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Agreed as far as Bob goes.
This isn't a lithium play anymore and you really need to get over that.
I have no problem with them spending money exploring these properties as it could be a quicker path toward positive cash flow.
I personally think this was in the works for a while. Gold and precious metals have been mentioned a few times in their releases over the last several months.
"Dr. Johnston's background includes nearly 20 years of diverse experience in the practical aspects of gold and silver exploration and mining."
I've been told he is an "effin' genius." Hopefully this was his idea.
No 8k yet?
Interesting to me. I don't know much about gold. They seem to be moving pretty quickly, though. Talking just a few weeks until processing?
Very liquid, obviously. I want photos of gold.
What I take from my correspondences is that there is a plan, but the scope and timing of that plan are a function of funding. Where are they with respect to securing the funding they need, I don't know.
I think from the DEF 14C that was filed today, September 15 is the approx date of the AS increase. They say in the filing that investors have shown a willingness to provide additional money once the company has the power to reserve additional shares.
Between now and then, I would hope they are able to have a good idea of what kind of money will be available to them and that they secure some funding shortly after and move forward with their plan.
Not yet. They have no chance unless they release news. If we're at this level in mid October, it ain't gonna be pretty.
I see a point in not releasing news into massive dilution. The conversion rates are based on the lowest two closes of the last 10 trading days. News last week would have only made convertible guys money.
We've been told multiple times in multiple ways that there are developments and news is coming. Don told us, Tom Dean has told me, and Jimmy has told me. Either it's coming soon or it's all a big jerk off. Either way we will find out sooner rather than later.
I take the less cynical stance that the numbers were simply not available for whatever reason. We all know they issued 40-50M shares last week. I don't see any point in them trying to delay that fact at this point.
50k volume on scottrade? 9:16am.
There's a lot more shares out there these days. But, I agree, the right news will move this fast. Financing news is the single biggest piece of news we can receive.
Wonder when they made that purchase.
They had a crusher, right? That was part of their original plan. Or did they subcontract the crushing out?
It is what it is sir.
I've done my DD, have you?
A little.
The news is coming story has been played out I think. I think they'll deliver news in August per the last CEO corner. Murdock also hinted that the timeline is still intact. They simply can't afford to hold back very much longer in my opinion.
I was expecting worse than this, this week. Still a lot of shares to work through.
Don't get bent out of shape when there is 45M issued this week.
I noticed that a while ago. That was my understanding of the rules too, but don't know.
The unfortunate thing with dilution is that we are going to head into the worst of it here shortly.
The next few weeks will be hairy, but then we have a 6-7 week period of no dilution due until 10/21/2014. The problem there is you have about $400k (after interest and discount) of shares hitting the market (220M shares at the current pps!!!).
So, basically, we need some strong momentum going into October to beat our way through that. Fortunately, though, there is about 6 weeks of nothing due after that, and the one due after that is large, but the conversion price is fixed at $0.015, which looks pretty good right now.
If I were FLPC, I would start releasing a steady stream of news starting next week. Perhaps, this lull in dilution is what they have been waiting for?
From my conversations with the company, the message is consistent. They have basically said, be patient, there is news coming. I'm expecting some nice surprises!!!
Holding better than I thought it would. We really need to hold this support level.
I see a lot of action the next two days. Hopefully the damage is minimal. We need to absorb about $100k worth of shares, in my opinion. I can grab a little on Friday.
So, you're loading this week, which means next week is when you'll come here and talk about Houston and buy outs?
Not to be Debby downer here, but there is 45M shares worth of convertibles due today.
Come on Max... You have to help us fight the good fight.
Never once have I had an email or call ignored from IR, Jimmy, or Tom Dean.
And I reach out to them a lot.
Longstrider,
I don't bash my investments either. I've been quiet on this subject for the most part, but I wanted to offer a less cynical view of the way things may have progressed. I personally like the restructuring a lot, but I'm completely aware of why things were the way they were and where everybody's incentives were. We are much more aligned now, and I'm very comfortable with it.
I am very confident in Jimmy. He has assured me many times over that he has a plan and the experience to execute that plan. The company is going to be running out of time to communicate that plan to investors or else risk losing even the most loyal believers, which is why I'm sure information will be coming out sooner rather than later. I don't think we can last another month in silence.
The single biggest missing piece for me is how much money we need and how we are going to raise that money. Don mentioned in the conference call that he thought Murdock would be showing their value in that regard. I hope so! Hopefully Tom Dean will shine for us.
I'm well aware of all the connections and anybody that has read the filings should be well aware of them also. They didn't try to hide any of this, in my opinion.
The following is my opinion and read on the situation. Take it for what it's worth...
I see them as originally setting all of this up the way they did so that they could use FLPC as a mechanism to fund their idea and still maintain the majority of the proceeds and assume a limited amount of risk. What did they care about diluting the hell out of FLPC stock when the majority of their pay dirt was coming from their other companies?
The problem that they ran into, however, is that no large investor would take them seriously under that structure. Why would I invest millions into FLPC when I'm losing half of the profits from that investment right off of the top?
As a result, they came to the realization that the only way that they would be able to make their investment worth anything was to consolidate it all under the FLPC umbrella. The price that we paid to acquire these companies was cheap, in my opinion, given the current PPS. But, therein lies one of my concerns. What incentive did Don have to try and prop up the pps while all of this reorganization was going on? What incentive does he have to so until the deals close?
I believe that the consolidation aligns everybody's incentives more closely. It should also make us more attractive to potential investors. These deals alone more than double the potential profit we would have realize prior.
Now, they are all sitting on a nice pile of FLPC shares. It's not a coincidence that once this consolidation process started, they started focusing on finding non-dilutive types of financing rather than convertibles.
All that being said, the way things were structured has always been a long-run concern for me. I personally like this consolidation a lot and I think it simplifies things quite a bit.
I don't want to sound too critical here. While they may have used this period as an opportunity to load up shares, so have I. If they succeed and this stock rebounds, I'll be glad it all happened the way it did.
FLPC!
In the conference call, they started suggesting that the land for the mill was being reevaluated.
I was able to locate that piece of land on google maps. It is right smack in the middle of Fencemaker and Arabia.
I have thoughts on all of this, but I don't want to dive too deeply into it here.
I will honestly tell you that I feel very comfortable from the operations side and that we have quite a bit of talent and experience there.
Don is the CEO and the ball is in his court right now. The optimal result for all of us is the success of the company.
It's good to have this level of awareness and contingency plans, but I think emotions are running a little high after the roller coaster last week. Let's not forget we neither gained or lost ground last week. We were flat. In fact, if you were savvy enough, you should have came out a head.
If we don't hear anything this month, there will be cause for panic. Right now, I like most of us am concerned, but let's see what the next couple weeks have to bring us.
I don't understand anything he says.
My DD still has this at a strong buy. Reversal will begin once news is released.
There is some turmoil I suspect between Jimmy and Don. Jimmy seems a lot more aggressive about fixing things. It seems like their differences have settled recently. I know there has been conversations about certain members of management and the BOD and what value they are
actually bringing to the table.
The division of labor and responsibilities is clear, though. Jimmy is in Reno with his operations team and is working as quickly as he can can given the funding Don is able to provide him. As I understand it, an investor will be visiting him this week. I hope that investor is a member here and shares his/her take on their visit.
We are in much better hands on the operations side this time around. You can expect timelines to be delayed, which happens with every project. As I understand it, there is a daily plan that they have laid out and are working through. I forget the numbers, but they're losing about 5 working days out of every 40 if I recall.
Again, I've been told the wait is over and information is coming as early as this week. Based on others correspondences they've shared this week, the closing of the deals to create their subsidiaries is critical in allowing them to fully implement their plans.
There's a lot of skepticism here and rightfully so. The company has made mistakes and fell short of expectations. That combined with all the convertible debt leads to what we have today.
The good news is that we are heading into information and progress at a time when liquidity will return to the market as a whole. We are positioned well for a trend reversal over the remainder of the year. I expect the the company to release a steady stream of information as progress is made throughout the fall. Its my opinion that the we are close to changing trajectory.
Best.
Convertible due 8/20/2014 if I recall.
Not at all. You're looking at another 45M shares being issued next week.
They're putting money into the company, not taking it out.
We still owe G8MI $1.2M from a loan they gave us in 2012, yet they're putting more into this.
All of the dilution we are seeing is paying off debt that we took out last year. They're not selling shares to put money in their own pockets.
They're all getting paid in shares and none of them have sold any.
Murdock is getting paid what amounts too $1000 a month right now in shares. How will they make money if this thing goes bust. Tom Dean is very responsive to me and seems to be very active with the company.
Everybody's incentives are aligned here. They have a lot to gain from this succeeding.
Here's what I think/know...
They needed to rearrange things to get everything under one roof and give FLPC control of all aspects of the project. The complete acquisition of Group8 is necessary. Who will invest in FLPC when they didn't even have the majority stake in the company overseeing the mining (stockpile reserves) or the company who was going to be doing the milling (central Nevada processing)? We are in a much better position to go forward and we will get all the revenues from the whole process, not just 40.5% anymore. G8MI sold us their 9.5% first, and now they're working out the details for the other 50%.
Through G8MI, we have access to buyers, equipment, credit, and technology (possibly proprietary) that no other small mining company has. We will be first in market and the only ones than can profitably process ore from small mines throughout Nevada which gives us a significant advantage and could lead to a highly lucrative returns.
As I've been told, FLPC does not need to raise all the money, but they do need to raise some of it. G8MI would not get involved involved until the company was reorganized. Again, why would they dump more money into a company that only has half the action in the payoffs.
The whole thing is being consolidated and the company is to be run out of Reno. Bob wasn't an operations guy, Jimmy is.
As I understand it, through Jimmy's connections, they will have access to future investment once they have a proof of concept. Jimmy also does not seem to be afraid to through more of his own money into this.
There is a lot going on. Their operations team is small, only 4 people with more coming under contract. They have a lot of work to do. The wait is almost over and news will be out very soon. Jimmy is the right man for the job, he's the only one that has done this before and he is very determined to make money on his investment too.
Fencemaker is not likely going to be their first source of ore. There are existing mines that they can lease much more cost effectively. I doubt the mill will be in lovelock. My bet is reno.
Information is the only way to reverse the trend here.
It's best not to talk strategy here. But, if you didn't flip, then you aren't paying attention.
Personally, I reinvest my proceeds from flipping. Just bought all my shares and then some back.
Business is business, have to make up some losses here somehow.
It is outdated, though.
It's my belief that the mill won't be in the originally plan site in Lovelock and that we won't be hearing about Fencemaker for a little while.
The expectations I have is that the are going to lay out their entire plan for the mill in the next few weeks, including the location, as well as a brief explanation for the change. In a few months, once progress on the mill is apparent, we will hear more information about where our main source of ore will be coming from.
These are just extrapolations based on emails and conversations with Jimmy. They're also a little optimistic. I certainly hope the company gives us as much information and explanation as possible. They need to offer a clear plan in order to get the investor support they need. Otherwise, this thing will stay at these levels and convertibles throughout the remainder of the year will kill us.
A little birdie told me news that the wait is almost over. New out as early as next week.
They have a lot of work a head of them.
I was invested in this from about December until late April. I made a lot of money here. Got out when the gettin' was good.
The company was not and is not worth 3-5 cents. The international contracts are BS, IMO, and if they do materialize, the size of the contracts are absurd.
This is for me 100% about domestic distribution. I keep a close eye here, chime in from time to time. I'm trying to figure right now if it is a good time to get in. My opinion is, it is not.
I would hope by the end of the year they improve their distribution 10 fold and have their supply chain problems worked out. 100 sales reps ain't happening any time soon, but I applaud them for having that plan in place. That is how a real liquor company operates.
How I would go about growing this company:
1) Focus on LA the surrounding areas ONLY.
2) Get 5 sales reps out there and put it in every bar and store you can find. Do whatever you have to do. Incentives work very well.
3) Get distribution at any cost. Worry about profitability later.
4) Prove your brand and your business model, then replicate that same model in other markets.
The idea of expanding to other states is dangerous when you can't even succeed in your own back yard. What is the big freaking hurry? Why stretch your resources so thin?
If you are in 3 markets and one of them fails, it can bankrupt you.
They've sponsored many events in places where the vodka was not and is still not available.
So, yes, as far as marketing goes, I think they are idiots.
Me, personally, not really. But, I do usually see the brand being advertised before I skip it. That's really all you need.
Some people do not believe in marketing, but I've looked at this in many different industries across many different types of media. Marketing does work, but it is a numbers game. The vast majority of your sales come from your base.
Online advertising is very effective if it is done correctly.
It depends what kind of marketing agency you have. Targeted online video and display ads can be affordable and effective. If you're good enough, you can target specific zip codes and demographics.
If it's for TV, it is a complete waste until you have distribution. And even then, most marketing on TV is a branding message. You need to constantly remind consumers of your product.
In LA, you can probably get some spots for about $10k a month. How many spots and where do they air, I'm not sure, but you get on TV for that.
If you're in only 20 stores, you'll need to move a lot of product to cover that.
A better idea would be out of home advertising, such as bill boards, in areas in close proximity to the stores that you are in.