Couple of Thoughts : Re: Bikerack ..... Observations for Bikerack ; you stated in your post, these opinions ...
I don't question the merit of the property.....I question the conviction of the backers to ante up the cash required to put it into production at this rather tenuous time.....what if KGMH just decides with its 51% intact ( assuming AME doesn't pick up the extra 2% ) to delay or put the project on hold ??
Excerpts to remember ... On record ... from GoldBuyer copied from my post, on Nov .24th, 2011
KGHM has $500 million in cash on their balance sheet, no debt and $1 billion
a year in profit .
Europe’s second largest copper producer KGHM Polska Miedz has agreed to
fund up to 80% of Abacus Mining’s (ame-v) Afton-Ajax copper project near Kamloops,
B.C., which could be the first of many new projects outside of Poland.
KGHM and Abacus are considering investing in other projects together beyond Afton-Ajax .
Remember that KGHM stated the above publicly, so, it doesn't sound to me ? they are interested in breaking away from the partnership with AME or delay and/or ? put the project , on hold, leastwise not IMHO . To add more weight to this sentiment , they - KGHM - have also publicly stated the next paragraph below :
KGHM says Abacus is a logical partner because of its complimentary skills to KGHM’s
large-scale, long-term underground operations. " They have a very good track record
of exploration expertise and development of mining projects, they have operational
experience in both North and South America and these are the regions KGHM are looking at " .
At the Ajax / Abacus mine, a scoping study completed last year looked at building a 60,000 tonne-per-day
operation that would produce 110 million lbs. of copper (about 50,000 tonnes) and 100,000 oz. gold per
year over 23 years.
the Kamloops local economy has been directly promised ( initially ) 350 - 400 high paying mining positions, to be required .
The money ( KGHM ) , the expertise ( Abacus ) are all " in play " and as noted, we await .
The Recipients = The Kamloopsians, Polish KGHM, Ajax / Abacus, and of course, we investor's .
Otherwise put = Win / Win / Win / Win .... IMHO . Kamloops is getting a mine .
Also, you stated :
I appreciate the viewpoints....but the 'Buyer' never did comment on the need for further dilution and the related $3 million at this point in time......it doesn't quite pass the smell test for me..
Here's my opinion regarding :
I can appreciate this way of thinking with other less qualified juniors with and/or without a National Instrument compliant proven resource, as this sort of thing is well documented, as happening in the above category and with " lesser qualified juniors " .
Dilution is the " easy get out of jail free card " that the lesser qualified juniors use to stay on with the stock markets .
I haven't got a crystal ball ? but with the above KGHM statements publicly made, I don't see that AME has to cheapen their strong position ( proven resource - and 23 year mine life ) by stock dilution, besides which, there are many more mining companies in B.C. other than just, Tech Cominco ( and outside B.C. ) that would well know of AME's proven resource and a projected 23 year mine life. So, I don't really see any need for a stock dilution, coming up ? and in fact, I would be very surprised to see it, while they are holding a very strong position and trump card ( the resource ) .
Respectfully, just a few thoughts to add to yours, and of course, IMHO .
Best Regards : GoldBuyer
========================================================================