OTCQX:DMMIF - Post by User
Post by
merlin991on Aug 08, 2019 12:22am
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Post# 30005144
Circling the wagons...
Circling the wagons...A message from Tad:
https://www.siliconinvestor.com/readmsg.aspx?msgid=32275048
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It appears that the 4 board of directors are circling the wagons, and carrying on as if they did nothing wrong with their pathetically misguided attempt of ripping this company and its assets away from the long term shareholders of Core Gold (DMM in the old days) So, now these rogues have appointed Mark Baiely as full time CEO. Funny they never stated it was a unanimous decision ... anyone think for a minute that Keith Piggott would go along with this appointment ?? Just a guess but I highly doubt Mr. Piggott woud be in favour of this appointment. Mark Bailey is the individual who was most agrumentative about not allowing Zhaojin Mining to do some industry standard confirmation drilling during that fateful March 9, 2019 board meeting. Zhaojin Mining had drill rigs and a crew all ready to go on site, just awaiting approval from the board to do some confirmation drilling as part of its due diligence process prior to it committing up to a US$100 Million offer of partnership with Core Gold for a 20% equity stake in our company and a 60% share of the Dynasty Goldfields Project. This investment would have included a brand new, statre of the art, 2000 tpd mill built on site at Dynasty Goldfields and would have seen Core Gold maintain 40% of all mining production from the Dynasty Goldfields Project Anyone care to do the math of what Zhaojin Mining was valuing our company at by offering US$100 million for a 20% equity stake and 60% share of Dynasty Goldfields ? Core Gold would still have had 100% control of the highly prospective Linderos, Copper Duke Projects and the Zaruma Project with its curent operating mill, as well as whatever status that the Jerusalem Project currently is.. I would hope this gets to Rob Washer. His long time director Mark Bailey stabbed all of his shareholders in the back by refusing to allow confirmation drilling by Zhaojin Mining. We'd be tradng well north of $0.45 cents per share right now, We would have been particpating in the current run up in share prices of every other bloody gold mining company , but no, we're mired at $0.18, with only a mealy mouthed news release issued this morning announcing to the world their absolute arrogance in appointing one of their own as permanent CEO, against the wishes of many of the long term shareholders. Mark Bailey is not to be trusted as the CEO of this company. He does not have the confidence of many of the long term shareholders. During his tenure as a director, first under Rob Washer, and then during Keith Piggott's time as CEO, Mark Bailey apparently visited the Ecuador assets exactly once. Yes, once, in all the time he was a director. Some efforts at oversight, huh ? Since he became interim CEO he had supposedly travelled to Ecuador on 3 or 4 more ocassions according to statements made at the Special Shareholder's Meeting in June ...... Impressive ... NOT. Pathetic actually. Seems Mark Bailey apparently gave Rob Washer "carte blanche" over all operations and decisions, decisions that basically ran Dynasty Metals and Mining into administrative receivership in Ecuador. Yup, all under Mark Bailey's tenure as a director . And he's supposed to be the one to now resurrect Core Gold ? After his adamant supprt of the Titan Plan of Arrangement, a deal that the long term shareholders were vehemently opposed to ? Long term shareholders who were vindicated by the BC Supreme Court ruling that stated the plan of arrangement was not fair and reasonable. Mark Bailey is supposed to be trusted now to entertain any and all offers that may come to Core Gold ? Seriously ? After all the B.S he and lead director Gregg Sedun tried to pull on long term shareholders ? Chasing away a potential US$100 million offer of partnership by not allowing some confirmation drilling by a multi-billion dollar market cap mining company ? Anyone doubting the veracity of my statements can refer to the following examples excerpted from the transcript of the March 9, 2019 board meeting, which is found in Keith Piggott's first affidavit that was submitted to the BC Supreme Court for the Fairness Hearing. ---------------------------------------------------------------------------------- The transcript for the March 9, 2019 board meeting in which Mark Bailey adamantly refused to allow Zhaojin Mining to do confirmation drilling starts on page 404 of Keith Piggott's first affidavit and continues through to page 491. Specifically on page 410 Mark Bailey begins to question Keith Piggott about Zhaojin Mining plans to do some confirmation drilling : "Mark: Keith I have a questions for you, since you've been involved with the Chinese, what, exactly,
are they doing for due diligence ?
The -- the information that came from shareholder Fibbs(phonetic) was that they were -- they had a
team down there flagging drill sites in anticipation of an upcoming drill program...... Is that what their
due diligence is going to entail, drilling on our [indiscernible] with no -- as part of their due diligence
they're going to start drilling? ...... "
..... Mark : Keith, I have to interrupt you. You cannot let them drill on our property in a due diligence
period with no -- with no deal. They put up $20 million in a signed agreement to earn 60% that's
acceptable to the company and Titan, then they can go away, but they can't go out there and drill
during the due diligence period and kill the property with no agreement.....
...... Mark : That's our response ...
...... Mark : That's our responsibility, Keith. That's not the responsibility of a third party who has no agreement with the company. Do not let someone come in and drill. If they want a sample --- most of the core was never split. Go in the core shed, find the drill holes, split it themselves and sample it. They don't need to drill those holes. We don't need to take on the liability, the environmental liability, or any other liability by having a third party ...." And the discussion continues on until page 431 through 446, Mark Bailey continues in his assertion that confirmation drilling not be allowed and Mark Bailey's stance remains no confirmation drilling : "..... Mark : And it doesn't stop -- and the Chinese -- I totally disagree with you Keith, on the Chinese drilling and trying to twin our holes. We have the core there, we have surface outcrops, we have mining of the veins, we have all the -- all the surface and already -- data available to make a decision. Twinning a hole is no guarantee that they'll get the same results. They may miss the vein, they may hit the vein. And you can -- you can -- if you've drilled enough, Keith, you know you can drill an ore deposit six inches away from a deposit and have nothing" ......
......Mark: Well we don't want them to do that. we don't have a deal. What you're doing is giving them a --- ...
... Mark : Free ride to test the property, Keith. They're going to free ride it to test the property with no committment, no $20 million, no long term. They can go in there and test it, if they don't like what they see, they can move on or they can try to renegotiate -- [indiscernable] --" Those are some of the examples directly stated by Mark Bailey regarding the board of directors stance about not allowing confirmation drilling on March 9, 2019 for Zhaojin Mining to complete their due diligence prior to committing to a potential US$100 million investment as a partner with Core Gold. Keith Piggott's Second Affidavit submitted to the BC Supreme Court contains a transcript of the Special Shareholder's Meeting, the follwoing excerpt again also shows Mark Bailey firmly opposed to any confirmation drilling : There is an exchange betweem shareholder "Mr Brookfield", (actual name is later corrected to Mr. Brockington, and Mark Bailey starting on page 34 of Keith Piggott's Second Affidavit. Specifically on Page 37 Mr. Brockington directly asks Mark Bailey : "Mr Brockington : When Zhaojin Mining wanted to preseent a bid for alternatgive financing with the "go-shop"period, they wanted to do confirmatory drilling, and actuall physically arrived in Ecuador with drilling -- drill rigs and people to carry out that prgram.
What they wanted to do was twin some holes of the old Dynasty Goldfields where they'd seen core samples. But this is a normal process in evaluation of any property. Why was Mr. Bailey resisting this process ?
Was he concerned that when he was director in the past that there was something untoward going onunder Mr. Washer?
Is he concerned about the assaying procedures or sampling process?
What is it, Mr. Bailey, you're concerned about? You should know. I believe you are a geoligist; correct?
Anyway, that had the effect of shutting down the Zhaojin bidding process by ending the normal due diligence and their ability to bring a superior deal.
You said, Mr Bailey, in fact, that the confirmatory drilling could devalue the property when you're twinning a hole, if it's going to produce similar results.
We all know in a gold situation, yes, you may get 2.1 grams over 10 meters; you might get 2.3. You might get 1.8. Yes, it's not going to be exactly the same, but averaging section should hopefully closely parallel those originally reported.
What are you hiding? Why did you say that? Is there anyone in the room that can cite a similar circumstance in the history of mining that confirmatory drilling would devalue a resource? " Mark Bailey responded shortly thereafter : "Mr Bailey: I'm Mark Bailey. Ive been in the business for 43 years. Exploration geologist. I've had a very successful career discovering deposits and building mines. So I don't need to be questioned on my credibility.
Drilling -- twiinning holes in an open-pit mine, first off, no one does that.
Second off, the holes and the collars that you want to twin are gone because there's an pit mine where they used to be. It's very difficult to twin a hole when the hole is not there anymore.
Showing up with three drill rigs to twin a couple holes is not confirmation drilling. It's an exploration program, which is uncalled for.
No company in my carrer has ever let another company come on their property and drill it for free. If you want to do a joint benture, you put up money. You sign a mining agreement, and you earn into the property. That's how you drill holes. You do not drill holes for free on a property.
There were no holes to twin. All core was there. They could sample core. And more importantly, the open pit mine exposed more veins than the drilling did. They could have sampled the open-pit and got more data out of the open-pit mine than they would have got off drilling.
So they weren't trying to twin holes; they were trying to do exploration drilling on the property.
The first questions I've lost track of because there were so many.
I've not been to the Peruvian properties of Titan. I've been to Ecuador three times this year to the Core Gold properties. And I've reviewed those, and I have input in the Core Gold properties, which we are drilling now, which we're expanding, and we're doing work on things that were never done by previous management. ..."
".....Mr Brockington: Yes. I want to come back at Mr. Bailey on one point that he says it's not usual for a company to ever twin holes.
Well Mr Bailey, I'm a mining engineer. I've chaired a provincial Crown Corporation. I've been in this business a few more years than you, I suspect, because I'm a little older.
You may not know me, but I can tell you that Inco, in my career, did twin holes on a property where I was chief engineer. Thank you. --------------------------------------------------------------------------------------------------- Just for the record. All from publicly available information and public court documents. This shareholder has absolutely no trust in the current make of this board of directors, and their continued efforts to consolidate power is now in open view for all shareholders to see. Mark Bailey, as well as Gregg Sedun, should step aside, hand in their resignations, for the good of this company, and its shareholders, to move forward. Many shareholders can not trust that these two individualswill make a decision that is not in their own self interest, as was displayed by them during the Titan Minerals plan of arrangement fiasco, where these two would have held directors positions in the newly merged company. Enough for now. I'm absolutely disgusted with today's announcement of Mark Bailey being appointed as permanent CEO. Arrogance. Just bloody arrogance.