Many PR's referred to the 1st 2 ships-
spot at time of 1st ship was 175-192, spot at time of 2nd ship was 170. Its too late to go back and undo these sales as much as some try. Its too late to take CWRN back to pre-production,pre-revenue and pre-net income.
From a look at these PR's its obvious the net income from these ships was millions per ship-as confirmed by public spot prices.
Since only 30% of 1st ship net paid off millions in investor debt etc this is also confirmation of the market price of iron at time of these ships.
Re dist of revenues from 1st ship Kriton
May 26 2011 "Revenues Distributed, 2nd Bulk Shipment Close"
Quote: the company under Irrevocable Assignment of Documentary Letter of Credit Proceeds, distributed the revenues from its first bulk shipment of iron ore under the following percentages; 60% to ongoing operations, 30% to Project Investors and 10% to Management. The Project Investors recovered approximately 75% of their cash contributions; The Ensenada International Terminal was paid approximately $320,000.00 for receiving, storage, material handling and cargo loading, $356,000.00 was paid to Road-Runner Trucking, $1,115,000.00 was paid to COSFAR Bulk Cargo Shipping, $220,000.00 was paid in royalty fees and surface rights. The Company was also able to meet its obligations to PowerScreen of California paying a balance of $975,000.00 for the crushing equipment. We would like to thank PowerScreen for their ability to provide us with over $1,500,000.00 in equipment that was paid off under settlement of DLC proceeds, without their help it would have been very difficult to secure the equipment we had specified for the production. The Company will be receiving more equipment from PowerScreen shortly.'
Importantly they bought major screening equipment to enable processing of the 1-3mm ore,
reportedly paid off 75% of investors cash contributions w only 30% of the revenue from 1st ship-so that confirms large revenue because those cash contributions were reportedly in the millions
,management received 10% to go towards ca 2 million they had advanced towards the project, but 60% went to operations. They also reportedly acquired previous 68 drill hole reports at this time-which led to the Coloso etc veins
Revenues-3rd and 4th orders of ca 60k tons -this was pieced together from several sources/several people.
By default I'm the one that collated the info from multiple sources to present it in a summary form-the info did NOT come from Bob to me-in fact when I 1st heard it I did not believe it because it represented a change in course from what I knew as an informed investor.
And yes auditors do collate from multiple sources to verify-better to have 2 sources than 1 and 3 rather than 2 etc
orders 3 and 4 were paid for by buyer at port-Bao-as confirmed by Apr 13 and 6-25-12 PR's- because Bao had an interest in CWRN jump starting more equipment/larger production and wanted to use larger ships to carry multiple orders for a large savings in shipping costs.
Besides a small steel company is not going to pay before its shipped and sometimes play a game of chicken(the sue me if you can game played by some buyers after they receive the ore-thats why iron sellers get a DLC from the buyer 1st-and then theres still sometimes a game of chicken) after shipped, as we saw w the 1st ship-always things to learn in the dog eat dog world.
This 60k tons was -independent source-ca 140/ton-which was spot at time-and CWRN based on spot as noted by Nov 17 PR etc-spot pricing is the common pricing regime last 2 years based on actual market contracts-CWRN vein ore has tested as premium -even on 1st ship which wasnt from the veins-before they acquired 1st 68 drill hole results-they had 58 and 62% plus ore-the 2 benchmark standards
The probable 4.2 million profit from this-based on publicly known spot prices- went to more equipment--every nickel had been reportedly going into equipment/operations-which we have seen from pics- to expand operations and products-so they can obtain additional revenue streams
see Kubisiask5's equipment list in MaxShockers dd compilation
1)exotic looking cat 8 dozer-have 3 cat 8 dozers if I remember right from the equipment list in the stickies
2) heavily customized heavy duty trommel w heavy duty components -would cost 1.5 million new (grajekk)-has been processing 200k tons of fertilizer and pellet feedstock byproducts
3) Terex 400 loader w double capacity of CWRN's other loaders -for loading trommel etc
4) additional drilling w larger drilling equipment to begin calculating proven reserves-a big step for a lot of things
5) environmental compliance and associated structures seen in the pics
6) other equipment-feel free to mention additional equipment u guys saw in the pics since Dec
7) there were additional dozers, a 2nd cat 740 hauler (would be 800k new) along the way-but this shows how a large proportion of every sale is going into more equipment to speed up production and create additional revenue streams
8) 2 cat 330 excavators-these are much larger than the original 4 leased excavators,also added very large cat 365 and cat 375 excavators last fall-grajekk had said the cat 375 w ripper bucket could triple production alone
9) more dozers
Probable many million plus net income so far-not counting publicly disclosed cement income-see bingos posts- based on known spot prices and average costs of juniors etc-based on thousands of hours dd rather than baseless satirical comments--dont know how much income CWRN is getting from cement product disclosed publicly by CWRN on another board-
Kriton 38524/ton left Apr 2nd 2011--price was unknown but was reportedly more than the 155 somebody posted at the time-spot was 175-192 during that time-both 58% and 62% ore (hadn't reportedly acquired previous 68 drill hole reports yet which led to Coloso vein from whence Loreto ore and all subsequent ore came except for substantial 1-3mm already in inventory) millions of cash contributions from investors were paid off from just 30% of the income from this ship alone
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Loreto left Aug 8,2011 w 36002 tons millions of profits- ca 170/ton spot- 1st order to come from the higher quality veins see Aug 8 PR (not on marketwire)
the 3rd ship left June 25,2012 with 43823 tons (manifests vary somewhat but amount is irrelevant and small),just as forecast by the Nov 17 PR,which said the next ship would be 40-45k tons. Somebody else discovered the ship-its called dd -and then we tracked the ship via various public ship tracking sites-its again called dd.
4th ship was originally expected Aug 2012 -possibly for the ca 75k ton sinter fines processed by the trommel -see last 2 PR's,or for fertilizer-which seems more likely from the last communication of substance to somebody 10-24-12
shipments 3 and 4 (ca 60 k tons total) paid for in Dec 2011- thus all the millions in new equipment--1 independent source says for 140/ton-about right- spot was ca 140 then (now ca 148 last I knew) plus premium ore
so 134526 tons sold give or take a few 100 tons in 2011 and 2012 for ca 155/ton average or more
-some juniors have negative cost due to premium ore (5/ton for every % over 62%) see Cohibaman's article in Max's dd summary so avg jr miner cost is ca 20/ton plus shipping and trucking (trucking was 9.24/ton for Loreto) 1st 2 loads shipping were ca 30/ton but a Panamax shouldnt be more than 15/ton?as per my extensive calculations posted back in October
since then I've more accurately calculated CWRN cost of pro at probably 10/ton-and when the byproducts are sold should have a negative cost of production-as with some other juniors
start up costs probably raise costs and are unknown but going forward costs [all things being equal] should fall and ancillary income streams of sub 1mm iron chips, fertilizer will kick in- CWRN already has cement revenue stream[which seemed to stop at some point].
part of orders 3,4 and 5 shipped on the Qin Hai-June 12,2012 DWT of ca 45600 tons minus ballast ,water and people is ca 43823 tons shipped-(Nov 17 PR forecast ca 40-45k tons)
-independent pics as well as CWRN pics showed order 5 trucking at port ca Mar 19,2012 -depending on size of order 5 that would be more than the max size of a Panamax-(orders 3 and 4 reportedly total 60k tons) which are rated at 60-80k/ton but cant carry more than ca 75k because have to leave room for people,fuel and ballast
last shipment was 68069 tons on the Panamax Ilia as per May 19,2013 PR -I've postulated from various sources that the Ilia income was taken by a partner of the new "owner" -money thus owed to CWRN stockholders imo -who thus last I knew didnt finish paying Bob for the CWRN concession and equipment; and operations-presumably due to that lost Ilia revenue- stopped sometime after that.
Unfortunately the new owner,via an alias claimed by naysayers and seemingly confirmed by longs dd alike- says he has no duty to keep stock holders informed-and thus the last official word was the May 19,2013 PR.
Aside from the usual litigation resulting from unforeseen circumstances, concession owners are required by the govt to increase spending 5 years into a concession. Thus,aside from any possible extensions by a court,it seems Brad would have to put an increased level of investment into the concession 5 years from the time he acquired the concession April or early May 2013, or lose the concession,as has occurred with 100's of thousands of Navial concession acres by 2014, as per independent articles posted by Clark, Medi and myself.
but, no matter what happens going forward, ca 135k tons up to 2012, plus the Ilia's 68069 tons, were shipped-as confirmed by 100's of pics, articles, PR's and documents. Denying that is ridiculous.
AI
