Golden Queen Mining Consolidated Ltd. (fka GQMNF)

[rhugh]

That's the rub. Ever since the Clay's announced their take over of the Queen the public stock holders have panicked. But as I read it the Clay's have taken over the half partner from Toronto in exchange for forgiving the debts. They paid a little under 50 million for this including the 4 million or so they had to pay based on some stock equity there at 3 cents a share.
In exchange there is now no debt for the company and the Clay's fully own 1/2 of the mine. The other half is owned by OTC traded stocks and they do not have the authority to force a sale at this time. The only way they could take our stocks would be to declare bankruptcy and go through the courts. The SEC might then have something to say about it considering that the same people who just took over the company also were running it. It would be considered insider trading.

Notice that while they have paid 50 million the total current value of the other half of the company is under 10 million based on stock prices. The stock should be going for 5 times what it is being traded for based on the panic. I was disturbed that they held back the 4th quarter report and a first quarter report is due in a few weeks. Look at the numbers.

The high grade ore takes up to 180 days to show gold extraction with the leeching. They mined 4.5 million tons of ore but are holding 1 million tons back containing at least 25,000 ounces of gold. I drove by it and their leach pad has grown huge over the last few months and they are processing and moving lots of ore. They have exposed a high wall that is est. 3/4 miles long. We are not getting the figures from the company but there is a lot of gold in process and lots more ready to process. This is not a bankrupt company but instead is ramping up and the balance sheet shows it with expenses in exposing ore and new trucks and drip upgrades. I am as long on this company as that longwall they have exposed of high grade ore. Richard