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I saw that description too. My points are that it is quite clear that Ontario Securities Commission considers it a "red flag" a company that reports values based on metal in the ground without disclosing extraction cost etc.This is in answer to those who in response to my mentioning same things repsonded it was just a marketing by silence IR strategy to not disclose key estimates.
Second, look at their description of historical resources vs press releases of Colorado Goldfields. Pretty clear to me they are not preparing or disclosing according to NI43-101 criteria. But company specifically claims reports were produced according to such criteria.
( I could add pages from NI43-101 criteria to show this but that would be over-kill).(Let alone whether they disclose according to SEC Guide 7).
So we have overly-promotional press release,and probably very questionable disclosure of resources. CFO may not grasp all this but CEO should with his experience in USA and Canada.Add to this - repeating myself here- the lack of an 8k on the projected March 6 transactions.
I really dont think even if they succeed somehow on getting mill operational and profitable this year, which I doubt, if they continue on this path of overly-promotional press releases and selective disclosure at best they wont build credibility, at worst they will have to issue a series of retractions.
Yea one can take position just a speculation and one shouldnt take company's assertions too seriously. I think this company has some serious issues and I wonder whether CFO and CEO really have the savvy and ability to turn situation around.
I wonder what real reason is DTC put chill on their stock.
Just my opinion and I dont like being negative , but after a few months of looking at this company they dont exactly make one confident of their future.
Hecla is such a good story, some analsts will wake up on this one some day.
In reference to the NI43-101 report "prepared according to NI43-101 criteria" ,
From Ontario Securities commission Re NI43-101 reports ( and press releases from companies using NI43-101 reports)
Disclosure red flags
- Reporting gross metal value or in-situ value
• Very misleading and meaningless value
• Ignores development, mining, and processing costs
and further :
Disclosure of Historical Estimates
2.4 Despite section 2.2, an issuer may disclose an historical estimate, using the original terminology, if the disclosure
(a) identifies the source and date of the historical estimate, including any existing technical report;
(b) comments on the relevance and reliability of the historical estimate;
(c) to the extent known, provides the key assumptions, parameters, and methods used to prepare the historical estimate;
(d) states whether the historical estimate uses categories other than the ones set out in sections 1.2 and 1.3 and, if so, includes an explanation of the differences;
(e) includes any more recent estimates or data available to the issuer;
(f) comments on what work needs to be done to upgrade or verify the historical estimate as current mineral resources or mineral reserves; and
(g) states with equal prominence that
(i) a qualified person has not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves; and
(ii) the issuer is not treating the historical estimate as current mineral resources or mineral reserves
Go Hecla !terribly undervalued at $4 a share
How many shares outstanding this year ? I had forecast 200 to 250 million but considering recent price trends, and latest reported outstanding shares, I am thinking now maybe will be 250 to 300 million shares.
$.0034 X 50% = $.0017. If they raise another $250,000 during rest of 2014, that pushes them over 250 million shares.This doesnt count that shares may be issued for compensation and services.
Since I dont believe the marketing by silence is working or will work,nor do I now think mill will re-open at a profit this year, my opinion is there is a greater than 50% chance this forecast outstanding shares will be reached this year.
I hope for shareholders sake I am wrong, but absent information that would give more confidence they will meet objectives this is scenario I see. I could be very wrong though due to all the variables.Let's see what 10q says !
i have no dea what funds have been raised except the only indication is maybe there was some additional convertible debt under prior arangements according to one post. i already gave my estimates based on (a) what was was spent last year (b) cost to run a reporting company (c) some working capital for work they project they are doing.beyond that i dont know, but i suspect to meet permit conditions some work is necessary- yet recent post said no work being done since september as far as one can see.
just no information being released , i would say a bit worrisome at the least.i dont claim to know details but looking at their publicly-released information something seems mighty odd for a company supposedly going into production- sorry fellows, as of now i dont see profitable production this year.
but just a speculation so maybe i shouldnt be overly concerned !
G & A expenses whether fixed or variable are one thing. Since the assumed catalyst for growth and capital gains is the mill,the estimated CAPX required and current forecast operating costs/margins would give investors a better idea of potential viability. Since company claims to have done a prelimianry economic assessment, and has indeed provided forward-looking statements about revenue and gross profit %, there is in my opinion no excuse for not releasing information.This begets the question why not which plays right into those seirously questioning the potential for this company.
Some people have responded that this is a marketing by silence strategy that they believe will work. I see no evidence in market trends that it is working, but of course only time will tell.
Anyway as several have posted I have repeated myself.Just annoying and increasingly worrisome this lack of information combined with overly-promotional press releases. Doesnt breed confidence.Maybe things are worse than they may appear.I doubt the mill will be up and running on a profitable basis in 2013.Just my opinion of course.
Guess have to wait for 10q which should shed some light on situation.
Has share count gone up since last report by transfer agent ?
No I never considered they were doing underground work at all.
you are right, just bugs me the lack of disclosure.
Incredible no ground work taking place since September ! How does that match their fact sheet updated in February, and that surely some work necessary to meet permit conditions. Plus the lack of an 8k on what happened March 6.
I can understand a sub penny stock being speculative, I can understand them putting best spin on things. However I think the marketing by silence is not only not working, but very unfair to people buying this stock not to give full picture.
If CFO doesnt change in his ways I frankly have doubt the company has much chance of making it.
People talk about shorting penny and sub penny stocks, but funny no one can tell me a broker who will process such orders.
All this talk of shorting really not an issue- this company has no cash flow , a DTC chill, so needs to issue convertible notes to finance itself. This increases supply of stock while not enough demand so price drops.
Lack of demand a function of credibility of company, general market, and DTC chill, in my opinion, all contribute to falling share price.
Yes a language thing, maybe I am too literal. Company issues convertible debt, buyers then convert in 6 months, usually at 50% or so discount, but I see your point that it is CFO doing.
Anywy, will be interesting the next 10q to answer the many questions about this company.
For me the lack of an 8k about the March 6 events indictaes tehre are problems.
are you saying that a retail investor is allowed to sell short a pink sheet stock trsding udner $05 ?please let me know which broker allows a customer to do this.
i am unaware that any of the convertible debt is held by CFO, and that would have been disclosed as a related party transaction by the auditors.just out of curiosity how woudl you support such an opinion?
on the flip side it seems with the dilution that has occurred and will occur that the stock rpcie wil remain constantly udner pressure until CFO's amrketing by silence strategy delivers results.
CFO's intentions seem clear enough, he wishes to make money ! He has secured voting control of company and a second position on the mill, so he has taken care of himself.For shareholders depends on whether he can handle operations, finance and marketing in such a manner to deliver shareholder gains.Since he needs continued volume to make money, one has to assume that he does wish company to advance. Question is can his marketing by silence succeed at maintaining shareholder interest to buy shares, now and in the future.
I still believe on the low end this company will reach 200 to 250 million shares outstanding this year.
Company has no choice but to continue diluting shareholders to raise funds. Wont tolerate dilution ? He has voting control so only option to sell.
Since CFO has this marketing by silence routine, guess time will tell whether he has an effective strategy and can execute it.
You are talking about two different things it seems There are the rule 144 restrictions which are pretty much set in stone by the SEC,and there are company restirctions which of course can be changed. However there are huge difficulties placing a sub penny stock+ DTC chill + insider stock with brokerage firms these days.And they have to report purchases and sales on Form 4.
However I guess what is the point ? That CFO will find way to compensate himself is pretty normal.That people in business often will find all sorts of justifications to defend their own pay, especially when they control the voting shares, wouldnt be a surprise. What would you expect to be paid to take on risk and challenge this CFO has for example ?
Nice turnaround speculative play. Good for a quick pop and maybe more, IMO
Takeover ? I think at these prices one can see a takeover possibility for this company. They have much mroe than many junior mining micro-cap stocks. Dirt cheap at these prices,IMO.
This should be a $10 stock in my opinion, way too low a price. I like that finally the last year they have woken up that they need to build their market cap through acquisitions and not just long term organic growth. Pity execution of this plan hanst worked yet, but eventually it will. Regradless gorwth form eixsting properties justifies a hiher price.
Doesnt work that way, dont know how else to explain. Imagine company says (a) we have signed deal to acquire a $200 million asset for $3 million on march 6 (b) people buy stock based on tat possibility (c) march 6 rolls around and deal isnt closed or is re-negotiated. You wouldnt expect company to disclose that ? It is material to investors - whereas perhaps a $500 transaction to buy a copying machien wouldnt be.
If this was a much larger company and had money in the bank, they would face a lot more problems operating this way.
Just the way pink sheet market works though, and knowing that I shouldnt complain.
Doesnt need to be a fully staffed company to grasp basic disclosure rules and fairness to investors let alone building credibility.
CFO may consider this just a speculative vehicle akin to buying a lottery ticket, maybe with a bit better odds. But for those investors buying the stock thinking company will have smooth sailing once they get the permit approved, not have to dilute, some bank will lend money to them , etc., it isnt right they dont disclose material events positive or negative.And silly because they need credibility to realize true value of this stok even if they achieve only half what they are projecting.
In any case, for the record I also hope the company does well, but I have more doubts now than I did a few months ago.This is a speculation and I can understand losing all ones's investment, but it adds insult to injury CFO who has a second on the mill and voting control then cant disclose basic information. People can come up with every excuse out there, but saying you are acquiring an asset worth $200 million + on such and such date, then date comes buy and no confirmation, or information as to status , is just wrong.
Magna transaction is interesting to be sure.
They would have structured to avoid being classified as insiders so that they wouldn't have restrictions on how they could sell.As far as "retail" one could say they were "wholesale" buyers in a sense.
Was the Magna transaction a positive or a negative ?
Also, a question - what would you have had the company do differently the last few months or in the future ?
I am unsure what you mean by your comments that restrictions can be removed from insider stock at any time, especially for a sub penny stock with a DTC chill. Try to place restricted stock that is under 6 months old of a sub penny stock owned by an insider into any brokerage firm in the United States expecting that transfer agent,clearing firm and brokerage firm accept - you will soon find out how this process is not as simple as you present. Game has changed the last two years- even s8 stock hard to place.
Yes I agree this group because of desperate need for money will try every angle in the book(as one would expect), but simply most brokerage firms will not accept this stock.
The press release about value of resources in the ground without mentioning extraction costs and CAPEX requirements was not only overly-promotional, but contained very strange language - i.e didnt really say was a NI43-101 report, but was pepared according to that criteria. Yet if it was, then they would have the information typically required per SEC Guide 7 for filing either on an 8k, or at worst next 10q ( they have never presented infromation in that format before on their filings as far as I can see).
just figured it out. i tend to write fast, and sometimes then have to edit message. so when i tried to correct spelling mistakes on my posts, then i press update, makes it seem the various posts posted so fast.
by the way i am curious why I am apparently the only one questioning the lack of an 8k on the march transaction- I remember several posts by people emphasizing how important they considered that date.I really believe in my opinion this is a potentially serious red flag.
on the other hand. what would you have had management do differently ? with a DTC chill,poor balance sheet, no reserves and lack of credibility they cant raise money in conventional financing ( including a PPM), what else can they do but issue shares.
Just sems so odd, and fascinating that BTDG can put out almost any press release on any deal no matter how strange deal is. I mean really, who really relieves he has a functioning mortgage lead business ? But I bet CEO does. I dont know psychology but it just seems he believes all this , does that make him a pathological liar ? It doesnt seem to be a scam which to me implies he knows all his press releases either not true or will never result in success. To me impression ( I could be wrong) that if someone walks in the door of BTDG offering a pot of gold for $.10, BTDG would take seriously, and figure "buyer beware" that so what if never results in anything.
Supporters I try to be polite to, but they can never give any example of anything working with this company last 3 years.
I mean really, who would believe anyone would put $5 million into BTDG ? Or you can run a business with no revenue no capital,no proper financial records, and keep filing disclosures on businesses that dont exist ?
I am just fascinated by BTDG, but ultimately anyone buying shares is just like buying a lottery ticket. You seem rather down on BTDG for a long time about this stock, hope you didnt lose much money on it.
Just imagine desk of CO at BTDG. He receives a fax form someone maned Steve X saying they have a CD replication business valued at
$100 million, and will accept BDG shares for.BTDG signs letter of intent, puts out press release, then for next 20 years includes in filings they are entering $100 million CD replication business.Sound familiar ?
hah , dont know what to say. you have followed stock for a while and have strong opinion which makes me think. was thinking about answers with ealy morning coffee !
thanks. this internet world interesting,supporters dont like questions, detractors get annoyed it seems at being objective but at least we can all learn by discussion
Yes we do not understand each other.
This is a corporation, Singer is a Director, all directors have certain basic functions they perform ( whether well or not is a different matter), and typically to attract a director one has to pay certain compensation- especially these days, and with a company like this with a DTC chill, and in my opinion insufficient disclosure .
On the other hand if you feel he is a poor director that very may well be, why not present your reasons for that opinion ?
Since I have raised the question about the lack of transparency,what I feel is a losing IR strategy, and a management structure where CFO has ful control of not only the voting shares but a second lien on the company's main asset ( the mill), this all could seriously question all board members since 2008 in providing the type of over-sight a board should perform.I do not know enough to provide a definitive answer. You are correct I am giving this Singer the benefit of the doubt since I havent attended their board meetings, and I am assuming they follow normal corporate procedures.
However a clue might be whether his compensation is out of line with a company with a market cap like this. 5 million shares at $.03 for example seems quite high.Also it strikes me as odd the CFO has a second position on the mill, I wonder if board actually approved this ?
- Again, what specifically makes Singer a bad director ?
As far as this being a regular company since you express your experience with Pink Sheet companies you are aware the junior mining exploration companies typically do not generate revenue for years, and that perhaps over 90% of mining equities ( large and small) have declined the past 14 months.So in looking at this company this is the general market within which it operates.
I would love to know how you can short this stock.
However I agree with you it would seem likely the stock will keep trending down for the simple reason they need money and apparently only market for their shares is at a severe discount. I do believe there is a lack of transparency, poor IR conception and execution. The recent lack of an 8k March 6 is in my opinion a prime example of the lack of transparency at this company.
Maybe CFO can pull this off, though I admit after a few months looking at this stock and considering the different opinions expressed, it is becoming harder to buy this stock just because of hope and overly-promotional press releases ( which dont seem to work anyway).The lack of an 8k on what happened March 6- or didnt happen- to me is a red flag.Also lack of corporate update answering key questions makes one wonder why not ?
Looking forward to your specific reasons for questioning this director. Also a question, why is it no one seems to question the second position the CFO has on the mill ? Also looking forward to you identifying what CEO/CFO should have done differnetly since the reverse split ?
Thank you for your time.
Besides just answering billions, what is your estimate of outstanding shares company will reach this year ?
Just misunderstanding, I dont think there is anything we are disagreeing about.
As far as Singer is concered his service as Director are the same as any other director, hence I do not understand what you are saying- he either serves as a director and performs as a director or he doesnt. I have no way of knowing whether he is doing that job well or ot ( though I would hazard a guess the CFO not filing the 8k in relation to the March 6 events may be an indication board ot exercising oversight). In any case I assuem you are well aware of what a director function is. The second issue is whether his compensation reasonable. I admit I dont quite understand the Form 4, it cant be that he is getting 5 million shares at a price of $.03. Eeven discounting for restricted stock that would be far more than I would expect for a company with this market cap for director services.
As far as what key errors or key thoughts you have what management could have done differently since the reverse that doesnt require a thesis but a simple answer.What would you recommend had been differently since reverse split ?
You do have a point that if CFO has been there since 2008, that crtainly enough time to judge whether he is experienced and competent enough to state company objectives and determine if he met those objectives.While there are always some reasons for people not meeting onbjectives, cant go on forever. However since CFO has placed himself a second lien on the mill, and somehow convinced independent directors to let him having voting control, seems shareholders have no ability anyway to do much.
No I cant come up with Norman's contributions, yet doesnt mean werent made.
However many people have hope things will turn out, and many people believe in the story and that it will be executed well regardless of the past.
I admit the lack of a filing the 8k on the March 6 transaction has made me seriously question this strategy of silence by the CFO. No way they shouldnt have filed that 8k in my opinion.
Have you considered possibility that CEO is just slightly disturbed and actually believes press releases he puts out ? Just a question.
Thanks for quick response.
1 Singer- pretty standard what a director's responsibilities are in any company, so was my qustion : what is reasonable compensation for a director of a company with this market cap ? and whether should be paid in cash or shares + options ? $5,000 to $15,000 weighted towards shares + options I would think fairly standard.
As far as compensation above that for extra time spent consulting for company I agree, one would need to know how much time and responsibilities assigned would be. I have no way of knowing that.Nor do I really understand how value of shares was arrivd at prthe Form 4 filing.
2. "PPS speaks for itself" : My question was not whether one would judge management performance solely by PPS dropping, but what areas did they fail on, or conversely what would you have them do differently ?
3. Uranium Claims- Junior mining companies secure land positions all the time , eitehr because of perceived future benefit or to keep news flow going to attract positive attention. IMO they dont have money to explore so this was a marketing expense.
4. Projected shares : My estimate based on cash used last year, outstanding convertible notes, recent price trends etc.Don't know what else I would base it on since company is not very transparent in my opinion, but their forecasts on 10q/10k contain amounts I simply think they cant raise in current market. So you are forecasting they go billion plus shares ?
Yes I know its the pink sheets and for every 1 company that succeeds there are hundreds that dont, isnt that the nature of such speculation ? It is easy to critisize and I respect you have followed the company for years, but what would you recommend management do ?
I do strongly critisize CFO for not releasing 8k on march 6 events, that could be a real red flag in my opinion
So now I guess I have supporters and detractors both upset !
Just my opinion all this
It is admirable your continued positive attitude ! However if I understand your prior posts you could not identify 1 single succes this CEO has had the last three years, but felt better to dwell on the future. This implies though that the CEO is capable of developing and implementing something to generate revenue or cash flow- even though we have 3 years of experience indicating the opposite.
You must have some basis for your belief in the CEO ? Could you share this with us ?
If he puts out press release after press release and nothing ever occurs, at what point would you question either veracity of the press release, or CEO's ability to execute. 1 year ? 2 years ? 5 years ?
I try to be objective, he does have some skills as everyone does, but running a company doesnt seem to be one of them.
If Rodney's involvement basis for your belief, can you tell us why would any rational person want to take over BTDG's problems ?
Have no idea the amount of work he does nor quality of that work. As director he should receive some compensation either in cash or in shares and options, and of course meet the responsibilities of director. I would hazard a guess that for a company this size that would be $5,000 to $15,000 depending on amount of time spent.Your post did appear to imply there is something unreasonable in this share grant, so I was curious.
I am interested in your opinion- why do you think since the reverse split management hasn't met objectives ?
Uranium claims I thought were just to keep news flow going since company in my opinion doesnt really have the money to explore these claims this year on top of everything esle.
I had projected at least 200 to 250 million shares outstanding sometime this year, what would be your guess on this ?
Interesting question re: the director Singer. If he received 5,000,000 shares what was value when received, and what will value be if he has to hold six months ( or was it covered under s8m, but presumably he has to file form 4 when sold) ? As director there are some duties, and some liability associated with the position. What is reasonable compensation in your opinion for that position ?If he didnt sell I wonder who will tax the tax hit on fair market value of shares when issued ?
The reverse doesnt seem to have met management's expectations. What is your opinion why it hasnt ?
i just meant the basic story of this stock contains those elements - mill,mearby mines, high gold prices.
well, maybe i do repeat myself as do others on this board. what is bashing by the way ? if trend for six months is downward to such an extent how else would explain it except for marketing,management and general market ? story isnt bad - a mill, nearby mines, high gold prices.
Easy to explain, there is no broker I am aware of in the USA that will allow the shorting of a sub penny stock by retail investors.
Market makers typically can short such stocks for a day or two and FNRA does report short positions, from what I am told by market makers.
The website you mention in the past had some sort of formula they used to estimate such short sales, and the little I know it wasnt considered that accurate but I note they now mention it is from teh FNRA short reports which anyone can access. I havent gone back and checked whether his figures match those reports. In any case my contention is few market makers will engage in any sustained shorting , and at most 7 to 15 days with extensions etc.Generally marke makers work against their net working capital and like to close out positons quickly. Kind of like convertible note holders, they couldnt care less what price is , just volume and spreads.At least that is my understanding.
I agree though the drop in price is simple to explain, increasing amount of shares being issued because company needs money- and shares being issued at a discount to the market. And demand hasnt kept up. Poor marketing, lack of credibility in management and company, poor market conditions all factors.
Anyway company needs money and will keep issuing convertible notes to raise funds, issuing shares for servcies, and appears will continue the marketing by silence strategy. How can anyone be surprized price is trending down the last months ?