AI
Monday, June 13, 2005 6:12:29 AM
*** Moly related post (GPXM) ***
Hi Belgie,
Despite Ripley's spin on the matter, I feel this move by Win-Eldrich came as a surprise to Golden Phoenix because GPXM's website still gives the impression that the 1400 ton stockpile of moly ore is part of the Ashdown 'package.'
Does it make sense that GPXM would have the following picture and comment on their website if they felt otherwise?
"The 1400 ton molybdenum stockpile at the Ashdown property has an average grade of 3% (60 pounds/ton).
Recent Moly price: $39.25
With Global market prices for moly at record highs, aggressive efforts are underway to finalize the necessary permits necessary for extraction and marketing."
Much depends upon the fine print, of course, and while I'm hoping this 'new' development gets resolved quickly and the preceeds get split up per the original 60/40 JV agreement, my guess is that this matter will eventually be resolved in a Nevada courtroom.
Fwiw, GPXM's 60% share of that 84,000lbs (1400T X 60#) of stockpiled moly using a 'lowball' price of $30/lb would be approx $1,500,000 and is half of the needed amount ($3mil) to fully repay the recent financing rec'd from the Schnack family.
Golden Phoenix Minerals Receives Notice From Its Partner That Ashdown Stockpiles Will Be Removed
Monday June 13, 4:00 am ET
SPARKS, Nev., June 13 /PRNewswire-FirstCall/ -- Golden Phoenix Minerals, Inc. (OTC Bulletin Board: GPXM - News), received written notification late Friday, June 10th, that its joint venture partner, Win-Eldrich Mines, Ltd., plans to begin removing stockpiled material from the Ashdown property, located in northwest Nevada, starting Monday, June 13th. The process of loading and trucking the material offsite is expected to take five weeks.
The stockpiles to be removed include an estimated 1400 tons of mineralized material mined by a previous operator and stored on property for the last 23 years. Past assessments indicate the stockpiles have significant commercial value. The Bureau of Land Management (BLM) has identified the stockpiles for remediation, and their removal has been included as a component in the Ashdown Reclamation Plan for which a $135,000 bond has been posted.
Golden Phoenix was previously informed by Win-Eldrich that, in its opinion, the stockpiles are not part of the joint venture and therefore fall under its sole control. Win-Eldrich was informed in writing that Golden Phoenix approves the removal of the material but reserves its full rights under the February 4, 2004 joint venture agreement to share in any proceeds that may be generated from the stockpiles. Golden Phoenix is a 60% partner in the joint venture and serves as its manager/operator.
Kenneth S. Ripley, CEO of Golden Phoenix, said, "I approved the removal of the material, as it relieves Golden Phoenix of the responsibility to remediate in accordance with the BLM. This will reduce our bonding requirements as well as free up much-needed space for the rehabilitation of the Sylvia decline, which we started last week."
Mr. Ripley stressed that "in anticipation of Win-Eldrich's actions, we established independent sources of funding for the Ashdown mine and mill six weeks ago. The division of proceeds from the stockpiles, if any, can be resolved at the appropriate time in the future. The important thing is that with each step, Ashdown advances its regulatory compliance and moves closer to full production."
Golden Phoenix Minerals, Inc. is committed to deliver value to its shareholders by acquiring, developing and mining superior precious and strategic metal deposits in the western United States using competitive business practices balanced by principles of ethical stewardship.
Visit the Golden Phoenix Web site at http://www.Golden-Phoenix.com/
http://biz.yahoo.com/prnews/050613/lam052.html?.v=12
Hi Belgie,
Despite Ripley's spin on the matter, I feel this move by Win-Eldrich came as a surprise to Golden Phoenix because GPXM's website still gives the impression that the 1400 ton stockpile of moly ore is part of the Ashdown 'package.'
Does it make sense that GPXM would have the following picture and comment on their website if they felt otherwise?
"The 1400 ton molybdenum stockpile at the Ashdown property has an average grade of 3% (60 pounds/ton).
Recent Moly price: $39.25
With Global market prices for moly at record highs, aggressive efforts are underway to finalize the necessary permits necessary for extraction and marketing."
Much depends upon the fine print, of course, and while I'm hoping this 'new' development gets resolved quickly and the preceeds get split up per the original 60/40 JV agreement, my guess is that this matter will eventually be resolved in a Nevada courtroom.
Fwiw, GPXM's 60% share of that 84,000lbs (1400T X 60#) of stockpiled moly using a 'lowball' price of $30/lb would be approx $1,500,000 and is half of the needed amount ($3mil) to fully repay the recent financing rec'd from the Schnack family.
Golden Phoenix Minerals Receives Notice From Its Partner That Ashdown Stockpiles Will Be Removed
Monday June 13, 4:00 am ET
SPARKS, Nev., June 13 /PRNewswire-FirstCall/ -- Golden Phoenix Minerals, Inc. (OTC Bulletin Board: GPXM - News), received written notification late Friday, June 10th, that its joint venture partner, Win-Eldrich Mines, Ltd., plans to begin removing stockpiled material from the Ashdown property, located in northwest Nevada, starting Monday, June 13th. The process of loading and trucking the material offsite is expected to take five weeks.
The stockpiles to be removed include an estimated 1400 tons of mineralized material mined by a previous operator and stored on property for the last 23 years. Past assessments indicate the stockpiles have significant commercial value. The Bureau of Land Management (BLM) has identified the stockpiles for remediation, and their removal has been included as a component in the Ashdown Reclamation Plan for which a $135,000 bond has been posted.
Golden Phoenix was previously informed by Win-Eldrich that, in its opinion, the stockpiles are not part of the joint venture and therefore fall under its sole control. Win-Eldrich was informed in writing that Golden Phoenix approves the removal of the material but reserves its full rights under the February 4, 2004 joint venture agreement to share in any proceeds that may be generated from the stockpiles. Golden Phoenix is a 60% partner in the joint venture and serves as its manager/operator.
Kenneth S. Ripley, CEO of Golden Phoenix, said, "I approved the removal of the material, as it relieves Golden Phoenix of the responsibility to remediate in accordance with the BLM. This will reduce our bonding requirements as well as free up much-needed space for the rehabilitation of the Sylvia decline, which we started last week."
Mr. Ripley stressed that "in anticipation of Win-Eldrich's actions, we established independent sources of funding for the Ashdown mine and mill six weeks ago. The division of proceeds from the stockpiles, if any, can be resolved at the appropriate time in the future. The important thing is that with each step, Ashdown advances its regulatory compliance and moves closer to full production."
Golden Phoenix Minerals, Inc. is committed to deliver value to its shareholders by acquiring, developing and mining superior precious and strategic metal deposits in the western United States using competitive business practices balanced by principles of ethical stewardship.
Visit the Golden Phoenix Web site at http://www.Golden-Phoenix.com/
http://biz.yahoo.com/prnews/050613/lam052.html?.v=12
Dan 
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