Explorations Inc. thinks it is zeroing in on a source for indicator mineral promise on its 33 Carats property.
The East Block claims are about 30 kilometres southeast of the Renard cluster, while the Central property is a similar distance to the south of the potentially economic Renard kimberlites. Both of the Vaaldiam properties border on portions of the 33 Carats properties, and the larger Portage property is just to the west. Meanwhile, there have been a series of kimberlite discoveries in the region farther to the south of the East Block and Central properties, including some new finds by Ashton.
Troymin Resources Ltd. originally staked Vaaldiam's properties at the height of the Otish frenzy. The company completed little on its new diamond play and the project ended up on the books of Santoy last year, when the company merged with Troymin.
The amalgamation did not change things much, at least at first. Santoy initially seemed content to let the Otish play collect dust, but the company did get to work earlier this year. Santoy completed an airborne geophysical survey over its little project and the work produced an expected array of targets.
There is no shortage of magnetic anomalies in the Otish Mountains region, and the Santoy blocks delivered 31 features worthy of mention. There were 17 targets identified on the Central property, while the East Block claims produced 14 anomalies. Several of the targets occur in tight clusters on both of the claim blocks. That is encouraging, as it conjures up images of the Renard project, where Ashton identified a tight cluster with at least 10 kimberlite finds so far.
Still, there could be many causes for the geophysical anomalies. Canadian diamond hunters occasionally had great success at drilling holes based on magnetic anomalies alone, but the approach did not work as well in the Otish area. Ashton has had a high success rate with its drill program at Renard, but that was because of its reliance on indicator work, as well as a careful assessment of its geophysics.
As a result, Vaaldiam chose to collect mineral samples at sites near its geophysical targets, in the hope of finding coincident anomalies of kimberlite indicator minerals trailing away in the down-ice direction from its magnetic targets. Vaaldiam collected 121 samples this year, and the mineral counts and geochemistry will allow the partners to prioritize the targets.
The Otish promise
Although the kimberlite finds now extend well beyond the confines of Renard, Ashton's prime project still accounts for nearly all the Otish diamond promise. The company is collecting larger samples from the four key pipes that delivered encouraging mini-bulk results over the past few years. At the top of the list is Renard-3, where about 10 tonnes of material resulted in a grade of about 1.44 carats per tonne.
Renard-3 offered signs of a particularly coarse diamond size distribution from the start. Ashton accidentally crushed two larger stones during its first caustic fusion test, but the stones that survived the process pointed to the possibility that Renard-3 would deliver large diamonds. The 10-tonne batch produced two diamonds larger than one carat, including a 1.82-carat stone.
Renard-3 is shaping up to have a promising combination of size and grade, but the knock on the pipe is its tiny size. The kimberlite covers just 0.3 hectare at the surface, and Ashton would need larger quantities of rock to make an Otish mine possible.
The company does have three other bodies, and two of them exceed one hectare at the surface. Unfortunately, the grade of the Renard bodies is inversely proportional to their size. Samples from the 0.6-hectare Renard-2 body suggest a grade of about 0.6 carat per tonne, while tests of the one-hectare Renard-4 pipe suggest a grade of a bit better than 0.4 carat per tonne. The 1.5-hectare Renard-65 pipe produced a grade of roughly one-quarter of a carat per tonne.
Ashton has at least a few other promising bodies in the area, but size and geometry are also a concern with those features. Kimberlite boulders from the Lynx anomaly produced a grade of about 1.2 carats per tonne, but drilling has produced a series of fairly narrow dikes along a strike length of about 4.5 kilometres. Renard-9 also seems worthy of a larger test, based on the first diamond counts. Two or three other Renard bodies are likely to see more drilling and possible mini-bulk tests.
There have been some recent finds beyond the confines of Ashton's Foxtrot property that have potential. Majescor is still looking for its first kimberlite pipe on the Portage property, but it already has its first diamond haul. The Portage play was once on a par with Ashton's project, but it seemed all but dead after BHP Billiton Ltd. struck out with about 20 drill holes in the spring of 2002.
Nevertheless, Majescor found kimberlite float on the property this year. About 137 kilograms of the rock delivered 32 diamonds, including 20 that were larger than a 0.106-millimetre cut-off. None of the diamonds had promotable dimensions, but enough of them remained on a 0.30-millimetre mesh to support hopes of a favourable diamond size distribution.
A healthy proportion of larger diamonds is something that had been lacking in the area south of Renard. The Lac Beaver kimberlite produced some microdiamonds during the late 1990s, but a six-tonne sample failed to deliver a single macrodiamond.
Dios Exploration Inc. found kimberlites on its Hotish play, and Ditem Explorations Inc. discovered a cluster of four bodies on its Tichegami property over the past year or two. Both plays are south of Vaaldiam and Santoy's property. A few of the bodies produced a single microdiamond each, but there was nothing promising in any of the finds.
Nevertheless, there have been some encouraging developments in the area that could bode well for Vaaldiam and Santoy. Dios hopes for good things on its 33 Carats property, where De Beers Canada Corp. is exploring under an option arrangement. The partners have some particularly promising chemistry and now plan to drill targets of the play this fall.
Ashton also found some kimberlite dikes on its Tichegami property, roughly 50 kilometres south-southwest of the Central and East Block properties. Ashton likely does not have enough material to send for microdiamond recovery, but the company expects to keep working in the area.
The players
Vaaldiam reorganized itself late last year through a 1-for-4 rollback of its shares and a reverse takeover of a subsidiary of Santa Elina Mines Corp., which owned a Brazilian diamond property. Three new directors landed on Vaaldiam's board because of the transaction, including the Sao Paulo-based Juvenal Filho and Antenor Silva Jr. The third new arrival was the Toronto-based Peter Marrone, who is the president and chief executive officer of Yamana Gold Inc. Mr. Silva is also a director of Yamana.
Mr. Johnson continues in his role as president of Vaaldiam, which began in 1997 when he replaced Maureen Jensen. He has long been involved with diamond exploration, working on projects in Africa and Canada, as well as Brazil. A geologist by trade, Mr. Johnson also has experience in diamond grading and valuation.
Vaaldiam had another veteran diamond hunter on its board since the late 1980s. Geologist Lee Barker was involved in the early days of the Lac de Gras hunt, as director of Chris Jennings's SouthernEra Resources Ltd. and Gren Thomas's Aber Resources Ltd. SouthernEra was a partner with Vaaldiam on a few diamond projects. That was back when the company was known as Noble Peak Resources Ltd., before a 1-for-10 consolidation in 1998.
Vaaldiam's projects have been a tough sell with speculators since then, although Mr. Johnson and Mr. Barker did have some brief promotional success early in 2000. Vaaldiam's shares jumped from about a quarter to a peak of $1.30 after the company picked up an option on some of SouthernEra's South African diamond properties.
Vaaldiam and Santoy could use some promotable news from the Otish play. Santoy added one-half cent on Wednesday, closing at 27 cents. Vaaldiam last traded at 45 cents on Monday.
Tsodilo outlines new kimberlite on Newdico block
2004-10-25 16:34 ET - News Release
Mr. James Bruchs reports
TSODILO RESOURCES LIMITED-KIMBERLITE CONFIRMED AT A15-PROGRAM UPDATE
Tsodilo Resources Ltd. has discovered a new kimberlite on its Newdico (Pty.) Limited licence block in Botswana.
A15
Drill target A15 is a coincident magnetic and gravity anomaly with an indicated diameter of approximately 800-1,000 metres. The magnetic anomaly is dipolar and roughly circular, indicative of a pipe-like intrusive body. (See geophysical gravity and magnetic images on the company's website under Images-Geophysical.) The target was tested with a vertical reverse circulation drill hole. After drilling through loose sand and a thick section of silcrete (Kalahari formation), numerous coarse kimberlitic ilmenites and pyrope garnets of up to five millimetres in size were visually identified in weathered kimberlite from 34 metres depth.
Drilling commenced on Oct. 22, 2004, and ceased on Oct. 25, 2004. Due to technical problems of drilling with a high groundwater inflow, the drill hole was stopped at 116 metres depth still in primary kimberlite. The primary kimberlite appears to be a tuffisitic kimberlite breccia (TKB) but is highly weathered throughout the section drilled. The weathered TKB contains xenoliths of basement shales, quartzite, granite and basalt throughout the section.
Target A15 is located approximately 25 kilometres east of the Namibia/Botswana border in the company's Newdico licence block. The kimberlite lies within the Nxau Nxau kimberlite field where 22 kimberlites have been identified to date. Target A15 lies approximately 1.5 km from a kimberlite body (anomaly 40/97/07, drill hole THC 16) discovered by the Ashton/Reunion joint venture in February of 1998. This kimberlite tested positive for microdiamonds but was determined to be uneconomic. Previous geochemical loam sampling work over A15 resulted in the collection of numerous picro-ilmenites and a lesser amount of kimberlitic garnet grains.
Drill cuttings will be sent to Mineral-Logic in Cape Town, South Africa, for integrated petrographic and indicator-mineral analysis and if warranted to the Saskatchewan Research Council for microdiamond analysis and interpretation. The results will be released on completion of the processing.
1821-15C and A33
Targets 1821-15C and A33 were drilled from Oct. 18-21. No kimberlite or crater facies sediments were intersected in the holes. Previous soil sampling had recovered kimberlitic indicator minerals over these targets and both detailed gravity and magnetic surveys indicated a possible kimberlite source. The anomalies remain unexplained and further assessment of the data will be done before further drilling is performed.
Soil sampling
On Oct. 21, 2004, the company received the final report on the results of the recent kimberlite indicator mineral loam sampling program. The results will be reviewed and entered into the company's GIS database, after the current drill program is completed, in order to analyze and evaluate the results and determine whether further work or an extension of the program is warranted. Loam sampling is one of the many tools that the company uses in selecting targets to perform detailed ground geophysics and in the selection of additional targets to be drill tested.
Due to the upcoming presidential election in the Republic of Botswana, work will cease until Nov. 2, 2004, to give the drilling crew time off to participate in the country's democratic process. Drilling will resume on the Namibian/Botswana border when work recommences.
SWY Stornoway adds to its AV-1 gem parcel
2004-10-25 12:50 ET - Street Wire
by Will Purcell
The shares of Stornoway Diamond Corp. took a tumble Thursday, after the company unveiled the results of its summer program on its Aviat property in Nunavut. The work included another small mini-bulk sample, some diamond counts and a limited drilling program on four kimberlite bodies. The small tests failed to top earlier results and substantial kimberlite hits were few and far between, putting speculators in a selling mood. Nevertheless, there is plenty of encouragement in the latest results.
The mini-bulk test
Stornoway collected three tonnes of material for its latest test of the AV-1 kimberlite. The rock revealed 2.08 carats of diamonds larger than a 0.85-millimetre cut-off, for a grade of 0.69 carat per tonne. This spring, the company processed 7.4 tonnes and recovered 6.52 carats, which suggested a grade of 0.88 carat per tonne.
There once was hope that what Stornoway now terms transitional tuffisitic kimberlite would have a higher diamond content. The company based that expectation on its microdiamond counts, which displayed a more favourable diamond size distribution than the earlier tests of the hypabyssal rock.
That promise was not evident in the latest sample. Stornoway processed 2.2 tonnes of the tuffisitic material, coming up with 1.43 carats, good enough for a grade of 0.65 carat per tonne. The company also had another 832 kilograms of hypabyssal rock in the current batch. That rock contained 0.65 carat of diamonds, for a grade of 0.78 carat per tonne.
Stornoway now has diamonds from about 10.4 tonnes of AV-1 rock, most of it hypabyssal kimberlite. The material produced a diamond parcel weighing 8.6 carats which still supports a grade of 0.82 carat per tonne.
That is just slightly lower than what Stornoway delivered to the market in April, but the news of more diamonds had a markedly different reaction this time. The spring haul sent Stornoway's shares up 31 cents, to an intraday high of $2.76. The latest tiny sample sent Stornoway's stock scurrying the other way, dipping 33 cents to an intraday low of $1.40.
There were no larger diamonds in the latest tiny test to provide a boost to the AV-1 grade. The tuffisitic material delivered a 0.14-carat diamond, while the hypabyssal rock produced a 0.17-carat stone. In its sample earlier this year, Stornoway recovered a 0.40-carat diamond.
It would not take a huge diamond to inflate the grade of the latest test to the level displayed by the first batch of rock. For instance, had Stornoway found another 0.40-carat diamond in the current sample, its grade would climb to 0.82 carat per tonne.
The variation in grade that one large diamond can provide is a key difficulty with making assumptions based on tiny tests. On occasion, a single large diamond can skew the results of a small mini-bulk sample to an unrealistically high level. It is more common for a tiny test to produce an inadequate proportion of larger stones, which would result in a lower grade.
There is no certainty that a larger test of AV-1 would produce promotable quantities of larger diamonds, but it is a realistic hope at this stage. As a result, the pessimistic reaction to the latest diamond haul may have been a hasty one.
Every microdiamond count tells a story
Stornoway kept an extra 515 kilograms of the tuffisitic material for microdiamond testing. The material failed to support the notion of a coarser diamond size distribution within that phase of kimberlite. The rock produced 667 diamonds larger than a 0.106-millimetre cut-off, or about 1,300 stones per tonne. About 13 per cent of the diamonds were large enough to remain on a 0.425-millimetre sieve, and just over 2 per cent of the parcel had clung to a 0.85-millimetre screen.
Those proportions were nearly a match for what Stornoway found in over 1.4 tonnes of hypabyssal kimberlite over the last two years. That rock yielded 2,034 diamonds, or just over 1,400 stones per tonne. Once again, about 13 per cent of the diamonds sat on a 0.425-millimetre mesh, and a 0.85-millimetre mesh held 2.3 per cent of the parcel.
Stornoway processed 240 kilograms of the tuffisitic material late in 2003. It was this sample that fuelled hopes that the rock had a coarser diamond size distribution than the hypabyssal kimberlite. There were 316 diamonds in the material, or about 1,320 stones per tonne. Once again, about 13 per cent of the diamond parcel clung to a 0.425-millimetre sieve, but the proportion of stones remaining on a 0.85-millimetre screen rose to nearly 5 per cent.
Further, there were several stones larger than a 1.18-millimetre sieve in that sample, and the largest diamond recovered by caustic fusion came from that first lot of tuffisitic kimberlite. That stone remained on a 2.36-millimetre screen and probably weighed well over 0.10 carat.
The company had touted the possibility of a coarser diamond size distribution occasionally over the past several months. The spin is predictably different now that the new samples produced a different result. Stornoway's president, Eira Thomas, said she was pleased that both kimberlite phases within AV-1 had potentially economic macrodiamond grades, similar diamond populations and comparable size distributions.
There is nothing wrong with a consistent diamond population and grade, and consistent seems an apt word to describe the AV-1 tests. The various samples had quite constant diamond counts, and the proportion of larger diamonds was remarkably steady as well.
Still, there is the matter of the greater abundance of larger diamonds in the first lot of tuffisitic kimberlite that sparked the initial optimism. That outcome could well be because of the nugget effect. All diamondiferous kimberlites have small pockets that have higher grades and coarser size distributions, and larger samples typically tap into a more representative proportion of those areas. That could bode well for a larger test of AV-1.
The new kimberlites
Stornoway drilled eight holes into existing and new targets this summer, in a drill program cut short by miserable weather. Four of the holes tested AV-4, which is the site of a kimberlite float occurrence discovered this year. The company poked its first hole at a 45-degree angle underneath the float material, coming up with a 47-metre kimberlite hit at a depth of 80 metres.
A second hole, drilled along the same line, 35 metres closer to the float resulted in a 61-metre intersection, although just 62 per cent of the rock was kimberlite. Stornoway then drilled two step-out holes. One encountered about 15 metres of kimberlite, while the second returned a 2.1-metre hit.
Stornoway thinks it positioned that latter hole too close to the target and may have missed the main part of the body. In any case, the geometry of AV-4 appears complex, and it will take a larger drill program to get a handle on the actual shape and dimensions of the kimberlite.
Some promotable diamond counts would provide a suitable enticement for a delineation program of AV-4. Stornoway collected samples of the float material for caustic fusion analysis, and the company now has a reasonable amount of drill core kimberlite for processing as well.
Until Stornoway processes those samples, the diamond content of AV-4 is a complete unknown. Nevertheless, there are promising signs. AV-4 is just 600 metres to the west of AV-1, and significantly diamondiferous kimberlites often occur in clusters. As well, the company produced toutable tallies of diamonds from kimberlite taken from AV-2 last year.
Stornoway drilled two holes into another area with kimberlite float that it found this summer. The AV-3 holes produced narrow kimberlite intersections. The first hole encountered two hypabyssal dikes that measured 0.37 metre and 2.15 metres thick. The second angled hole produced hits of 0.10 metre and 0.23 metre, but drilling was abandoned before reaching the target depth. Still, Stornoway has enough kimberlite from the float and core to provide a few clues about the diamond content at AV-3.
Stornoway already has an inkling about the diamond content of AV-2, but it is still looking for its first substantial drill intersection in the area. The company drilled one hole into a new site with boulders close to its first drill success. The new hole delivered two dikes, measuring 2.35 metres and 2.90 metres.
Stornoway drilled two holes into AV-2 last year. The first hit three dikes, measuring 2.63 metres, 9.3 metres and 3.14 metres respectively. The second hole, about 75 metres south of the first, produced two intersections. The first was 2.2 metres wide, while the second measured 6.5 metres across.
The company was able to test just 39 kilograms of AV-2 kimberlite. The rock revealed 30 diamonds, or about 750 stones per tonne. About 17 per cent of the stones remained on a 0.425-millimetre sieve. Those proportions are a bit below what AV-1 delivered, but the sample is too small to draw any real conclusions.
Stornoway also poked a hole into another feature near AV-1. A single angled hole into a geophysical anomaly about 500 metres west of AV-1 resulted in a 2.9-metre intersection. Stornoway dubbed that body AV-1A. The company found another spot with kimberlitic float near AV-1 and the other finds this year. Stornoway did not drill the AV-5 occurrence yet, but the company could send float off for processing.
Toutable diamond counts from the various new bodies would lead to a busy drill program next year.
Stornoway slid another 18 cents on Friday, closing at $1.29.
IME Indicator and Dunsmuir duel for claims
2004-10-15 14:42 ET - Street Wire
by Will Purcell
Bruce Counts's Indicator Minerals Inc. thinks it has scooped Art Ettlinger's Dunsmuir Ventures Ltd. for some promising ground. Indicator staked nearly 14,000 hectares on the northern border of Dunsmuir's Nanuq property on the first day the area became available for exploration. Dr. Ettlinger said that Dunsmuir was also busy staking on that first day. As a result, it will be up to the mining recorder to decide precisely who got what portion of the desirable new property.
The staking frenzy
Indicator spokesman, Bernie Kennedy, said that Hunter Exploration Group staked the ground on Oct. 1 and the private company filed the claims with the mining recorder a week later. He added the ground would fall under the agreement between Hunter and Indicator. The terms of that arrangement give Indicator an exclusive right to earn an 80-per-cent interest in the property.
Mr. Kennedy was hopeful that Indicator and Hunter would be awarded the new ground, although he acknowledged there may have been some competition. Mr. Kennedy said the Hunter crews did see at least one other helicopter in the area. Nevertheless, "they are quite confident that they were the first ones on those particular claims," Mr. Kennedy added.
Mr. Kennedy's particular claims are the parts of the new property near the head of an existing train of indicator minerals on the Nanuq property. Dunsmuir traced those grains back to near the northern border of its Nanuq property, on the western part of its play. "With a little bit of luck, maybe we have got something there," said Mr. Kennedy.
Mr. Kennedy said the potential acquisition was the result of Hunter being on the ball. Indicator's investor relations manager said the Hunter crew knew the chemistry of the area and when the ground was coming free. "They play by the rules and they get there first," he added.
Dr. Ettlinger was also hopeful that his company had picked up a substantial portion of the most desirable claims. "Basically, we were up there staking at the same time they were," he said, adding the ultimate ownership would come down to the time of the staking, as well as the geometry of how the ground was staked. "Undoubtedly, they will have some land and we will have some land," he stated.
Dr. Ettlinger and Dunsmuir may have had air superiority in the battle for the ground north of Nanuq. "I think we had one more helicopter than they did," said Dr. Ettlinger, adding that Dunsmuir had tried to line up extra aircraft for the staking frenzy. Meanwhile, it is possible there could have been more competition for the claims.
As a result, investors will have to wait until the mining recorder decides the matter. Stakers have 30 days to file their paperwork, so the recorder will not be able to start the process until the beginning of November. With the possibility that both Dunsmuir and Indicator will end up with pieces of the play, Dr. Ettlinger seemed willing to consider a deal. "We are happy that it is a group we respect and can work with," he stated.
The Nanuq inspiration
BHP Billiton Ltd. first worked the Nanuq property and came up with indicator mineral promise on the play. The company subsequently dealt the project off to Dunsmuir, as part of a larger agreement between the two companies. The Nanuq project quickly became Dunsmuir's priority project, fuelled by continued indicator mineral promise.
Till sampling by BHP and Dunsmuir identified two promising areas. The main indicator mineral train on Nanuq is in the northern part of the property. The mineral swath is several kilometres wide and extends northwestward for about 35 kilometres, toward a source that could be on the new claims. Earlier, Dunsmuir's geologists said that they believed there would be a cluster of kimberlites in the source region and some of the finds could well be north of the Nanuq property.
Dunsmuir came up with some promotable till samples in the suspected source region of that mineral train, on the Nanuq side of the line. The company produced significant tallies of pyrope garnets from some of those samples, and there were signs the grains were not far from their source.
The company plotted a busy drill program on Nanuq for this spring, planning to poke holes into several targets in the suspected source area. Dunsmuir unfortunately ran into a series of problems and delays. The company did test five targets, but none of them proved to be kimberlites. That left Dr. Ettlinger and Dunsmuir to plot their next moves.
With the till sampling density and geophysical data falling short of the desired coverage, Dunsmuir was busy again this summer. The company collected another 500 till samples, many of them designed to fill in the area near the suspected source of the main train, near the new claims. As well, Dunsmuir has completed a Falcon gravity survey over the property.
The players
Dr. Ettlinger and Mr. Counts have been around diamonds for several years, starting their own exploration companies over the past few years. Mr. Counts got his diamond start with BHP in 1992. The company hired the geophysicist to assist Hugo Dummett and Ray Ashley, who were handling the geophysical work for Chuck Fipke's Dia Met Minerals Ltd., which mainly dealt with the geochemical exploration.
Mr. Counts continued to work on the Ekati play until 1997. During that time, BHP and Dia Met tallied several major discoveries and began building a mine based on five key kimberlite pipes. Mr. Counts struck out on his own as a consulting geologist in 1997.
Mr. Counts dabbled with diamonds in Alberta for a time, but it still was Dia Met that kept him busy. The company had active gem hunts in Finland, Mauritania and Greenland, and Mr. Counts popped up on those projects. That abruptly changed in 2000, when Dia Met put itself on the auction block and promptly found a willing suitor in BHP.
The Australia-based mining giant had no use for Dia Met's supplementary diamond projects. It quickly dropped the plays and that left Mr. Counts with a much smaller income. Nevertheless, he still kept active with diamonds on a few plays in the North.
One of those was with Shear Minerals Ltd. Therefore it was no surprise that Mr. Counts selected one of that company's minor plays, when he transformed Dev Investments Inc. from a cash shell into a gem hunter early this year.
John Williamson created Dev in 2001, and he offered the shell to Mr. Counts last year. Not surprisingly, Mr. Williamson and Mr. Counts have managed to do a diamond deal together. Mr. Williamson's Committee Bay Resources Ltd. has a metals project in Nunavut, and the company granted Indicator an option on the diamond potential of the play.
Mr. Counts could use some promotable news. Indicator's shares crested at 85 cents in early March, just after the transformation from Dev, but the stock slid from there, dipping below a quarter in early September.
Dr. Ettlinger could also do with some toutable developments on Dunsmuir's diamond projects. The company's shares traded as high as 58 cents in mid-2002 and reached 49 cents early this year, but the stock dipped to a 14-cent low early this summer, after its Nanuq drill program struck out.
The company's fortunes improved somewhat after it agreed to a merger deal with Eric Friedland's Peregrine Diamonds Inc. That arrangement initially valued Dunsmuir's shares at 40 cents, but a 32-cent peak was the best that Dunsmuir could muster, and the agreement was rejigged to a value just less than 30 cents.
Dr. Ettlinger grew up in New York, but worked his way westward across the northern tier of states during his university days. He wound up in Washington in the early 1980s, where he earned his doctorate in geology. Dr. Ettlinger migrated northward after that, with a one-year apprenticeship with the B.C. Geological Survey, followed by a few years at the University of British Columbia.
Dr. Ettlinger's university work had dealt primarily with gold, and he spent a few years working with some companies on gold plays scattered around the world. In the mid-1990s, his career brought him back to Canada, through a job as a mining analyst. He started in Vancouver, with Wolverton Securities Ltd., but moved to Calgary with Yorkton Securities Inc. the following year.
Dr. Ettlinger continued his gold specialization, but the slumping price of the metal brought tough times to most gold promotions. In the late 1990s, he began following diamond companies, spurred by the interest that Winspear Resources Ltd. stirred up with its Snap Lake project.
Like Mr. Counts, Dr. Ettlinger decided to try his hand at running his own diamond junior. Dunsmuir had been in the stable of Endeavour Financial Corp., and Dough Leishman, a former Yorkton analyst then with Endeavour, suggested that Dr. Ettlinger take over the struggling shell.
Dr. Ettlinger made the move early in 2002, through a deal with BHP for a Manitoba gem play. Nothing came of that Moose project, but the arrangement also gave Dunsmuir the right to select some other BHP plays, and Dunsmuir quickly selected the Nanuq play from BHP.
Nanuq has indicator promise, but speculators have become impatient with the hunt for kimberlites and diamonds. The new ground to the north should breathe new life into the struggling project, but it will be some weeks before investors know how the ownership of the claims will fall out.
Indicator gained one-half cent Thursday, closing at 31.5 cents, while Dunsmuir added two, closing at 20 cents.
DIA Big Red acquires 20% interest in Dumont JV properties
2004-10-20 16:49 ET - News Release
Mr. Francois Desrosiers
BIG RED DIAMOND CORPORATION ACQUIRES 20% WORKING INTEREST IN DUMONT PROPERTIES
Big Red Diamond Corp. has now paid approximately $910,000 to Kelex Development, completing the terms of the agreement signed by Kelex and Big Red on Sept. 24, 2004, relating to the Dumont properties of the Attawapiskat region. As a consequence, Big Red has now been assigned a 20-per-cent working interest in the Dumont properties, which now become part of and are subject to the terms of the existing December, 2002, Big Red/Kel-Ex joint venture agreement.
Since signing the Dumont property agreement on Sept. 24, 2004, work has resumed on all of the Big Red/Kel-Ex joint venture properties, including the Dumont nickel properties. Over the course of the joint venture between Big Red and Kel-Ex more than $12.5-million has been invested in the Attawapiskat/Dumont claims.
As previously reported in Stockwatch in a Metalex press release dated Sept. 24, 2004, more than 40 power auger holes, from the planned 221 auger and 19 core target sites, have already been completed on the aforementioned claims and three diamonds have been found. One of the auger holes contained a field-identified piece of kimberlite sent to C.F. Mineral Research Ltd. for confirmation. Exceedingly abundant kimberlite indicator minerals have also been found, containing compositions indicative of diamond formation. Of the diamond indicator minerals found so far, numerous peridotitic G10 garnets and group 1 eclogitic garnets have been recovered, together with significant amounts of chrome diopsides and olivines, all with diamond inclusion compositions.
Two auger and one small bore diamond drills are currently being used for the 221 initially planned sampling sites, and 15 of the 19 initially planned core holes are to be drilled in the vicinity of an auger intersection of field-identified diamond-bearing kimberlite. Several of the other drill targets are located concurrent to geophysical anomalies.
It is presently thought that the source of the 18 glacial trains are derived from as yet undiscovered diamond-bearing kimberlites situated in both Dumont nickel and Attawapiskat claims of the Kelex/Big Red joint claims.
DMXP Delta Mining and Exploration Corp. Prepares for Upcoming Work Program at the Homestead Property in Montana
2004-10-11 10:00 ET - News Release
LEWISBURG, Ky., Oct. 11 /PRNewswire-FirstCall/ -- Representatives of Delta Mining and Exploration Corp. (Pink Sheets: DMXP) visited the Homestead Kimberlite last week taking a number of samples from the diamondiferous kimberlite.
All the samples were taken from the visible kimberlite outcrops behind the Homestead cabin. A number of samples taken contained the xenolithic rock characteristic of kimberlites. The xenolithic rocks showed clear examples of the diamond indicator minerals garnet and pyrope. The other collected samples clearly displayed the green soil and rock of the kimberlitic body.
In planning the work program the accessibility of the kimberlite would result in large savings in exploration expenditure. Kimberlites are usually found well beneath the surface, so would normally require removal of large amounts of overburden to gain access to the kimberlitic mineralized zones.
A number of the other prospective targets were visited while in the vicinity of the Homestead Kimberlite. Although only briefly examined, they display similar characteristics to those of the diamondiferous Homestead pipe.
Furthermore, the landowner is pleased to hear that Delta plans to commence exploration in the near future. As the landowners are heavily entrenched in the local community, they noted the positive effect the work program and any subsequent exploration and mining programs will have on the local economy.
It was the first time Tom Charlton, the Montana Representative, had visited the Homestead property and his expectations were more than fulfilled. Mr. Charlton has an extensive background in the mining sector having managed several successful public and private companies but in all his experience he said that he "has not seen a property with as much potential as the Homestead Kimberlite. It is one thing to read all the encouraging reports on the Homestead property, but it is another to actually see the kimberlitic outcrops with xenolithic rocks and the clearly visible garnets and pyropes."
About Delta Mining and Exploration, Corp: http://www.deltamine.com/ Delta is a mineral exploration company with an extensive portfolio of diamond and gold properties in Montana, USA and in Bolivia, South America. Delta controls some 7500 acres throughout Montana located within the Wyoming Craton where many of North America's diamonds have been found. Another 10,000 acres of prospective diamond and gold properties are controlled in Bolivia, South America.
This press release contains forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995 (the "Act"). In particular, when used in the preceding discussion, the words "plan," "confident that," "believe," "scheduled," "expect," or "intend to," and similar conditional expressions are intended to identify forward-looking statements within the meaning of the Act and are subject to the safe harbor created by the Act. Such statements are subject to certain risks and uncertainties and actual results could differ materially from those expressed in any of the forward-looking statements. Such risks and uncertainties include, but are not limited to, the ability of the Company to complete the planned bridge financing, market conditions, the general acceptance of the Company's products and technologies, competitive factors, timing, and other risks described in the Company's SEC reports and filings.
ON BEHALF OF THE BOARD of Delta Mining and Exploration Corp.
Delta Mining and Exploration Corp.
CONTACT: Alex Livak for Delta Mining and Exploration Corp.,
+1-917-731-0215, or info@deltamine.com
Web site: http://www.deltamine.com/
1.2 million DMR shares crossed this morning.
Diamcor faces another legal battle with van der Merwe
2004-08-20 12:58 ET - Street Wire
by Stockwatch Business Reporter
The South African legal battle between Wayne Wolf's Diamcor Mining Inc. and South African businessman Nicolaas Jacobus van der Merwe has arrived in British Columbia. Mr. van der Merwe has filed a petition in B.C. Supreme Court demanding that Diamcor buy out his 46.7-per-cent interest in the So Ver diamond mine in South Africa. He claims that his working relationship with Diamcor, marred by legal battles, a restraining order against himself and alleged death threats, is so sour that they can no longer work together. Mr. van der Merwe's petition does not appear to have any basis other than the poor working relationship, but it does indeed appear poor.
Mr. van der Merwe claims that he no longer has any representation in the management of So Ver as a result of Diamcor's firing of Edward Dippenaar, an employee appointed by the court to represent Mr. van der Merwe after he was ordered to stay away from the mine. He says that the company does not consult him with regard to the running of the mine.
Mr. Dippenaar was appointed to represent Mr. van der Merwe as both a director and employee of So Ver Mine Pty. Ltd., the holding company for the mine. In an affidavit attached to Mr. van der Merwe's petition, Mr. Dippenaar says that the other directors of So Ver, T.A. Theron and D.R. Del Frari, ignored and overruled him as both a co-director and employee.
Mr. Dippenaar says that they repeatedly ignored his advice, which resulted in equipment failures, the cancellation of So Ver's insurance policy and the disappearance of machinery from the mine. He was eventually fired as an employee, after Mr. Theron and Mr. Del Frari accused him of sabotaging and neglecting mine equipment.
Mr. Dippenaar also alleges that Diamcor tried to muzzle him. He says that he was warned by Jeffrey Wolf, Diamcor's representative in South Africa, that he should not tell Mr. van der Merwe about any activity at the mine. Jeffrey Wolf allegedly told him that if he did so, he would be drawn into the legal battle between So Ver and Mr. van der Merwe and would incur substantial legal fees as a result.
SHARE TROUBLE
Mr. van der Merwe also is seeking Diamcor's co-operation in trading 500,000 shares he received as part of a separate transaction, Diamcor's aborted acquisition of the Lena/Schuller diamond mine. The shares were given to him as part of the deal by Peter Haladin, then Diamcor's president, in 1999. He says that he has attempted to sell the 500,000 shares, however, Mr. Haladin and Diamcor's current president, Wayne Wolf, have been unwilling or unable to complete the paperwork that would allow him to trade the shares.
A ROCKY RELATIONSHIP
Mr. van der Merwe's soured relationship with Diamcor began in March, 1999, according to a lengthy affidavit supporting his petition. At that time he says he was approached by Mr. Haladin, who suggested that Mr. van der Merwe take over Diamcor and use So Ver to run the company's price. "With our company you can load yourself up with cheap 15 Cents stock, and if your projects are good (which I assume) the shares could easily see the $2.00 mark again," wrote Mr. Haladin in a March 6, 1999, fax letter.
Although no takeover took place, this marked the beginning of Mr. van der Merwe's rocky relationship with Diamcor.
An early sign of unpleasantness was contained in a Nov. 7, 2001, e-mail written by Mr. van der Merwe during a period of difficult negotiations. He wrote to Mr. Haladin, "You always find a reason to ignore or differ with any proposals or any suggestions I make." He said that he was fed up with signing agreements and threatened to look for money elsewhere "without all the bull shit."
DIAMCOR SUES VAN DER MERWE
The relationship took a turn for the worse when Diamcor filed a suit against Mr. van der Merwe and his wife in the High Court of South Africa on March 18, 2003. Diamcor's claim, which is attached to Mr. van der Merwe's current petition, alleged that Mr. van der Merwe and his wife stole 9,151,000 rand (approximately $1.83-million) worth of diamonds and stole 378,617 rand (approximately $760,000) from So Ver's bank account to pay royalties to the government for the diamonds.
Diamcor is seeking the return of the money and the value of the missing diamonds. Until the case is heard, the High Court has ordered that Mr. van der Merwe not be involved in the operations of So Ver.
Mr. van der Merwe says that the litigation in South Africa will serve Diamcor's purported purpose in controlling the mine until the end of its useful life, expected by the end of 2004, and will exclude Mr. van der Merwe from realizing any benefits from the mine.
THE MINE OPTION AGREEMENT
At the heart of Mr. van der Merwe's petition is an amendment to the original So Ver option agreement, dated April 23, 2003. In the amendment, Diamcor agreed to purchase the 80 per cent of So Ver that it did not own at that time for $1.2-million. Diamcor was to immediately pay $400,000 to increase its interest to 53.3 per cent and $800,000 within six months to acquire the remainder of the mine.
Diamcor did pay $400,000 to increase its interest to 53.3 per cent, but it did not acquire the remainder of the mine. Mr. van der Merwe was left holding 46.7 per cent of a mine that he says he has no influence over.
FLUSHED FROM THE MINE
Mr. van der Merwe, in his affidavit, says that Diamcor is trying to adopt a mentality of "flushing" him out. As evidence, he presents portions of e-mails written by Wayne Wolf discussing how to flush Mr. Haladin out of Diamcor, and says that Diamcor is trying to do the same thing to him.
In the e-mails, dated July 16, 2002, and July 5, 2002, Wayne Wolf allegedly said that Mr. Haladin has "many skeletons in this deal." The affidavit, quoting from the e-mails, adds, "It is good that we flush him (with reference to Peter Haladin) out of the system now and not at $3.00."
Quoting a different portion of the e-mail, the affidavit continues: "If the exchange gets involved, all of the skeletons of this deal will come out and Nicholaas' name will go through the mud with Peter's. This will discredit Nicholaas after the exchange and create difficulty when we apply for new applications on future deals."
THE DEATH THREAT
Mr. van der Merwe also contends that Wayne Wolf and Jeffrey Wolf falsely accused him of threatening to kill Jeffrey Wolf and his family in an attack at an airport near the So Ver mine. According to a newspaper article printed by South African newspaper The Citizen, which is attached to Mr. van der Merwe's affidavit, 76-year-old Mr. van der Merwe was prohibited by a court order from assaulting or threatening Jeffrey Wolf. The June 19, 2002, article said that Mr. van der Merwe confronted Jeffrey Wolf on June 13, 2002, accused him of lying, issued the death threat and punched him in the face.
The intervention of a "large bystander" and airport security halted the attack.
Mr. van der Merwe, in conclusion to his lengthy petition, asks that the B.C. Supreme Court exercise its jurisdiction over Diamcor and the option agreement (which contained a clause stating that the deal would be governed by B.C. laws) and order Diamcor to acquire the remainder of So Ver.
Diamcor, which recently raised $177,500 at 10 cents, last changed hands on Aug. 17 for 13.5 unhappy cents.
Halted at $2.20!!
Tsodilo doesn't say why stock trading increased
2004-10-05 15:46 ET - News Release
Mr. James Bruchs reports
UNAWARE OF ANY MATERIAL CHANGE
Tsodilo Resources Ltd. has confirmed that the company's management is unaware of any material change in the company's operations that would account for the recent increase in market activity.
CMKM Diamonds #board-1561 mired in outstanding muddle
2004-10-01 21:13 ET - Street Wire
Also Street Wire (U-UCAD) US Canadian Minerals Inc
by Lee M. Webb
CMKM Diamonds Inc., a highly touted pink sheet diamond exploration play featuring a funny car dragster as a promotional vehicle, is mired in an apparent muddle over its share structure. Published ratios for two CMKM dividend-in-specie schemes peg the outstanding total at approximately 780 billion shares, but a third dividend-in-specie ratio seems to set the total at an even more staggering 1.56 trillion shares.
Many CMKM shareholders, particularly members of the cult-like following that congregates on an Internet chat site called PalTalk, dismiss any suggestion that the company has anywhere near 780 billion shares outstanding, let alone an outstanding total of more than 1.56 trillion shares.
The outstanding muddle
CMKM is headed by Prince Albert, Sask., native Urban Casavant, a former prison guard and then U-Haul entrepreneur who moved on to become a self-taught prospector and minor stock promoter. Mr. Casavant now makes his home in Las Vegas, Nev., from whence he launched his latest promotion, which once featured another 22 Casavants as shareholders.
The company stopped filing with the U.S. Securities and Exchange Commission (SEC) in July of 2003, so there is little in the way of current information regarding CMKM available from official sources. Among other things, speculation regarding CMKM's share structure has been rampant since the company bowed out of reporting.
A brouhaha erupted in late June when a newly hired transfer agent, Pacific Stock Transfer, publicly pegged the number of outstanding shares at a staggering 400 billion. CMKM immediately dismissed Pacific Stock Transfer, but did not bother provide its own disclosure regarding the number of outstanding shares.
In a series of transactions in July, CMKM acquired shares in three other companies and subsequently announced three dividend-in-specie distributions of those shares. The company acquired 7.5 million shares of OTC Bulletin Board-listed U.S. Canadian Minerals Inc., 40 billion shares of privately owned Casavant International Mining and approximately 95.5 million shares of Juina Mining Corp., which changes hands on the pink sheets.
On Aug. 18, after announcing the dividend-in-specie schemes, CMKM filed an amendment with the Nevada Secretary of State increasing its authorized share total to 800 billion.
U.S. securities regulations require that information regarding dividend distributions, including the dividend ratios, be provided to the National Association of Securities Dealers. That information is now in the public domain, courtesy of the OTC. However, the muddle over the number of outstanding shares remains.
According to revised information regarding the distribution of 7.5 million shares of U.S. Canadian Minerals now payable on Oct. 6, shareholders will receive 0.00000962 of a restricted share of U.S. Canadian for each share of CMKM. A simple calculation using that ratio sets the number of outstanding CMKM shares at a staggering 779.6 billion.
A calculation based on published information regarding the dividend distribution of 95.5 million shares of Juina Mining reportedly payable on Nov. 15 yields a similar figure. Shareholders will receive 0.00012267 of a restricted share of Juina Mining for each share of CMKM held, setting CMKM's outstanding total at a comparably lofty 778.5 billion.
However, a calculation involving the dividend-in-specie distribution of shares of Casavant International Mining reportedly payable on Oct. 18 and falling in between the two other dividend-in-specie distributions yields an outstanding figure that is approximately double the amount produced by the other two calculations.
According to the published information regarding the dividend distribution of Casavant International Mining shares, shareholders will receive 0.0256 of a restricted share of Casavant International Mining for each CMKM share held. Assuming the full 40 billion shares of Casavant International Mining are distributed, that calculation pegs CMKM's outstanding total at more than 1.56 trillion shares.
While the distribution of only half of the 40 billion shares held by CMKM or even a share consolidation of Casavant International Mining on the basis of one new share for each two old shares might account for the peculiar discrepancy in the calculations, public information regarding privately owned Casavant International Mining is even sketchier than the public information available for CMKM.
Stockwatch contacted the Nevada Secretary of State for what little information is available regarding Casavant International Mining, formally headed up by CMKM's chief executive officer Mr. Casavant and now at least nominally led by Ron Casavant.
No information was provided that might explain the discrepancy in the calculations. Adding to the general muddle surrounding CMKM, however, the Nevada Secretary of State reported that as of Sept. 28 Casavant International Mining was only authorized to issue a modest 25 million shares.
Evidently some paper work will have to be completed before the Oct. 18 dividend-in-specie distribution of shares of Casavant International Mining.
In the meantime, many Internet followers of CMKM simply do not believe the company has issued approximately 780 billion shares or more.
A favourite mantra among the CMKM PalTalk faithful is, "Don't believe anything unless you see it in a PR." Melvin O'Neil, the company's investor relations spokesman, has intoned the same mantra during his frequent participation in the PalTalk chats.
Since CMKM has not disclosed either the number of outstanding shares or even the dividend-in-specie ratios in press releases, the faithful profess not to believe the officially published ratios or the staggering number of outstanding shares revealed by those ratios.
Of course, that particular mantra is only selectively invoked. It does not seem to apply, for example, to fantasies about a massive short position responsible for depressing the company's share price, an "intrinsic valuation" of a trillion dollars or higher, unsupported claims about the largest diamond find in the world or many other wild speculations embraced by the CMKM faithful.
Whether by design or chance, CMKM has managed to attract a remarkably large number of naive, excitable, imaginative and intensely loyal shareholders, many of whom have brought relatives, friends, co-workers and other acquaintances into the stock. Indeed, CMKM seems to have tapped into a promoter's dream, a growing, proselytizing vanguard of believers zealously searching out potential converts for the promotion.
The promotion
CMKM's promotion turns on the company's various interests in a number of Saskatchewan mining claims, particularly some property in the vicinity of Fort a la Corne, where there are two advanced diamond exploration projects entirely unrelated to CMKM. The company's own modest drilling efforts in the Fort a la Corne area have not produced much in the way of toutable results.
Indeed, as disclosed on June 15 by CMKM's Canadian joint venture partners, Consolidated Pine Channel Gold Corp. and United Carina Resources Corp., only one of 12 samples from a five-hole drilling program on the previously drilled Smeaton property yielded any microdiamonds, two tiny stones with a combined weight of 0.000005 carat.
While the less than impressive drilling results had some negative impact on CMKM's subpenny stock price, they did not seem to have much of an impact at all on the enthusiasm of many of the company's devoted followers. Indeed, a remarkably large number of the CMKM acolytes believe that the company has made a massive diamond discovery, but is keeping the find secret until it is ready to reveal a so-called "master plan."
The touts
Promotion is an important part of any mining play, and paid touts are a rather common feature of mining promotions. CMKM has benefited from both compensated and reportedly uncompensated touts.
Earlier this year, an outfit based in Boca Raton, Fla., distributed a CMKM tout consisting of an article lifted from the Prince Albert Daily Herald, 11 factoids widely available on the Internet regarding diamond exploration in Saskatchewan and a two-paragraph closing blatantly plagiarized from an Oct. 21, 2003, Stockwatch article. The real investment pitch was none too subtly inserted into the material plagiarized from the Stockwatch article.
The Boca Raton tout outfit, which seems to have since vanished into cyberspace, received one billion free trading shares of CMKM for its efforts. According to the disclaimer that no longer appears in cached versions of the tout, PartTime Management Inc. anted up the one billion CMKM shares.
Interestingly, a search of Nevada-registered corporations reveals a company named Part Time Management Inc., with "Part" and "Time" not elided. The registered agent for Part Time Management is David Desormeau, who has a number of connections to Mr. Casavant. Part Time Management's officers are identified as James Kinney and Ginger Gutierrez. Mr. Kinney and Ms. Gutierrez previously served as investor relations representatives for CMKM.
Mr. Casavant's pink sheet promotion has more recently piggybacked on a paid tout for an associated company that trades on the OTC Bulletin Board, U.S. Canadian Minerals.
On July 18, OTCPro.com published a tout for U.S. Canadian Minerals that led off with two paragraphs primarily devoted to CMKM and followed up with several more mentions of the company and eight bulleted factoids about diamond mining in Saskatchewan.
"OTCP has been compensated 50,000 free trading shares of UCAD (U.S. Canadian Minerals) by IB2000, a non-affiliated third party," the disclaimer at the end of the tout notes. At the time the tout was published, U.S. Canadian Minerals was changing hands for $4.50 per share and within seven trading days jumped to $7.35 per share. (All amounts are in U.S. dollars.)
Interestingly, a search of Nevada-registered corporations reveals a company named IB 2000.com., with "IB" and "2000" not elided. The resident agent and only officer of IB 2000 is identified as John E. Dhonau, reportedly a key figure behind CMKM, U.S. Canadian Minerals and associated companies.
CMKM has perhaps received even more promotional mileage from reportedly uncompensated touts who have flocked to the play.
Harold (Hal) Engel, who does his compensated and uncompensated promoting under the banner of WillyWizard.com, supplemented by thousands of Internet posts, was an early cheerleader and remains one of the most prolific CMKM touts.
Mr. Engel, who ran afoul of U.S. regulators in connection with some compensated touting three years ago, reportedly holds approximately 940 million shares of CMKM, but has not received compensation for his yeoman's work spinning out fantastic tales about the company's prospects.
The Green Baron, headed by Ed Miller, is a relative newcomer to the stable of CMKM touts and has provided free tout services for both CMKM and U.S. Canadian Minerals. He has also touted CMKM as a guest on a radio program called Prosperity for God's People.
Mr. Miller apparently holds a position in CMKM, as does his father upon his recommendation, but the extent of those holdings has not been disclosed. The Green Baron has been beating the drum for CMKM as "the stock play of a lifetime."
Pastor Dewayne Reeves, chief executive officer of Christian Traders and radio host of Prosperity for God's People, has also been spreading the good word about CMKM. Like WillyWizard and the Green Baron, Christian Traders holds shares of CMKM, but the good pastor disclaims receiving any compensation for touting the stock.
In addition to some of the more established touts, a number of bullish CMKM gurus have staked out positions on several Internet message boards where fantastic tales are served up to like-minded CMKM supporters.
The most bullish, imaginative and faithful group of CMKM Internet followers congregate daily on PalTalk in a virtual room called Sterling's New Classroom, named after one of the most popular CMKM Internet touts, Sterling Collins.
The PalTalk room, hosted at a cost of approximately $600 per month, offers text, audio and even video capabilities. The room has a capacity of 500 participants and on some occasions when the room's namesake appears to address the followers an overflow room has been opened to accommodate a few more hundred people.
The PalTalk following
The hundreds of CMKM fans who congregate on PalTalk under the watchful eyes of a few bullish administrators charged with maintaining some order in the room bristle at any suggestion that they are members of a cult-like following. Indeed, many claim that they welcome differences of opinion and open discussion.
In fact, it should be acknowledged that there has been a great deal of open discussion regarding different opinions among the PalTalk CMKM followers. For example, different opinions regarding the relative significance to this nascent mining giant of diamonds, gold, silver, uranium, oil, potash, zinc and so on have been entertained and roundly discussed.
Opinions regarding the "intrinsic value" of CMKM, imagined by many to be upwards of a trillion dollars, have likewise been the subject of much discussion.
Different opinions regarding the size of the imagined massive short position have also been discussed at length, with estimates ranging from hundreds of billions of shares to a trillion or more.
While these and other matters are the subject of extensive discussion and at least modest differences of opinion, there are very clear and narrow limits with respect to the extent of acceptable differences.
While wild fantasies regarding a wide spectrum of mineral resources, a multitrillion-dollar valuation and a massive short position are accepted and embraced, anyone with the temerity to argue that CMKM is far from establishing any mineral reserves, or that its properties are little more than "moose pasture" at this point, or that the company is grossly overvalued with its current market capitalization of approximately $235-million, or that there is no evidence at all of a short position would quickly receive a drubbing and almost undoubtedly be bounced or even banned from the room.
Among PalTalk's CMKM following, where "believe" is one of the most frequently used words, very little criticism of the favoured fantasies is tolerated and open skepticism is simply not on.
The influence of the cult-like PalTalk following extends beyond the virtual gathering of the CMKM faithful. Indeed, many members of the group have been active with the real-world CMKM promotion involving the sponsorship of a funny car dragster.
The promotional vehicle
Prior to dropping its SEC filing obligations, CMKM reportedly intended to acquire a time-share interest in an "ancient Chinese jade collection" purportedly appraised at $50-million.
"The Company believes that the jade collection will provide it with both a $50,000,000 asset base for reporting purposes and it will also serve as the centerpiece for a traveling jade museum show in venues throughout North America, including Las Vegas, NV (where major hotels and casinos have offered world master artwork collections, treasuries of the Russian Czars, treasurers from the Titanic, and motorcycle collections as revenue generating tourist attractions)," CMKM reported on Feb. 3, 2003.
Apparently CMKM planned to use the ancient Chinese jade collection as a promotional tool, but that plan was scrapped.
Earlier this year, CMKM unveiled a new plan and a new promotional vehicle: a funny car dragster. At first, even some of the company's faithful followers arched an eyebrow over that news, but CMKM has garnered a remarkable amount of promotional mileage from the funny car.
While gaudily painted cars thundering down a quarter-mile track in less than five deafening seconds before deploying a parachute might not be as highbrow as, say, a travelling ancient Chinese jade collection, CMKM may have targeted an appropriate market.
In any event, members of the PalTalk following who have gone to the races around the U.S. to rub shoulders with the executives and key players in CMKM and associated companies, meet fellow shareholders and file the latest "race news," not to mention heavily embellished rumours, seemingly invariably return reaffirmed in their belief in the company and quite enthused with the racy promotion.
In addition to the beer and burgers, the pep talks and the general camaraderie, shareholders attending the races share in promoting the company. Promotional literature, CMKM poker chips and T-shirts emblazoned with "Got CMKX?" are stuffed into bags and reportedly given away by the thousands.
While some shareholders have openly described their promotional efforts as "working the crowd," others simply report that giving away T-shirts and other promotional items is just a great way to meet people and chat about the company.
Just how many of the funny car crowd regaled with tales of a subpenny pink sheet stock with an "intrinsic valuation" of a trillion dollars or more, a convoluted "master plan," a massive short position soon to be remedied by a price-spiking short squeeze or other PalTalk "beliefs" have been sufficiently wowed to plop down some money on "the stock play of a lifetime" is an open question.
In any event, the PalTalk consensus seems to be that the funny car is a great promotional vehicle and that every shareholder should make an effort to attend at least one of the races.
As it happens, many shareholders are at least tentatively planning to attend a funny car race and shareholder appreciation party hosted by CMKM and U.S. Canadian Minerals in Las Vegas at the end of October. For many, however, those plans are contingent upon being able to free up some cash by selling some shares of CMKM at a profit before the end of the month.
Perhaps not surprisingly, a widely held belief among the PalTalk faithful is that enough of the so-called master plan will be revealed well before the end of October to drive CMKM's share price up so that they will be able to attend the Las Vegas party.
In any case, the outstanding muddle should be resolved, at least for most people, by next week, following the distribution of the dividend of restricted shares of U.S. Canadian Minerals payable on Oct. 6.
Meanwhile, there has been some unusual trading activity in U.S. Canadian Minerals. On Oct. 1, a record 963,234 shares changed hands and the stock gained 65 cents to close at $5.40.
CMKM, however, has been losing traction and struggling to keep from falling further into the subpenny basement. Approximately 6.1 billion shares of CMKM traded during the final session of the week and the stock ended the day at three-100ths of a penny.
The saga will continue.
Comments regarding this article may be sent to lwebb@stockwatch.com.
(More information regarding CMKM Diamonds and associated companies can be found in Stockwatch articles dated Oct. 21, 2003; June 22; and Sept. 16 and 24, 2004.)
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Reader Comments - Comments are open and unmoderated, although libelous remarks may be deleted. Opinions expressed do not necessarily reflect the views of Stockwatch.
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Not once did you mention Roger... Not once did you mention exactly what they are pulling up right next door to their mining rights...
Posted by Hoop @ 2004-10-01 21:44
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I am a CMKX stockholder, though not nearly as avid as most. I am simply one of those investors who sees something of interest, puts some extra money on it, and let's it ride.
Many of your points are well taken, and until disclosures/reportings of critical structure and value are reported there is really nothing in this acticle that is any "crazier" than some faithfulls at the opposite end of the spectrum.
One of the most interesting and reassuring aspects of CMKX for all investors is the one thing you seemed to have omitted which is the addition of Rodger Glenn as legal council. Why would such a positive addition be left from your article when most see him as the central piece of the company pie?
Posted by Shane @ 2004-10-01 21:45
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D. Roger Glenn. OOoopps, Mr. Webb?
Sincerely,
Curt
Posted by Curt @ 2004-10-01 22:07
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Shane:
One of the most interesting and reassuring aspects of CMKX for all investors is the one thing you seemed to have omitted which is the addition of Rodger Glenn as legal council. Why would such a positive addition be left from your article when most see him as the central piece of the company pie?
Perhaps I will come back to D. Roger Glenn in a future article. Meanwhile, perhaps this excerpt from a Sept. 24 article will be of some interest:
According to many of the CMKM faithful, any account of the company that does not include mention of its highly touted lawyer, D. Roger Glenn, would be seriously remiss, at best. Great weight is placed on Mr. Glenn's association with the company; indeed, some shareholders claim that he is the reason they hold the stock.
Many CMKM followers claim that Mr. Glenn is one of the top securities lawyers in the U.S., some extend that to one of the best in the world. While Mr. Glenn may indeed be a very good securities lawyer, Stockwatch has not been able to discover any publication ranking him among the top securities lawyers in the U.S. or anywhere else.
A review of SEC filings indicates that Mr. Glenn has been with three different law firms over the past five years and his name appears in SEC filings by at least 12 reporting companies over the same time period. Six of those companies are currently trading on either the OTC Bulletin Board or the pink sheets.
Mr. Glenn has not responded to a Stockwatch interview request.
Regards,
Lee
Posted by Lee M. Webb @ 2004-10-01 22:14
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Lee, you must admit that what Shore Gold is doing makes this stock at least worth the gamble. Because thats what this stock is, a gamble play. Nothing more, nothing less...
Posted by Hoop @ 2004-10-01 22:32
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There you go Lee, As per Will Purcell's article, the CMKX people will always show up and throw out/around their lawyer's name, like the rest of the world is supposed to stop and say WOW, you have a laywer! The CMKX people sure love their term 'legal counsel', don't they!
Hope he's good at criminal law, when the shareholders figure out what is 'really' going on! (Just my opinion!)
Perhaps someone spent too long chatting with the inmates at Saskatchewan Penitentiary, and learned too much?
Posted by EyesWideOpen @ 2004-10-02 01:27
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What in the heck does a lawyer have to do with the chance of finding another 3-1/millionths of a carat in pico-micro diamonds?!?! NONE!!! What does a lawyer have to do with the mining results of any company on the face of this planet?!?! NONE!!! What does a lawyer have to do with the potential of any company on the face of this planet?!?! NONE!!! (except for maybe the makers of VIOXX right now!) Results are not retaining a lawyer. Results are produced from actual work done on a property. Results are Not the work your neighbor does on his property and not the work you spend in Las Vegas in between slot machines and funny cars. Results are not grain bins showing up on a mag map!! Results do not come from reviving old shell companies!! Results do not come from a PO BOX in Melfort!! Okay, Enough truth! Listen up everyone, lets all move to Jonestown! I'll bring the purple kool-aid for you! ;)
Sheesh! Good luck Lee! Maybe you can save at least one from the brainwash! Funny how once they put their own money on the line, they'll say anything in an attempt to make a buck, or save from losing even more or admitting they got Duped.
Can't wait to see the 'newest' dividend NR! Great bathroom reading! JMO!
Posted by LETSMAKEUPNEWS @ 2004-10-02 01:50
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Lee sux fartz.
Posted by pemises @ 2004-10-02 02:51
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Hello Lee...
Haven't you got anything better to do with your time than worry about CMKX all day LONG?
Your latest expose is interesting as you fail to mention our D. Roger Glenn, the attorney who by the way used to work for the SEC. Given that Roger is preparing the FILING to get CMKX fully reporting again and requoted on the OTCBB, I would have thought you would have taken the time to look into Roger's professional background extensively.
Lee have you even tried to contact Roger Glenn?
Lee have you tried to contact Rendal Williams of UCAD?
Lee have you tried to contact Ed Dhonau of Nevada Minerals?
Lee have you tried to contact Rick Walker of United Carina?
Lee have you tried to contact Urban Casavant of CMKX?
Lee have you tried to contact the SEC?
Lee have you ever been to the FALC region of Saskatchewan?
Lee, GO TO THE SOURCE(s) !!
Lee you don't seem very interested in trying to really establish the TRUTH !
So far Mr. Casavant has provided CMKX shareholders with:
1. Forward split 2. CIM share dividend 3. UCAD share dividend 4. GEMM share dividend 5. CIM share dividend
This has cost CMKX shareholders nothing to date. How many public companies do you know of Lee, that have provided all this and have been a public company for less than 2 years as CMKX is?
Lee, I am still waiting for you to call me.
Oaks (aimho)
Posted by Okanagan @ 2004-10-02 02:51
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Lee,
Are you suggesting that perhaps the "highbrow" crowd that would have attended a jade exhibit would have seen right through what the "race car" crowd (hillbillies)is eating up like ice cream?
You know, I have had many a tete-a-tete with many a long and find that I have things in my fridge that do a better job holding up their end of a conversation than the typical CMKXer faithful.
You have to hand it to UC though. Did he know his target sheep...er...uh...I mean market or what?
Great piece and keep up the good work. This POS has cult scam written all over it and I'm eagerly awaiting the cyanide koolaide party when the proverbial shit hits the fan.
Hey Moe!
Posted by Art Corvalay @ 2004-10-02 03:58
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How much do you get paid to crap on your keyboard?
Posted by Georgeburns @ 2004-10-02 07:46
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I'll try to stay openminded but it's difficult to do when we as cmkx shareholders are blinded by aerial surveys and a attorney like Roger Glenn. I have read many interesting posts and truly believe that without Roger a good portion of us would not have too much faith left in Cmkx because of the non reporting status. I also believe that it is done intentionally because of the competitors-like Debeers. It is important to note that Debeers or any other company that has dominance worldwide would not want to give up their market share. I personally feel that if the general public chooses to invest their hard earned money into any company, it is their choice win or lose the investor will have learned a valuable lesson and not be subjected to a constant thrashing for making a decision in life. At this point no one and I MEAN NO ONE except the upper management of CMKX and the Attorney's know what is happening, we all speculate and thats all we can do at this point. To try and save us shareholders from doom is just a waste of time, if we screw up with Cmkx, more than likely we will jump up and move on to another investment.
Posted by Scorpion @ 2004-10-02 09:22
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Correct Scorpion, just a lotto ticket...no more, no less...
Posted by Hoop @ 2004-10-02 09:35
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Oh yeah...one thing that others have yet to remind you is that CMKX has received close to 20 million dollars in the last few months for a piece of their claims.
Apparently...these companies have been shown something. Would you sir, make an investment of 10 - 15 million dollars on a whim??
I hardly doubt it.
I hope you have bought some shares (enjoy the ride with us)
Posted by ntolnc @ 2004-10-02 10:07
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Mr. Webb, You mention in a previous article that D. Roger Glenn has been employed by pink sheet companies in the past. Can you provide us with the names of the firms Mr. Glenn has worked for and pink sheets he represented? Thank you.
Posted by SkepticaLeeWaitingYourReply @ 2004-10-02 10:10
2004-09-24 12:31 ET - Street Wire
by Lee M. Webb
CMKM Diamonds Inc. #board-1561, a sub-penny pink sheet promotion headed by Saskatchewan native Urban Casavant, was to be the topic of debate during a Sept. 21 half-hour Christian radio program called Prosperity for God's People. Stock tout Ed Miller of the Green Baron was scheduled to square off against a critic of the CMKM promotion, Hartley Bernstein of Stock Patrol. The ballyhooed debate bombed when Mr. Bernstein bowed out early.
Evidently Mr. Bernstein was unexpectedly travelling when the live radio program went to air and a poor telephone connection prompted his early departure from the debate. News of that development was greeted with a mixture of delight and derision among CMKM's faithful followers, many of whom label Mr. Bernstein a "basher."
The word "basher" is a popular, if nebulous, term bandied about regularly on Internet chat sites. At the frequently used extreme, anyone with the temerity to raise concerns or ask critical questions about a stock runs the risk of being labelled a basher.
Given Mr. Bernstein's very brief participation, Prosperity for God's People was pretty much basher free on Sept. 21. Pastor DeWayne Reeves, host of the program, and his stock tout guest, Mr. Miller, filled the void left by Mr. Bernstein with an upbeat chat about CMKM, a stock held by both the good pastor and the tout.
Before turning to a review of the great debate that turned into a chat, an introduction to CMKM and the participants in the radio program might be of some benefit to those unfamiliar with the pink sheet promotion.
The topic
CMKM, like most companies that trade on the mighty pinks in the U.S., is hardly a paragon of disclosure. The company's last regulatory filing was made with the U.S. Securities and Exchange Commission (SEC) on July 22, 2003, when it filed a certification and notice of termination of registration or suspension of duty to file reports.
Since CMKM stopped filing with the SEC, the sketchy information that can be pieced together about Mr. Casavant's pink sheet promotion comes largely from the company's own news releases, often vague and fluffy, and the occasional snippet gleaned from a welter of associated companies. Some of those snippet-delivering associated companies are even more obscure than CMKM.
Among the few pieces of information available from official outside sources is that CMKM is authorized to issue 800 billion shares. In addition, the official published ratio for a dividend-in-specie scheme payable on Sept. 24 pegs CMKM's staggering outstanding total at more than 779 billion shares.
CMKM has a wide following that extends far beyond the company's estimated 45,000 shareholders who hold those 779 billion shares. In addition to CMKM's devoted fans, many people follow discussions of the company on a number of Internet chat sites simply for the entertainment offered by the outlandish speculation, rumours and fantasies served up and seemingly embraced by both experienced touts and starry-eyed naifs who hold the stock.
The company's promotion turns on its interests in an unspecified number of mineral claims in Saskatchewan. Particular promotional effort is given to CMKM's highly touted property interests in the Fort a la Corne area, home to two advanced diamond exploration projects entirely unrelated to Mr. Casavant's play.
Earlier this year, CMKM and three joint venture partners, Canadian-listed Consolidated Pine Channel Gold Corp. and United Carina Resources Corp. along with OTC Bulletin Board offering U.S. Canadian Minerals Inc., drilled five holes on the Smeaton property in Saskatchewan. Much to the delight of the company's excitable fans, CMKM announced in late March that the Smeaton drilling had intersected kimberlite.
As previously noted in Stockwatch, it would have been something of a shock if the drilling program had not intersected kimberlite, given that the holes were apparently positioned to retest a 1996 Smeaton kimberlite hit by Swannell Minerals Corp.
After Swannell abandoned the project, Consolidated Pine Channel and United Carina picked it up and poked another four holes into the property in late 2000, hitting a narrow zone of reworked kimberlite in one of the holes.
Smeaton, with its less than stellar results, was then shopped around until Panterra Exploration Corp. briefly picked up and subsequently dropped an option on the property. Smeaton gathered dust again until CMKM appeared on the scene.
The excitement over CMKM's reported kimberlite intersection was ratcheted up a few notches in June when the company announced that the "Carolyn" pipe, renamed after Mr. Casavant's wife, was diamondiferous.
CMKM's Canadian partners, Consolidated Pine Channel and United Carina, subsequently disclosed more details regarding the diamondiferous Smeaton property. According to that more detailed report required by Canadian regulators, 12 Smeaton samples were sent for analysis, but only one sample weighing 40.1 kilograms yielded any microdiamonds. Sample No. 5 returned two tiny "stones" with a combined weight of only 0.000005 carat.
CMKM and its partners, bolstered by the addition of another Canadian junior, Shane Resources Ltd., moved to another site in early August. According to CMKM's investor relations spokesman, Melvin O'Neil, one hole was completed on the new property approximately two weeks ago, intersecting what he has described as "very interesting stuff." The identity of the "stuff" has not been disclosed.
Meanwhile, Mr. O'Neil says that the drill rig has been moved and a new hole is being drilled approximately 1.5 miles away from where the unidentified stuff was intersected in the last hole. It is not clear why CMKM would move so far from the very interesting stuff, but 1.5 miles is well beyond anything that could be called a step-out hole.
Notwithstanding CMKM's less than exciting exploration results, at least for investors with some experience when it comes to mining plays, the company has recently been the recipient of some rather hefty cash infusions.
In addition to peeling off 7.5 million shares, U.S. Canadian Minerals has ponied up $5.5-million for a slice of CMKM's mineral claims. (All future amounts are in U.S. dollars.) At least $3-million of that amount came from an otherwise unidentified related party to CMKM.
U.S. Canadian Minerals currently holds a 9.16-per-cent stake in CMKM's claims and can increase its interest to 15 per cent by shelling out a further $9.5-million.
St. George Metals Inc., a recently revived Nevada shell with connections to Mr. Casavant, has also been pouring shares and money into CMKM. In addition to a whopping 200 billion restricted shares, St. George has anted up $7.5-million under a $10-million option agreement to acquire a 5-per-cent stake in CMKM's mineral claims.
The source of that money remains a mystery, as does almost everything else about St. George, which also changes hands on the mighty pinks.
According to many of the CMKM faithful, any account of the company that does not include mention of its highly touted lawyer, D. Roger Glenn, would be seriously remiss, at best. Great weight is placed on Mr. Glenn's association with the company; indeed, some shareholders claim that he is the reason they hold the stock.
Many CMKM followers claim that Mr. Glenn is one of the top securities lawyers in the U.S., some extend that to one of the best in the world. While Mr. Glenn may indeed be a very good securities lawyer, Stockwatch has not been able to discover any publication ranking him among the top securities lawyers in the U.S. or anywhere else.
A review of SEC filings indicates that Mr. Glenn has been with three different law firms over the past five years and his name appears in SEC filings by at least 12 reporting companies over the same time period. Six of those companies are currently trading on either the OTC Bulletin Board or the pink sheets.
Mr. Glenn has not responded to a Stockwatch interview request.
Stock Patrol
Mr. Bernstein, one of the scheduled participants in the great debate, is the founder and publisher of Stock Patrol, which has been around since 1999. Since June of this year, Mr. Bernstein has published a number of very unflattering articles about CMKM.
"Dozens of the companies and people that have been profiled on StockPatrol.com have subsequently been targets of regulatory proceedings, investigations and criminal prosecutions," the company claims on its website.
Mr. Bernstein does indeed seem to have a nose for sniffing out overblown promotions and even outright scams that have subsequently run afoul of securities regulators and other agencies, including law enforcement agencies.
Apparently Mr. Bernstein's sniffer was not enough to keep him from his own stock-related problems when he was a securities lawyer representing a number of public companies and some brokerage firms.
"To his regret, Mr. Bernstein became aware of certain aspects of his clients' activities, and didn't disclose those activities to securities regulators," Stock Patrol's gloss on the affair states. "As a result, Mr. Bernstein agreed to plead guilty to participating in a conspiracy to commit securities fraud, and was sentenced to probation."
A May 27, 1999, litigation release issued by the SEC paints a much harsher picture of Mr. Bernstein's regrettable involvement in what the U.S. regulator described as a "massive securities fraud."
According to the SEC, simultaneously with being named in a civil complaint filed by the regulator, Mr. Bernstein consented to the entry of a final judgment in the case that included an order to pay a civil penalty of $40,000.
The U.S. regulator noted that in a parallel criminal proceeding in connection with the massive fraud, Mr. Bernstein pled guilty to two criminal counts, one count of perjury and agreed to pay $850,000 in restitution for his role in the fraud.
The Green Baron
Mr. Miller, the head of the Green Baron, also seems to have a keen nose for promotions. Indeed, he touts many stock promotions on his website.
While Mr. Miller receives compensation for some of his touting, as disclosed at the end of a very long disclaimer, he has evidently not been compensated for touting CMKM. He has also provided some free touting service to U.S. Canadian Minerals.
Unlike Mr. Bernstein, Mr. Miller does not seem to have ever run afoul of securities regulators.
Mr. Miller, who holds an undisclosed number of shares in CMKM, has published several articles about the company, all of them upbeat. According to the Green Baron puffery, CMKM could be "the stock play of a lifetime."
The pastor
Mr. Reeves, the host of Prosperity for God's People, holds approximately 10 million shares of CMKM.
The enterprising pastor is associated with an outfit called Christian Traders, which also has an Internet presence. Mr. Reeves and Christian Traders report that no compensation is received for any of the company profiles on the website.
Christian Traders features a message board, including a members-only forum for discussing CMKM that accounts for approximately 80 per cent of the messages posted to the site.
Mr. Reeves has previously discussed CMKM on his radio program.
On the air
While Mr. Reeves has discussed CMKM before on his radio program, the Sept. 21 edition of Prosperity for God's People featuring "The Great Debate" was billed as quite an event.
Broadcasting live from the flagship radio station in "beautiful Phoenix, Arizona," the program opened with a country-sounding spiritual song that seemed to come to an end with a clanging reminiscent of the closing bell on a stock exchange trading floor.
After welcoming his audience of Christian traders, Mr. Reeves paused to offer a prayer, noting that he was in need of prayer on that day and would later explain why he needed prayer.
Evidently Mr. Reeves's particular need for prayer had something to do with Mr. Bernstein and the possibility that he would not be able to take part in the great debate.
According to the good pastor, he had received word about an hour before the show was scheduled to air that Mr. Bernstein would be getting on an airplane, but would try to connect using an airplane telephone.
"Now, as you all know, this isn't something we cooked up last night," Mr. Reeves told his audience, with perhaps just a hint of exasperation. "The arrangements were made, carved in stone, over a week ago."
Mr. Reeves said he could not understand why Mr. Bernstein would be getting on a plane when he was expected to speak on national radio.
Rising flesh
"I'm a pastor, I'm what they call 'the man of God,' I'm supposed to not be burdened with this fleshly thing," Mr. Reeves remarked as he shared his reaction to the unsettling news about Mr. Bernstein. "But, you know, my flesh rose up. Your flesh rose up today, too, and it's probably going to rise up again before you go to bed.
"So what we have to learn to do as Christians is we have to learn to crucify that flesh.
"I can't be angry with this brother I don't even know. I have to love him, forgive him, pray for him because that's what God calls us to do."
Perhaps fortunately, the tide of rising flesh at least temporarily ebbed as Mr. Reeves announced that his technician was talking furiously to someone on the phone, possibly Mr. Bernstein.
On again
"We have Mr. Bernstein, he made it through on his airline phone!" Mr. Reeves exclaimed a short time later.
With the help of some prompting from Mr. Reeves, Stock Patrol's publisher explained that his plans had unexpectedly changed because he had broken his hand on Sept. 20 and was en route to visit his doctor.
The good pastor introduced his two telephone guests to each other and then sketched the format of the debate he envisioned.
Mr. Reeves then spent some time outlining the "neutral position" of Christian Traders with respect to CMKM.
"Yes, we do hold 10 million shares in our portfolio," the pastor noted. "We hold them simply for entertainment value. The reason I say that is because we don't have enough information yet to make any other type of a decision.
"Do we think that the possibility of making some profits are greater than a lottery ticket? Absolutely.
"Are we convinced? No.
"Have we been able to meet with management and ask them questions? No."
Mr. Reeves went on to provide the Christian Trader disclaimer regarding not accepting any compensation for promoting stocks. He also plugged the importance of becoming a member of Christian Traders, apparently a "unbiased" source of stock picks.
Off again
Alas, by the time Mr. Reeves was finished with his spiel Mr. Bernstein had lost his telephone connection.
"Ed, I'm going to talk to you," Mr. Reeves said after discovering that Mr. Bernstein was no longer connected. "If Hartley gets back through, then so be it."
The pastor began his one-to-one chat with Mr. Miller by reading a good portion of one of the CMKM touts published on the Green Baron website.
A key issue in that early tout was a discussion of the number of outstanding CMKM shares. According to the dated Green Baron article, "bashers" put that figure at approximately 483 billion shares. At that time, Mr. Miller's Green Baron maintained that the figure was incorrect and that the number of outstanding shares would be far lower than that.
A brouhaha erupted over the number of outstanding shares in June after CMKM briefly changed its transfer agent. The new transfer agent, Pacific Stock Transfer, was the recipient of some rather glowing comments from Mr. Glenn, CMKM's highly touted lawyer.
Shortly after being engaged, however, Pacific Stock Transfer disclosed CMKM's outstanding total, setting the figure at 400 billion shares. That news was broken on an obscure stock talk radio program on June 30.
CMKM's investor relations spokesman, Mr. O'Neil, just happened to be listening to the obscure program at the time and quickly called in to claim, in rather blunt terms, that the 400 billion figure was wrong. It was, as he put it, "b.s."
In a recent Stockwatch interview, Mr. O'Neil was asked about his June 30 claim regarding the number of outstanding shares. After Stockwatch pointed out that he had given the impression that the outstanding total was far less than the 400 billion disclosed by the transfer agent at the end of June, Mr. O'Neil said that if he left that impression, he owed the public an apology.
Pacific Stock Transfer was dumped immediately after disclosing the number of shares. Mr. O'Neil is still CMKM's investor relations representative.
In any event, when the Green Baron article first appeared, CMKM was authorized to issue 500 billion shares. Since then, the company has raised the authorized total to 800 billion shares.
Responding to Mr. Reeves's question regarding the outstanding shares, Mr. Miller acknowledged the increase in the authorized total to 800 billion shares and then went on to argue that CMKM had not issued all those shares, contrary to the claim by Stock Patrol.
In support of his claim, Mr. Miller served up a rather weak and confused argument tenuously linked to an SEC filing by U.S. Canadian Minerals. The apparent thrust of that misguided argument was that Mr. Casavant would not be receiving dividends on 40 billion shares of CMKM that he held prior to transferring them to privately owned Nevada Minerals Inc. on July 26 as part of mineral claims acquisition deal.
Given that Mr. Casavant personally held those 40 billion shares, they were clearly part of the outstanding shares. Moreover, given that the transfer of the 40 billion shares occurred prior to the record date for the dividend-in-specie scheme, Mr. Casavant clearly would not be receiving the dividend on those shares.
"We believe that he has locked up some shares," Mr. Miller continued, offering no substantiation for that belief or any explanation of how that would reduce the number of outstanding shares.
"Uhm, obviously we think he's bought back some shares," the tout went on, again not bothering to offer any support for that thinking.
Mr. Miller then segued into a discussion of a few things that were "out there" when the Green Baron "changed to a buy recommendation" on CMKM.
The tout's nattering about "a buy recommendation," though quite possibly candid, is at odds with the wordy disclaimer on the Green Baron website. "This material is not a solicitation or recommendation to buy, sell or hold any securities and does not provide an analysis of the financial position of the company," the lengthy blanket disclaimer states in part.
Among the things that were "out there," according to Mr. Miller, was a stock-and-cash deal under which U.S. Canadian Minerals could acquire up to 15-per-cent of CMKM's mineral claims. The first 5 per cent was acquired in exchange for 7.5 million restricted shares of U.S. Canadian Minerals.
Like many CMKM touts, Mr. Miller assigned a value to that deal using the arguably unrealistic market price of OTC-traded U.S. Canadian Minerals, currently floating around $5 per share. Mr. Miller pegged the value of the deal, including $9.5-million that has yet to be paid under an option agreement, at $52.5-million.
He also assigned a value to CMKM's holdings of another pink sheet company, Juina Mining Corp. CMKM currently holds more than 95.5 million shares of Juina, purchased for $500,000. That stake amounts to 25 per cent of Juina and CMKM has an option to acquire a further 24 per cent of the company for another $500,000. Juina has recently been changing hands for four U.S. cents. Mr. Miller tagged a value of $7-million to that deal, including the as yet unexercised option.
The Green Baron tout floated out a value of $78-billion for a deal involving St. George Metals before suggesting that rather than argue about that value, it could be discounted completely. He went on to suggest that a deal involving the even more obscure privately owned Casavant International Mining Inc. could be valued at $20-million.
According to Mr. Miller, even completely discounting the value of the St. George deal, his calculations lead to the conclusion that CMKM is trading at half of its value.
"And that doesn't even take into consideration that if you look up Saskatchewan, Saskatchewan is the second-highest oil producing providence and the third-highest natural gas producing providence in Canada," Mr. Miller went on, either unfamiliar or having difficulty with the word "province."
"And Saskatchewan is the third-largest non-fuel mineral producing providence in Canada," he continued.
"And the forestry that's there is one of the fastest growing industries there is.
"And then we look at potash. The providence is the largest potash producer in the world and accounts for 25 per cent of the world's potash production."
Mr. Miller never did get around to explaining just what oil, natural gas, forestry or potash might have to do with a pink sheet diamond exploration promotion.
The return
As the tout seemed to be nearing the end of his nattering about Saskatchewan, Mr. Bernstein managed to establish his telephone connection again. Evidently the Stock Patrol publisher was a little puzzled by all that talk of the prairie province.
"My concern here is that from an investor's point of view it's all well and good that there are these terrific industries thriving in Canada," Mr. Bernstein remarked. "There is not a single piece of information that indicates where CMKM stands in any of those industries.
"There is not a single piece of information that that company puts out that is verifiable.
"There is not a single audited financial statement or revenue number.
"There is absolutely nothing for an investor to go on."
Mr. Bernstein went on to remark that there are a number of very successful Canadian companies that provide a great deal of disclosure that are involved in the industries mentioned by Mr. Miller. He suggested that investors should look into those companies.
Mr. Miller piped in to say that he would like to respond to Mr. Bernstein, but he could not hear what he was saying.
Stock Patrol's publisher then apologized for the connection difficulties and said that he would try to speak with Mr. Reeves at some other time. With that, Mr. Bernstein signed off.
Back to the chat
"Okay, Ed, it looks like it's me and you," the pastor said after Mr. Bernstein again left the discussion.
Evidently for the benefit of Mr. Miller, the pastor offered his summary of Mr. Bernstein's comments.
"What he was saying is that there is no verifiable information," Mr. Reeves said. "We have no way of knowing that anything exists."
With the summary of Mr. Bernstein's comments out of the way, Mr. Reeves threw out his own comment. "However, all these companies keep throwing money at CMKX," the pastor said, referring to the company by its trading symbol. "Why is that?"
"Well, with today's technology, these companies know what exists," Mr. Miller replied, a claim that might surprise the executives and geologists at a number of mining companies still labouring under the notion that extensive drilling and sampling is required to prove up a deposit.
The tout went on to acknowledge that CMKM was not "going to be pulling up diamonds in a week or two," something of an understatement, to be sure.
"However, with today's technology and these fly-overs that are done and the gemologists looking at the evidence they have, these companies that are putting up $5-million and $10-million know what's there and they're going to be a part of the game because they're excited about what's there and that has to excite us as shareholders also," the tout gushed.
Mr. Reeves then asked about another issue raised by Stock Patrol; specifically, questions about the source of the cash that is being funnelled into CMKM.
"I honestly can't tell you," Mr. Miller acknowledged, stumbling a bit with his reply.
"Uhm, you know, they're -- these are mining people that are getting involved in these businesses," he offered.
"Uh, UCAD (U.S. Canadian Minerals) is in, uh, Ecuador, Yellow River, pulling out gold at an astronomical pace," the tout continued. "Very exciting company, I feel. That's where they're coming up with a lot of their money."
Just where Mr. Miller came up with the notion that U.S. Canadian Minerals is "pulling out gold at an astronomical pace" is another mystery, and one that certainly cannot be solved by looking at the company's dismal financial results. U.S. Canadian Minerals, flagged with a going-concern warning, is virtually penniless and has not reported any revenue.
"They did some equity financing, which obviously someone knows they have some products also," Mr. Miller continued.
What the Green Baron tout attempts to pass off as obvious may be murky, at best. In fact, the only thing obvious about recent financings by U.S. Canadian Minerals is that $3-million came from an unidentified party related to CMKM and was subsequently shunted off to CMKM, something disclosed well after the fact in an SEC filing.
Mr. Reeves moved on to ask why CMKM's stock price refuses to go up.
"Well, a couple of different reasons," Mr. Miller replied. "One, I think there's stock manipulation out there."
He went on to hint rather broadly that CMKM was being shorted, something that he suggested was a reason for hiring the esteemed Mr. Glenn.
He also suggested that CMKM had to become a reporting issuer and move to a higher board. That would certainly be quite a feat, given the company's share structure, among other things.
The wrap
"Well, Mr. Miller, I want to thank you for taking today's show seriously, for being faithful to come and stand by your convictions," Mr. Reeves said as the program was winding down.
"I hope that in the future Mr. Hartley (Mr. Bernstein) will take the opportunity that has been extended to him to defend the statements he has made," the pastor continued. "Everyone has read them and since he did not make it a priority to get on the air today, as promised, then I am not going to read over all of these negative statements. I will wait until he is on the air and he is able to defend the statements that he has made."
Mr. Reeves had one more question for Mr. Miller.
"Now, let me ask you this," he began. "If your mother was on a fixed income and she needed to invest a few dollars, would you personally steer your own mother towards CMKX?"
Mr. Miller danced around that question for a while, explaining that Green Baron's job was to put out information.
He went on to remark that Stock Patrol's job was to ask the questions. "That's what he is putting out there are questions that he knows can't be answered and that's, quite honestly, the way a basher works," Mr. Miller continued.
"Our job at the Green Baron is to give the information and not the question," the tout said.
"We list a lot of different stocks," he remarked. "We never actually say, 'Go and buy this stock.'"
Eventually Mr. Miller did come directly back to the question, with some prompting from Mr. Reeves.
"If your mom said, "Eddy, should I buy some CMKX," would the answer be yes?" the pastor asked.
"Ah, yes," Mr. Miller replied. "Actually, my mother is not living, but my father is and I do have him in CMKX."
With that, the good pastor thanked Mr. Miller again and then closed out his show.
On Sept. 23, U.S. Canadian Minerals shed 19 cents with 8,400 shares changing hands and ended the day at an even $5.
St. George Minerals traded 585,200 shares and closed unchanged at 27 cents.
CMKM Diamonds registered a volume of approximately 2.5 billion shares and closed at three-100ths of a penny.
The saga will continue.
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