Tudor Gold Corp V.TUD

Everything is lining up

[Robizounskin]

Treaty Creek this way without royalties will be free of any liability to any third party so this will be more attractive for a potential buyer, all this is in line with the selling preparation like the spinout of Treaty Creek by Tudor, the PEA next winter, the rush to establish an appealing resource by next spring at Goldstorm, and now the buyback of the royalties.  The showcase of that jewel is shining.

[watchmeplz]

If you ask me it already sounds like a done deal, Tudor announced spin off like Amk did, seems like there gonna merge all 3 CO's into 1, change the share structure and sell to a suitor royalty free, clean title company with 100% interest. Again my opinion but will see what transpires 

[rockport1]

Treaty Creek is likely to always have an NSR; the 0.98% (Area 1) & 0.49% (Area 2) that belong to Teuton.  That is the business model for TUO, so it is unlikely they will sell it. If they did, it would have to be for a pretty tidy sum. 

[Countrygent]

It's odd there is no mention of TUO and AMK in the NR - shouldn't they be on the hook for 20% each of the cost of this NSR buy-out? As for price, if 1% of Goldstorm's 100% NSR was just priced out at around $11.5 million in TUD stock value at current market, that translates to an implied value for Goldstorm around $3.40 a share ... not a bad premium for the sellers, confident move by

[stockzorg]

Not sure why TUO would be on the hook to buy out an NSR that AMK management sold to investors for good money several years ago.  It appears that AMK's contribution was to accept only 100,000 shares to give up their right to buy back some of the NSR later.

[Countrygent]

Doug, the NSR (left as it was) itself would be a net deduction from the JV annual proceeds of a Goldstorm mine or production at TC. So TUD picking up 100% of the cost of extinguishing the NSR with their own shares - for just a 60% net interest?  No, I think TUO and AMK would be expected to carry the freight on their proportional gain.   And a royalty buyback doesn't seem to be a

[rockport1]

Gentlemen, if memory serves, the NSR(s) in question should not apply/affect TUO at all.  It was not actually drawn up as 1.02% & 0.51% on the entire property.  It was actually 2% (& 1.0%) on AMK's 51% of the Treaty Creek property. So while the math is the same when applied to the entire depsosit: i.e. 2% x 0.51 = 1.02% for example.  The NSR is paid from AMK's portion

[Countrygent]

That's helpful thanks RP.  cg

[stockzorg]

Agree - thanks. In theory Teuton could do a similar transaction with their separate NSR asset and eliminate NSR overhangs for all of Area 1 (Goldstorm. Eureka, PSZ). But due to the longer term unknown potential of Treaty Creek as a whole, this is not something I would even remotely consider. Could you imagine putting a number on it today, then having the next Eskay Creek deposit pop up in one of

[rockport1]

I also agree. This is the ideal scenario for having an NSR.  Today, the value is an NPV on something like 25 million ounces. In 15 years, it could be 1% of close to 1 million ounces of production per year. PLUS the NPV of production revenue for decades.  Likely, the primary limitation on production will be enviromental considerations.  Therefore, as you say, there is no way this

[CairoK]

Just my opinion but it makes total sense to me that Seabridge is going to buy out TUDOR. Think about. They are already there! Its a no brainer.. Equipments already there. Its hop, skip and a jump for them and SEA doesnt have to spend millions $$$$ to move equipment.

[alpha74]

Hi Cairo Seabridge does not have the financial strength to take over Tudor. The only chance they have is to find a financially strong partner (which they have not been able to do for many years). I believe that one of the big players in the industry will take a stake in Tudor and take over the financing of the drilling before it finally comes to a complete takeover. This was also the case with

[CairoK]

Well either way, TUDOR is going to hit it big in the coming months.

[fordster]

I'm hoping Newmont....damn! We would all be Newmont shareholders with dividends....that's been a life long fantasy. Then I would be made whole...I'm hoping they move into AMK. Imagine what would happen to SP if Newmont bought AMK?

[watchmeplz]

I'd think it'd be PVG way before SEA.  

[rockport1]

Yup, it would be a great move for PVG.  They have far more financial strength compared to SEA, and it would take them to a new tier in gold producers.  Everyone talks about Nevada/Carlin as one of the great producing regions of the world, and rightly so. However, the Golden Triangle looks to have just as much gold. In the future, it will move into one of the great producing gold regions

[highper]

oretium does not have $4 billion plus to build out  mine never mind the billion dollar plus to buy out trety creek.... They are still digging their way out of the mess created by their overestimate of the mine grde by the previous management. 

[karlschranz]

so much BS in a few sentences............

[watchmeplz]

Why couldn't they dilute or issue shares? There's lots of ways to work around that, even a jv or some sort, comes down to if they see the vision, however, imo, still a better candidate then sea 

[stockzorg]

No doubt that Pretium is the strongest player in the immediate area. They seem more focused on locating the next VOK deposit or extensions to their current mine. They are playing nice with Tudor by allowing road use to keep options open. They are looking north of VOK toward the STF fault which I see as very positive for Tudor when it comes to the Sulphurets Dome area.

[fordster]

Do you think Pretium is large enough to get involved with TC?...perhaps they would let us uses their  forgeries....I've always thought they were a class act.