ObservationsAs of the most recent presentation on the Tudor website, ES and WS own 49.3% of TUD. With this latest PP, Teuton now owns 5.95 million shares of TUD with some additional shares coming in this year from optioned properties. I show TUO with about 3.2% of TUD this year.
If ES and WS wish to maintain their percentage interest in TUD, they could come in for about 1.5 million shares themselves or another $4.5 million.
I think we can safely add the TUO shares to the controlling interest of ES and WS when thinking about the best interests of shareholders. So about 52.5% of TUD stock is locked down at a minimum. This leaves about 4.8 million shares open for another PP while still maintaining a majority interest between ES, WS, and Dino.
At $3.30 per share (assuming half FT and half NFT), that's another $15.8 million in potential PP funding in the short term, for a total of well over the $22 million recommended in the recent 43-101 Technical Report. As a result, the next $15 million can safely come from a single major investor with little fear of a raid on the company. That's a minimum number since there are a few other insiders with TUD stock.
------------------
One thing conspicuously missing from this Teuton PP is warrants. I would have expected at least 1.5 million warrants for Teuton to be included. This makes me think someone had a preference to exclude the warrants. That someone could be ES or WS, but could also be another investor waiting to come in for the rest of the funding for this year's drill program.
------------------
Dino just invested a large percentage of his working capital in one year of TUD drilling. He expects a solid return, of course, but I don't believe this is a long-term investment. My perception is that Dino anticipates a payout over a short or intermediate term. A long term investment limits his ability to move forward on other projects unless ES comes in for a larger ownership position of Teuton (which is always possible).
------------------
We now have information that the Seabridge geotechnical drill holes have hit mineralization. Regardless of how the assays come out, this now confirms that the MTT tunnels run through an area that could be included in a future resource calculation, since one of the holes is apparently only 150m from the existing Copper Belle area. Seabridge has indicated that they would relocate the tunnel route if it invaded TUD resources. This ups the ante for Seabridge to handle the MTT issues at Treaty Creek.
-------------------
I continue to sense that there are other moving parts behind the scenes, and that the overall situation remains fluid, mostly because of the lack of warrants, but only time will tell. Eight days ago I posted that there could be a surprise in the next 15 trading sessions. This PP qualified as a surprise for me. I think there could easily be another surprise in the next 15 sessions from here.
Congratulations to Dino and his team on another excellent decision in managing the Teuton portfolio for the benefit of shareholders.
Do your own DD. GLTA. Doug