RE:GYA.V - Gold Jr - Buy Sell or Hold ?GYA has no assets- The Marudi Project was written of the books - see below
Non-current assets:
January 31 2020 April 30st 2019
Advance $0 $31,567
Exploration and evaluation assets $0 $5,201,157
Equipment $0 $320,553
___________________________________________________________________________
Total assets $ 197,220 (cash & prepaid expenses) $ 6,127,576
The company failed to make the cash payments to Romanex back in 2019. Romanex gave them time and they failed to come up with the payments. Romanex issued the termination letter and GYA still failed to make the payments within the 30 day period alloted by the agreement.
There is no agreement and no title to the Marudi Project by GYA.
The fact that GYA has called a "Force Majeure" (in March 2020 due to Covid 19) is also totally irrelevent to the fact they no longer have any property assets.
The failed payments occurred in 2019.
Romanex does hold shares in GYA but again this is irrelevent to the Marudi Project and Romanex moving forward on their properties. Romanex owns and holds the mining leases to this property. Not GYA.
The only way Metalstream is going to provide any funding to GYA would be if they held title to an asset or if a new agreement between GYA and Romanex were to be established. The old one is gone.
The owners of Romanex have no legal reason to pay anything back to GYA shareholders as Romanex fulfilled all of their proprietory obligations and GYA did not.
Breach of contract. Done deal.
There is value in the Marudi property, no doubt, but it is no longer possible for GYA to exploit this property as they own none of it.
Again the only option (on Marudi) for GYA is to form another agreement (new).
Metalstreams has not been able to make any first tranches, of (3) current agreements in over 1 1/2 years. This has nothing to due with Covid 19. Banking delays perhaps but in a very heated gold market and you can't generator $9.5M based on (3) purchased forward agreements.
Red flags.
This same Metalstreams group has been trying for years to get the premise of digitized gold coins to work and has failed.
Take your chances that this company doesn't declare bankruptcy but currently all they have is hundreds of thousands of owed monies and no assets.
Not a good place to be and I am glad I'm out.
Good luck and I hope something materializes.
Cheers