Interesting insight. What. For real - If a loan was made for that, why? Approved by decision makers. Paying a lot, maybe over 20%, to borrow money and then lending it out at 10% to a risky business, which might not even be able to pay a loan back. Banks making commercial decisions like that probably wouldn't last long and their shareholders not very happy.
Funny how I bought 10K worth and it hasen't shown on the trades ! Another 4K for me tomorrow got a good feeling this will be double silver price permitting once the market re-rates it after production is flowing and a bit of news flow , happy to sit on this one even if it fluctuates in S/P
Article on marketwatch states that," Apple are going big on gold," With the huge sums of money they have stashed around the world they are clearly worried about it s value, should make everyone else sit up and take notice.
With the new directors from Quintana now being in place, it appears that the share sale was forced to repay money owed to Arian. I wouldn't be surprised to see an RNS to say he has paid outstanding money and left the company.
With the peso falling against the dollar, production costs will fall further and as silver is priced in dollars, margins will increase. Yes this company has had problems, but production will happen and the share price will rise to reflect true value. This has great cash flow potential at these and lower silver prices, the market just needs confirmation of steady production before there can be a re rate. Expect teething problems, but the company is finally turning a corner.
It really is time for Anthony Williams the Chairman to fall on his sword:
A proper parasite (c $100k), plus does he still owe us capital and interest on the defunct SGL arrangement, if SGL goes to the wall is that another couple of hundred thousand dollars he will have cost us, his interests are NOT aligned with ours:
"Transactions with key management personnel The Dragon Group Ltd charged the Company a total of $97,246 (30 September 2013: $90,063) which relates to the reimbursement of Tony Williams’ remuneration paid on behalf of the Company. Tony Williams, Chairman and a director of the Company, beneficially owns the Dragon Group. At 30 September 2014, $10,511 (31 December 2013: $10,672) was outstanding. On 24 September 2013 the Company acquired an option for $200,000 to conduct due diligence on Siberian Goldfields Ltd (“SGL”) and its mineral properties, with a view to Arian undertaking a potential equity transaction or other corporate transaction or investment with SGL (“Transaction”). On 27 November 2013 Arian gave notice to SGL of its election not to proceed with a Transaction. The option grant fee is repayable by SGL to Arian together with interest payable at a rate of 10% per annum in the event that Arian elects not to proceed with a Transaction. Interest accrued during the nine months ended 30 September 2014 amounts to $15,000 (30 September 2013: $nil). As at 30 September 2014, $218,780 (31 December 2013: $203,780) was owed to Arian by SGL. Tony Williams is a director and shareholder of SGL"
There is a lot of bad feeling towards our chairman and for good reason, the timing was exceptionally bad, I really do wonder why another form of finance would have been a better option as regarding the bad feeling and resentment this sale has caused from shareholders. Cheap as chips to borrow money in the current environment. Hopefully for us, the shareprice should recover and make steady gains over the coming weeks, the bad news for them is they are probably on a lockout period and are not able to trade with the IMMINENT news that is due.
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