Medinah Minerals (MDMN)

[Money_For_Nothing]

I repost for the benefit of those that have recently joined the Party.

I posted this back in August and think In light of some resent BS batted around this board tonight, it needs to be brought back up of how large JVs are typically structured in Chile.

FOX BUSINESS - On August 24th, 2010 Codelco (Chile Ntl Copper/mining)entered into a JV with Antofagasta Plc (Eng Mining Co) under a 4 year agreement, Antofagast will invest $2.5 million US in drillng program covering 1,900 hecters, at the end of 4 year program, Antofagasta will then carry out feasibility study. Should properties go into production Codelco retains 40% Antofagasta 60%. In 2008 Codelco signed similar exploration agreemnt with Rio Tinto.

This is not ment to identify or imply any of the mentioned companies are part of current JV negotiations, but to present a possible structure to the JV only.

This type of deal for us would be a "homerun" for MDMN, because of the following facts:

1. Our Company knows the mountain.

2. Managment intends to fast track the drilling and feasibility study (rumor has it they are on the mountain today).

3. The money per the Q & A has been secured from third party source.

4. Both long term and short term cash flow to Company, and thus shareholders, are maximized by retaining a larger portion of after production profits. (If you believe in the mountain, 60% is better than 15%)

5. The JV will have significant upside for the shares based on industry perception, not Shareholders (You will get your SP increase in short term with bigger returns just a little bit later): I am sure the JV was not the only factor for the following fact:

Source: Thomson Reuters - Antofagasta Stock Price doubled from the date of the JV announcement thru YE. At the time it was trading at approx 700 GBp closed at 1600 GBp at year end.

6. As the price of the mined commodities increase so does cash. (Many think a up-front cash buy-in would serve us best, It does if your thinking short term, but we would have to sacrfice long term profit for short term cash.) IF THIS IS AS BIG AS MANY BELIEVE, THIS COULD BE A 100YR MINE.

7. This opens up other opportunities for the Company on it's other projects.

I do not know if this information is relevent or not, BUT having a choice of up-front cash and $.85 shares or significantly longer term cash upon production and $15 SP, I will take the later and roll the dice. That is just me. But I thought we should at least think about the possibilities.

If your In, Your IN - Either way.