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NORTHERN SUN MINING CORP LBEFF



GREY:LBEFF - Post by User

Bullboard Posts
Comment by Buxom1on Aug 06, 2009 9:47pm
206 Views
Post# 16198361

RE: Fair questions John

RE: Fair questions John

Stuff

posted [by Wanderer5] on Aug 06, 09 08:11PM

Why weren't shareholders offered some of those nifty convertible preferred shares?
Why are there more convertible preferred shares than there are common shares?
Why were shareholders never given a vote on this fabulous deal?
Why wouldn't Jilin Jien take the company private as soon as possible?
How much is Jilin Jien going to pay "Liberty Mines" for the nickel in concentrate?
Are they going to give byproduct credits for the copper and pgm's?

Anyone? I would post this on "The Other" site but since I'm banned I can't BUT I give anyone else permission to do so. As they say, there's more than one way to skin a cat. :)

Question 1 & 2

Liberty Mines needed $30 Million. The equity was able to be raised at $0.11. Press Release para 7-09 covers the transaction. $9 million dollars and change was infused and the balance of the money was converted to preferred shares. They only needed to get 51% of the company and the rest of the transaction was more like a bond.

Question 3

Shareholders were never given a vote on this deal because Liberty argued under the TSX rules re financial hardship. We needed the money now and could not wait the weeks that it would have taken to go the other route.

Question 4

It is not in Jilin Jien's interests to go private. It is not their mandate.

Question 5

Jilin Jien has told Liberty to make the best deal possible. Sell to Xstrata if that is where they will make the most money. They are majority shareholders and they want Liberty to make the most money they can.

If we deliver our nickel on the 20th of Aug, then the 15th of Sep we would get 75% of the value of the Nickel. Three months later the account is finalized. It is based on the months average price of Ni. We get paid for our byproducts.

The start up went well. No problems. They are only working on McWatters right now. That is the most important project right now.

We are seeing lots of shares trading. Don't forget the number of shares that traded at $0.07 or up. There are lots of shares where people are making money and have had good returns on their money.

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