Ryan Gold Corp V.RYG

Cash

[Rainman]

Q1 March 31st statement shows $46.5 million on hand from what I can see. Did I miss a more recent figure?

 

Rainman

[krowe]

From yesterday's news release: "The Company is currently well financed to execute these plans with working capital of approximately $43 million as at April 30th, 2012." That's over 30c/share in cash if I am looking at this correctly. So their properties are valued at a little over 5-6c. INSANE!

[Rainman]

I had pulled the cash number from their balance sheet as of March 31st and didn't include restricted cash.

[yukoninvestor]

That certainly is a great cash position which would be the envy of almost any junior on the planet. I find the depressing part of the news release being the idea that after a well financed exploration season (2011) that probably saw all of their best targets tested by at least soil sampling and prospecting, that the company could only scrape together enough courage to drill

[bob4977]

I do not pretend to know everything about the ins and outs of exploration in the Yukon. But I do have this theory that the safest bet to make is on proven winners. Shawn Ryan is a proven winner. So, I took out a small bet that he knows what he is doing. If the market suddenly decides he does not, that is their problem. Bob

[yukoninvestor]

Choosing and betting on proven winners is a smart way to invest, and Shawn Ryan certainly fits that profile. That being said there is a fair amount of "what have you done for me lately" in this business and if you take his past successes out of the equation and just looked at the recent body of work associated with RYG (and other juniors like Aldrin or Taku), its not such a pretty

[bob4977]

I do not know anything about Aldrin or Taku. I know, in the junior market there are a lot of sheisters out there. I do not believe Shawn Ryan is one. There very well may not be sufficient gold in any of his claims. That is why I did not bet the farm on him. I do believe he has the intent to find more gold and that he is an honest man. A couple of my friends know him and I am sure they would vouch

[yukoninvestor]

Well said Bob. I did indeed sell before the stock collapsed, immediately went onto the short side and have recently closed out that position as well. Didn't make much on the long side but sure made out good on the short side. Aldrin and Taku are a couple of other companies he sold quite a few properties to, IMO they did not turn out well at all. Betting on a winning horse is certainly a good

[bob4977]

In Ryan's defense, if he sold the properties he probably did not think there was much worth exploring for on them. So far, what I see is that he got a huge private placement at $2 per share approximately which has now crashed to 34c. He still has a lot of that money left so we have lots of time to find something. The first results last year were extremely mediocre. I will concede that point

[yukoninvestor]

I suppose I should have used better terminology than sold. He optioned a lot of properties to those companies, kind of like what he did with the properties that were moved into Ryan Gold. Anyway, the Aldrin and Taku stuff sure didn't work out all that well and his fingerprints are all over those properties, you should check out some of their news releases. Hopefully for you

[bob4977]

Yukon, I hope you did not lose too much money on those 2 companies but my theory still stands. Why would you option your best properties to those companies and then keep the least attractive to explore personally. Either way, we should get a better idea of how successful he will be by the end of the drilling season. Good luck to you whichever way you are playing this. Bob

[yukoninvestor]

I think his best properties: Underworld and Coffee, are already in the hands of kinross and kaminak respectively. If I remember right they were optioned out before he did the Taku and Aldrin deals, which were done before he did the deal with RYG. Perhaps the best stuff got optioned out first and the quality dropped quickly as the years went on and the rush attracted more

[Rainman]

We are a long, long way from determing what his best properties will be. All we know now is that Ryan has given his NAME (legacy) to this venture. I am disappointed in the rather small drill program that they have announced though. The rest of the commited 2012 spending may go to acquiring other properties. I also do not understand that. Can't they find anything worth drilling

[yukoninvestor]

I also do not understand the whole idea behind such a small drill program compared to the large amount of soils and staking which I think was being planned for 2012. My take is that last years soils and staking never really lit their share price on fire so why would this year's soils and staking do any different. A cynic would look at who benefits the most financially from the labour