CMKM Diamonds Inc (fka CMKX)

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JUST IN FROM WILLY!!!!!!!

Below you will find a letter by an individual I deem worthy and trustful enough to send to my entire email lists. Elcamino is a fine individual with a background that is impeccable in my opinion. Please take you time and read what he wrote and read it very very closely.

Also I want to apologize for my absence the last two weeks. September is my annual Elk hunting trip but I am now home and back in the saddle once again. I know the information slowed but in no way think my upbeat feelings about CMKX has changed.

Thank you,

Hal Engel aka WillyWizard

Also my disclaimer and profile link is: http://willywizard.com/Profile-CMKX.htm
Profile is currently undergoing an update for last two weeks news.
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elcamunication, September 23, 2004 (Re-post, re-edited version)

As they say colloquially, the silence is deafening. We appear to be in a CMKX deprivation chamber void of information.

The biggest complaint right now from shareholders seems to be the lack of news to substantiate the rumors of cash dividends and a reason to 'celebrate' at the Las Vegas Shareholder’s Party. Only now, we are beginning to realize that there may not be a reason to celebrate as the company moves towards building the fundamental elements needed to become a fully reporting company that can then report on its assets and its value. It is certainly possible, since I am a man of hope to think that there may be a reason for going to Las Vegas. A reason obviously is not enough people need cash to get there. Whether we will have that cash available is hard for anyone to say. I will be there since Las Vegas is only a stone’s throw from California. I am still hoping to see as many of you there as possible.

As I see it, there is Old Business and New Business at work in CMKX. The old business revolves around “cleaning house” and removing the cobwebs from deals consummated two years ago by CMKX. Some of these deals required pay offs and others just simply were cancelled. I will not go through the long list of expected ventures from those days, but everyone can go back to those PR’s and check it out. I strongly believe that Mr. John Ed Dhonau from Nevada Minerals played and important role for CMKX shareholders in assisting Urban in getting out of some potentially bad deals at the time after he and Urban became acquainted with one another. Mr. Dhonau has an impeccable reputation in the business world. He does compliance enforcement for the SEC, and is held in high regard by both government and industry. We are fortunate to have him on our team.

After some discussions, I realized that the two-year restriction on many of the restricted shares held by the 9000 or so registered shareholders are due to mature. The process of accounting for these shares and determining who got them and who did not has taken some time. This was the topic of a past press release. I believe accountability of these shares is complete and the company had to determine whether to release the restrictions on them or not. With these restrictions lifted, the possibility of seeing these shares sold on the open market appeared to average shareholder as if the CMKX was selling shares. Most of the certificates are in Urban’s name held for the individuals. So anyone checking through a broker or market maker would be advised that this is the case. This selling off of shares is now complete.

On the other hand, the question of a naked short sell has been a topic of contention as well. Several people that I have spoken with including a market maker that I contacted by phone has confirmed the short. The question is just how large is the short position with CMKX. If anyone wants to really know, what I think about the short position then I will refer you to post # 59120 made by Oaks on August 4th in Sterling’s Classroom on Raging Bull. http://www.ragingbull.lycos.com/mboard/boards.cgi?board=CLB01219&read=59120
I do not believe that we have an extremely large short but there is a short. In a nutshell when we see a filing I believe we may see a different share structure than what we have been previously led to believe.

Today we saw Jeffries and Company disappear from the Level 2 quotes and some shareholders have even called to confirm that they can no longer make a market for CMKX. It was just a matter of time. We will see how long this lasts and if in fact, it is what it is. As we have seen, the volume is low and it appears that availability of shares is becoming scarce. This just a couple of days before the UCAD dividend appear in our accounts. This is an indication that we are very close to seeing the Casavant Maneuver (Oaks) in all its glory. As I indicated at one point, the Casavant Maneuver is Specific, Pertinent, Applicable and Measurable. As it all comes together what I look forward to seeing is the measurable aspect of the maneuver. That is the point were we could begin to measure the results through an increase in the price per share.

Under Old Business, also have the CIM shares issued to shareholders a year ago. Those who were in CMKX back then will be coming up on their one-year anniversary with those shares shortly. It is my understanding that those shares have tremendous value and potential especially since those people will be receiving new shares of the CIM dividend in addition to what they received last year. If unrestricted when CIM goes public those shares will give value to those that have the extra shares. Reason enough to hang around and see where this all goes.

The New Business centers on new deals and new companies that we have yet to even imagine or speculate. As we saw recently the public emergence of St. George’s Metals Inc. left us all dumbfounded. No one knew anything about this company or that it was about to go public at the end of a 30 day quiet period. Well what if a quite period is still in effect awaiting the emergence of more deals and more companies. At this point, that is the most likely scenario as we draw closer to becoming a fully reporting company and our associations with Nevada Minerals and U. S. Canadian Minerals flourishes and grows stronger each day.

Today we received a press release concerning the delivery of the third $2.5M installment of the $10M dollar deal with SGGM. According to their IR person, Ms. Vicki Curran we will shortly see press releases enlightening us more about the company. I hope that it will also shed some light as to the relationship between the two companies.

We hear that we will be fully reporting by Christmas of 2004 and that momentum for 2005 is even better for this company with incredible potential. Many very intelligent shareholders that I have the pleasure of speaking with have speculated on some of these deals and it will be exciting to see how, when or if some of these scenarios will play out. For now we hold on to millions of acres of claims, core samples that have the potential to forensically tell a story about our future and the deliberate and methodical manner in which Urban Casavant, D. Roger Glen and John Ed Dhonau and even Rendall Williams orchestrate the finale to this opera which began two years ago.

The issues surrounding the increase in the authorized shares and the distribution multiple for CIM revealing a potential short or potential upcoming increase to almost 1.6 trillion shares is in my opinion a head fake as Urban runs to the end-zone. These multiples can change before the payout date of the dividend and may serve a purpose other than just letting us know how many shares we will receive. Since many have already postulated the share structure I will not bore you with the details but I will say that part of the Casavant Maneuver was to buffer the shock of the shareholders through the distribution of these dividends. When the 10QSB is filed, we will already be anesthetized, however, I also believe that we will be extremely surprised at what we see in the report in regards to structure and valuation.

As many of you know, I do my best not to speculate but prefer to analyze factual data and put together information that I have heard or know to be fact. Many of the issues that I address in this post originate from conversations and inferences made to me by many.

I have heard Urban espouse his love for racing to many shareholders at the races and have heard him tell them that he personally has funded these races and not CMKX. In addition, Urban has personally been funding day-to-day operations until joint venture deals and cash began to funnel into CMKX through the many deals that we are now seeing. There is no auditor that I know of who can argue that a company that has cash on the balance sheet is not a solvent company. We are solvent and a very viable business concern. Now we need to produce earnings. Part of the new business that we have yet to be made aware of which includes core sample results, audit results, a 10QSB and framework denoting the plan for the future. I hope that this framework will reflect mineral claims that may be sold to other competent agencies and more joint ventures with prominent companies in the FALC area including long-term plans for mining operations.

At some point soon, we can expect CMKX to be fully reporting; our CEO to do a state of the union style address to the shareholders and see the beginning of a legacy materialize right before our eyes.

I encourage you all to sit tight and wait out the storm we are in the eye of the Perfect Storm (Sterling) and soon the whirlwind will carry us off to profits and reasons for celebration. The time draws nigh, the market makers and any devious individuals suspected of trying to do us in are facing their demise. House cleaning is complete and new deals are on the way.

This all appears complicated but is in fact marvelous in its simplicity. Do not think too deeply into it and keep things basic and fundamental. As I indicated in my Canadian trip report, it is Business 101.

My Best to all and God Bless

elcamino

The time has arrived!!!

http://willywizard.com


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