RE: Gold26 Jun 2020 15:09
Good grief, Helpful now trying the old El Limon royalty angle again!!! Desperate stuff indeed.
There's a reason RRR stopped providing quarterly updates on the El Limon royalties. They were so pitifully tiny. The figures back then showed it would take over 100yrs for RRR to recoup the $3m owed. Even with modest increases in gold price since then that situation will still be laughable. I invite Helpful to post up the latest quarterly revenue figures for that royalty. Won't hold my breath of course !
Then as always Helpful tries again and again and again to present a case for the value of assets here. Lost count of how many times he's been trying to pull this sleight of hand chestnut. He knows full well that the FACE value of any asset or holding here is nothing like the ACTUAL value which is far less. The difference between face value and actual value is caused by the BODs preposterous expenditures on Admin and other expenses which suck away all value here.
This is not therefore a share that one can simply do a "sum of the parts" valuation with imo because the vital part that is missed in all such valuations is the extraordinarily shocking wastage on Admin and Expenses.
Here are the figures from Annual Reports. The facts:
2012 - Loss of £1,962,882 --- Cash raised £4,441,844 - Admin £2,275,786
2013 - Loss of £22,105,562 -- Cash raised £4,103,795 - Admin £4,751,948
2014 - Loss of £4,113,460 --- Cash raised £2,723,861 - Admin £1,563,808
2015 - Loss of £8,411,541 --- Cash raised £2,327,377 - Admin £1,334,404
2016 - Loss of £283,280 ----- Cash raised £1,155,323 - Admin £758,351
2017 - Loss of £1,114,213 --- Cash raised £300,000 --- Admin £644,688
2018 - Profit £78,120 ------- Cash raised £421,668 --- Admin £849,518
2019 - Loss of £1,723,881 --- Cash raised £853,089 --- Admin £591,777
Total Losses above - £39,792,939
Total Cash Raised - £16,326,957
Total Admin - £12,770,280
Over £16m cash raised through brutal dilution of shareholders year on year and over £12m of that (some 75%) just went to Admin and other expenses. Just unbelievable.
That's why the value of say the Jupiter holding here is not its value on the TSX imo. I personally factor in the fact that if those shares were liquidised/sold today, Bell & Co would imo spend most of the proceeds on Admin. It's a business model of constant dilutive confetti issues and/or CLNs and utterly preposterous expenditures on director salaries and Admin which negate any and all value in any project or holding.
Your increased fervour in pumping this POS convinces me that another placing is on its way and that you are likely participating. Just my opinion. Others can believe what they will.
Either way I won't be touching this with a barge pole.
DYOR
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