Friday, September 29, 2006

Redstar Gold Corp - AGM - Sept 28/06

Spoke with Scott Weekes, President

1) Drilling results at Pine Nut completed. NR in 2-3 weeks.

2) Dry Gulch should get permit approval this week.They'll be drilling 2 holes only, which should take 2 weeks. Of course, they will have to secure a rig first. Worst case scenario, they'll get the rigs by the end of October. Winter comes around end of November.

3) North Bullfrog, started permitting process, should take only 2 weeks to get approval - mid Oct. They can drill year round here.

4) Painted Hills - Anglo was targeting this property as it was drill ready. However, Bullion River got hold of it, but did nothing. RGC then picked it up. Never been drilled.- zero holes. Low-grade at surface. Potentially, Midas or Sleeper-like.

5) Eagle Basin - huge alteration system, low gold mineralization, but found mercury and arsenic.

Red Lake - A program of 15-20 holes would cost about $1M. They have $100,000 in bank. Financing or take in partners. They're talking with 4 potential partners. Recently, they gave a tour of the property to one of mid-sized companies. If there's drilling, it'll be this fall before the end of the year.

The model they could follow would be like Southern Star or Exall where they retain 50% of their stake, but which has worked relatively well for those companies. That model looks attractive.

They were at the Toronto gold show last week. Met many holders of larger positions. They have a following in the US, who tend to be longer term holders, buying RGC despite not being on Amex.

Chance they might use an IR firm out of NY.

Monday, August 07, 2006

VIT AGM Aug 4/06

Victoria Resource Corporation (VIT) AGM Aug 3/06
Ian McLean, VP, Investor Relations (BGO & VIT)
Raoul Madrid, VIT geologist

VIT office in Reno – close to facilities – labs, permit dept, etc / 12 employees

8 mining properties including a new one – Fourth of July property
Virtually all leased from Newmont, who has back in rights for half the action.
Newmont needs a property to yield 4M ozs and 46% IRR before they will back in.

Started with 2 rigs - 1 at Hilltop; 1 left to drill Romarco’s Nevada property (by process of elimination - must be from Preble); will be back in Sept.

3 rigs on VIT properties by mid Sept, maybe 4. (2 of them sourced from Alaska)
They are core rigs, not reverse circulation rigs.

Hilltop - one drill, right now at 1765m, intends to drill to 3000m. Their theory is that the gold could be found there, beyond the breccia zone.

Mill Canyon – target-rich. VIT has drilled 4 out of 26 targets. Good results on 3 of 4 but will relook at target #4 (something about intrusives), leaving 22 targets left to drill.
RJR – proposed holes not in budget for 2006 / ‘zone displacement’ to RJR West, which appears to be a theme (to be discussed later).

Cove-McCoy – Newmont reluctant to give this property up at first; reclamation issues to be addressed by Newmont; all exploration stopped by Newmont; 2.0M gold oz already there, no reclamation issues for VIT. VIT is looking at Cove South. (Previously, I spoke to Tom Garagan at the last BGO AGM, he mentioned this property looked interesting.)

Black Canyon- visible gold – vug / drilling needs to be done before Nov as property is 10,000 ft high.

Relief Canyon –NewGold is there (NGLD – OTC/Mkt cap:$25M), they spent only $50k in 1999, now worth much more. NewGold’s mine will be in production by June 07. VIT has all the surrounding area.

Fourth of July – a new property – an old silver district, gold was never mined here. Midway Gold’s (MDW.v – market cap: $75M) nearby property at Spring Valley will have a resource calculation soon. (I remember looking into Midway a few years ago – they had a similar arrangement with Newmont that VIT has. Only a multi-million oz gold resource would bring back in Newmont).

Rigs –1) Once Hilltop is finished drilling, the rig likely will go to Relief Canyon.
2) Rig from Alaska will go to Cove-McCoy in August
3) A second rig from Alaska will likely go to Black Canyon (drilling before Nov)
4) Return of the rig from Romarco
Thus, by mid September, they might have 4 rigs going.

Other tidbits – PDG had a policy of no step-out drilling. Some of the data for Cortez area, they‘ve had for 30 years but they did nothing. Cortez Hills was a condemnation hole.
I took that to be a comment on the slowness of large-cap companies, like turning the Titanic 180 degrees.

Another comment was the ‘zone displacement’ occurring at RJR and elsewhere. I asked a lot of questions regarding White Knight Resources (WKR) since I have some – like where were WKR properties in relation to VIT’s. I asked where the Cortez Trend was. It was interesting to note that Mr Madrid never called the area VIT is in as part of the ‘Cortez Trend’. He always called the area as part of the Battle Mountain goldbelt.

My opinion: Perhaps the Cortez Trend is all marketing and the current fiasco with USGold/ WKR/Coral/Nevada Pacific/regulation problems, etc is all smoke to cover up the fact that not much gold has shown up on the Trend because of ‘zone displacement’. Looks like I won’t be able to ask any questions at WKR’s next AGM because I will be out of WKR. My prediction is that the market caps of WKR(~$140M) and VIT (~$32M) will reverse.

McEwen is not unfamiliar with VIT as they have chatted.

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Monday, June 26, 2006

Bema Gold AGM June 21/06

BGO AGM June 21/06
McKenzie Room/Waterfront Hotel

The biggest nugget culled from the AGM was that Bema will start trading on the NYSE. At 6am on July 14/06, Clive Johnson will ring the opening bell at the NYSE. Bema will then be in the big leagues.

Nugget #2 was that fast tracking at Kupol will make Bema almost twice as fast as the avg mining co in building a mine. According to Mr Johnson, the average mining co takes about 10 years to build a mine – Kupol is projected to be built by 2008. BGO started working on Kupol in 2003.

Nugget #3 was the JV with Anglogold in Colombia. Over 120M oz have been mined there throughout the centuries. President Uribe was elected recently and he is rightist, unlike Colombia’s neighbours – Venezuela, Bolivia, Peru and he is very keen on mining.

(Greystar Resources is already there – they have an inferred resource there of 4.4M oz of gold. Their June5/06 news release headline says it all - Step-out hole yields 74.16 g/t over 3 metres at Angostura in NE Colombia. Greystar was the co that had a worker kidnapped in 1999, forcing them to leave the country. The fact they’re back indicates that the FARC/para-military groups/drug cartel/guerillas situation has improved. BHP also has a nickel mine in the area.)

Colombia fits in with Bema’s risk plays in Chile in the 80s and Russia in the late 90s. They’re getting in early.

But the big news in my opinion is that Bema has now established relationships with the big boys – Newmont with Victoria resources, Anglogold Ashanti with the Colombia projects, Barrick with CC, Kinross with Refugio. Just need a JV with GoldFields.

There were other nuggets but it’s hard remembering all of them but I will try to update as much as possible.

Tuesday, June 20, 2006

Consolidated Puma Minerals AGM June 15/06

CPW Agm June 15/06

I’ve been to quite a few AGMs of the Bema Group in the last few years. Nothing could match the fireworks at the Arizona Star AGM a couple of years ago when the Friedberg group attempted their initial takeover maneuver.

This is my second CPW AGM where I’m the only retail shareholder.

Directors present: Tom Garagan, Jerry Korpan, Steven Kay,
Geologist present: Mark Ward – 3 years with CPW

6 directors voted in.

Asked about the $12.3 M financing in 2005 & 15,000 metres of drilling to done in 2006, this compares to $2-4M spent on drilling 14,500 metres in 2004 and 2005.
The total amount of financing certainly raised my eyebrows when I first heard it. That's a lot of money raised for such a sleeper of a company. (Per financial statements, they have about $8M in the bank.)

Mr Garagan replied that previously they were taking baby steps, now they have the money to really do some drilling this year.

There was a News Release on the day of the AGM.
Asked about the interpretation of the NR, what is the Pd/Pt ratio all about?
Example: Hole #P-456 has Pt graded at 3.70 g/t, while Pd is at 8.01 g/t giving a Pd/Pt ratio of 2.2. Apparently the higher the ratio the better it is, although I might have heard wrong. Checking Kitco, I see Platinum is at $1152 and Palladium at $292. So I’m a bit confused, don’t you want more Pt than Pd – implying a lower Pd/Pt ratio? I’ll query further at the BGO AGM this week.

Here’s a nugget tossed in by IR (Mr McLean) – On the latest Barrick MD&A (Management Discussion and Analysis), they mention Federova in the Kola for the first time. Federova is 50 km from the Puma properties and a feasibility study is possible in 2006. Check out ABX MD&A pdf (p.11) on Sedar.

CPW hopes to have converted their present exploration license to a production license by 2008.

Thursday, June 01, 2006

AGM Strathmore Minerals Corp May 29/06

AGM Strathmore Minerals Corp (STM) (Disclaimer : subject to further editing)

Met with Steve Khan, director, Bob Hemmerling, secretary of Strathmore and about 8-10 other shareholders at a large dining table at the Metropolitan Hotel. Everyone else from the company was out in the field.

An AGM at the Met conjured up visions of a nice breakfast spread. Then reality intruded. Only muffins, coffee and juice were available. This certainly wasn’t anything like a meal at Diva at the Met.

The meat was in the informal Q & A with Mr Khan. He had lots of good insight to share.

First things first – I opened up the press kit. The first article I saw was a Stock headline that asked the question ‘uranium to head north of $500/pound?’

Sprott analyst Kevin Bambrough made a hypothetical case for $500 spot uranium, under an extraordinary emergency supply crunch, by answering the question: ‘How much would people pay before they shut it (a nuclear plant) down if there is a shortage of uranium?’ His point was that the cost of uranium in the nuclear fuel cycle is minimal and would not register any concern on the man-in-the-streets’ radar until uranium gets to such a price as $500.

The second article was a Washington Post article ’Going Nuclear’ written by former Greenpeace co-founder Patrick Moore. Leading greens are now embracing nuclear. You can already see the pro-nuclear ads on ROB-TV, trying to educate the public about nuclear energy.

Updates –

STM will spend between $6-8M in expenditures this year.

Dieter Lake, Quebec - Drill program to begin June 2006. Updated 43-101 compliant resource calculation to be completed soon. 90% done but the geologist writing it is out working in the field. Basically, they need to be in the office to finish writing it up.

Church Rock, New Mexico – continue permitting process.
Roca Honda, New Mexico – 43-101 compliant resource calculation completed. Prefeasibility studies underway. Permit application to follow.

The New Mexico projects are a production profile play – application is a 3 year process
-there are a dozen sub-contractors there already, but they have to go through studies for water, archaeology, reclamation, environmental, stream settlement. Then it’s another 3 years for the submission process to the NRC & EPA.

This process could be expedited with
1) a greater push from President Bush for alternative energy sources and
2) URX (?-nothing in google) has passed through hurdle already. It took 6 years but precedent is set and there are now public records of the submission process. Companies following URX might get a more positive reception.

Production possible in 2011.

Wyoming – lots of data with a few junior geologists going through it. (President of STM, Mr. Miller was a member of the Wyoming legislature.)

Waterbury Lake, Saskatchewan – 3000 meter drill program underway. Results expected mid-summer 2006.

Davy Lake, Saskatchewan – Summer ground geophysics program to identify drill targets.
(Dr. Franz Dahlkamp, a professor at the University of Bonn, identified this area as potential target.)

Other Athabasca properties – complete airborne geophysical programs on Western Athabasca properties; JV non-core properties.

Other insights

Mr Khan said that utilities played a big role in the late 70s. In the near future, he foresees companies (ie Japanese trading companies) that sell to the utilities might be making deals with companies like STM to secure long-term supply of U. Apparently, a Japanese trading co has such a deal with URX.

I asked if there was an equally onerous oversight process in Canada. Mr Khan answered yes and no. Saskatchewan is very pro-mining, Feds also, but what could hold back things would be environmental and maybe, aboriginal issues.

Sprott Asset Management holds 19.9% of STM. Other European and hedge funds are involved. Other institutional holders include Mavrix Fund Management, International Value Management (IVM) BV, BluMont Capital Corp, Raiffeisenbank Kleinwalsertal AG and AFIMa. (Aside – What is the Canada Alt Monthly Report? It was the source for Sprott’s Jan 05 holdings).

There seems to be a lot on the plate for STM, but they appear to have the management and geological experience to pull it off. There may now be over 200 uranium companies but the barrier to entry is high as there is a lack of qualified geologists. The bad uranium years bought its toll - there are not that many geologists graduating. The old pros are locked away with plays like STM but newbies face a large learning curve.

Tuesday, May 30, 2006

AGM Copper Creek Ventures May 26/06

AGM Copper Creek Ventures May 26/06 (disclaimer - subject to edit as I will be adding/deleting items as I see fit.)

Met Bing Jung - CEO, Dale Paulson - director, Dave Bissett – IR.

Missed the formal part of the meeting. Lucky me. The scrutineer had already left after 5 minutes. In Vancouver, how many scrutineers do you need to attend the various junior’s AGMs? How’s that for a cushy job? Half the AGMs are gatherings of company guys and no one else.

On to the informal meeting with only 2 or 3 non-company shareholders.
First off, CPV now has $1.1M cash in the bank, thanks to a recent financing.

Per Form 51-102F1 Management’s Discussion & Analysis which all shareholders should have received, it mentions that on Dec 9/05, Prairie Schooner Petroleum Ltd (PSL.T, market cap $258M) advised CPV that they had assumed the 50% interest in an oil & gas lease, section 3-20-3W5 in Turner Valley, Alberta, formerly held by Purcell Energy Ltd. CPV holds a 12.5% interest in this lease.

It was mentioned at the AGM that PSL has a budget of $85M for Alberta. Apparently, an AFE (Authorization For Expenditure) is close at hand. Sometimes in July, there should be some drilling happening.

Mr Bisset spreads out a map showing 10-36-20-4W5 & 10-3-20-3W5.
Talisman has purchased surrounding land sections and it’s rumoured that TLM is getting 600 barrels per day. Talisman’s success ratio is like 98% in Alberta.

I ask - are there institutional funds involved? Mr Jung says he crossed some shares to a fund recently. That was during the multi-million volume days a couple of weeks ago. (If it’s Sprott as rumoured then one can check out Sprott’s fund holdings at the next quarter end.)

New director Mr. Paulson joined the board recently. News Release was in early May. He was a co-founder and vice-president of Panterra Resources and is currently president of Lions Petroleum.

And that was basically the meeting. Personally, I like to place a face to a name and overall, it was a good meeting. My one suggestion would be to change its name to something else. I made a faux pas and called it Copper Kettle, while someone else later called it Copper Valley.

Tuesday, March 28, 2006

Follow up on PTR AGM

Looks like Signal Energy is being taken over by Pearl (PXX).
Was the private company a front for PXX or was it an entirely different company?
If so, can we expect a bidding war?
Will they be talking to PTR re Redwater?

Rough back of envelope calculation -

SGI boe = 600; PTR boe = 245 (just counting Frog Lake, RW)
SGI mkt cap = $70M (per Stockhouse); PTR mkt cap = $11M. PTR 38M shares o/s.

(245/600*70M)/38M shares = 75 cents.
Of course, they are other factors - cash, other assets, etc.

Another metric per Mr Curr at the AGM - it was mentioned that companies-in-play are being valued at between $50-75K per barrel of production -

so $50K*245 boe = $0.32;
$75K*245 boe = $0.48.

Things are fluid right now. I'll certainly be using the edit button.
Disclaimer - These are my figures and calculations - I could be way off the mark.

Monday, March 13, 2006

PTR AGM - Mar 10/06

PTR AGM – Mar 10/06

Stepping into the board room at Lang Michener, I shake hands with Dr Ross Gorrell, president and Mr Robert Curr, geologist. There are a couple of insiders and a couple shareholders there – about 10 people. Dr Gorrell mentions that Mr. Kenny Chan is in Indonesia and Mr. J. Chan is in China working on deals and will not be able to make it to the AGM.

Formal AGM starts and is over within minutes.

Updates on PTR’s bread and butter but prosaic plays –

Redwater - 4 successful oil wells producing, the 5th one next week. 3 more new locations t/b drilled. However, their JV partner Signal Energy appears t/b in play, on the verge of being taken over by a private company. One thing that has happened over the last couple of years is that the operator continues to be taken over. Last year it was GRR, then Signal bought them out, now a private company is kicking the tires. Apparently, they are valuing a barrel of production between $50-75K/barrel of production. RW is producing about 100 b/d.

By this valuation, if RW is producing 100 b/d valued at $50K/barrel of production, then RW alone should be valued at $5M/37M shares o/s = 13.5 cents. Caveat – this is my take, I might be missing an important factor here.

Morningside - 1st royalty chq next couple weeks. G2 Resources bringing in rig this week to drill Basal Belly River. 1 producing well, 1 t/b drilled & 1 to follow up on.

Gilby – operator is Highpine Resources , something about payout Oct 2/05 or Dec 05.
Took them 8 months to get drilling cost back. Additional zones. End result - cost to PTR $0.00, but get 16 2/3 working interest.

Calmar – farm out – marginal gas well, but potential in the glaconite zone.
Bottom line – Cash flow built in, will get better.

Frog Lake – LSD7. heavy oil. 3 wells plus 4th one in the next year. 130 b/d.

There is a comment from a shareholder re exit 2006 barrels/day figures. Mgmt mentions that they should have a clearer idea of the figures in about a month or so.

These are the bread and butter plays, the elephant plays have to do with China and Indonesia. That’s where Mr. Peter Ho gets involved. Has good credentials. (see NR). Although there are lots of CBM plays in China, play likely to be in North America. It’s the technology transfers that’ll be important as China is still employing ancient practices in extracting minerals.

Remember CNOOC/Unocal fiasco and the controversy that erupted – headline generating, lost of face – things anathema to the Chinese mindset. Is there another way to accomplish the sourcing of energy/technology without headlines? Is the LLC far enough removed from the parent (so that any embarrassment will not be reflected upwards)? Apparently, this LLC has the money to spend. (Think federal government spending spree at fiscal ear end.)

The MOU is to be clarified within 60 days. There’ll be presentations to a China group here or in Calgary. Apparently, PTR was feted to a state dinner in China (= higher ranking officials). Reciprocation? Bottom line: Chinese co with money to spend to be matched with some NA plays by an under the radar middleman.

Gold mine written off to $1, but can always restart. Property in Indonesia is surrounded by Barrick, Inco, Newmont. Perhaps, it gets revived and if so, gets spun off. The big money investors are probably there.

These guys are ambitious dealmakers. They’ve done quite a bit of homework, made their contacts and they’ll be swinging for the fences.

My opinion: bread and butter PTR should be more than 31 cents (230 b/d * $50K/bop divided by 37M shares). Elephant PTR doubles that to 62 cents at least.

Monday, February 27, 2006

Gitennes May 2005 AGM

As per usual, when I attend these AGMs, I feel like the Lone Ranger. There was probably one other investor or broker, everyone else was GIT staff, directors, auditor, etc. Mr. Blackwell spoke for half an hour, the geologist at Tucumachay the other half.

These are my impressions and tidbits -

-the main focus is Tucumachay; not much happening elsewhere; Buffalo working Red.

- Talked a lot about the geology etc, way over my head, jasperoid, breccia, mentioned Carlin once. My take: It's no Kupol.

- GIT has applied for Permit C, a 100 page tome to satisfy the government, the environmentalist, the anthropologist, et al. The Peruvian people has 20 days to look at it, then the govt has 20 days and GIT has 10 days, but this is Peru, so it can take anywhere from 2-4 months.

- Once permit is out of the way, GIT wants to drill approx. 30 holes, core drilling, likely last 2 Qtrs, end of July the earliest.

- there's snow in the morning there, but it melts within hours, right now. Apparently, no seasonality so can drill anytime, but this is the Andes.

- GIT has spent $150K so far, needs to spend $1.6 M by 2008.

- after 12000 meters drilled, Inmet can look at the database and can clawback in for 60%.

- deal done that way because Inmet does not want to look bad should there be a multi-million oz there. Inmet has a large office in Peru, but they are like the Maytag repairman, not much to do.

- Tucum. has potentially lots of zinc. Inmet would be interested but only if huge amount. Apparently, they passed on another area close by, so may pass at T if it's not huge.

- geochem testing turnaround time for gold samples is 4 days. Other minerals will take longer.

- Re Urumalqui - nothing much happening there. When I was at the gold show in January, I stopped by Meridian's booth. Their map showed the JV but their rep knew nothing about it. I mentioned this to Mr Blackwell, he said companies like Meridian, being a producer, don't want to be cluster in with exploration companies with their speculative cycles. Supposedly, Meridian haven't mentioned U in their annual reports since 1999

Petromin March 2005 AGM

While I did go to the AGM on Friday at the offices of Lang Michener, I haven’t had time to post until now. I’ve been playing in a hockey tournament over the weekend.

I wasn’t totally satisfied with my stock, so I did something about it. Instead of whining and complaining, I went to the source of the information. You can do it too.

So there they were, Dr Gorrell and Mr Chan plus a tableful of what I take to be insiders. Was I the only small time retail investor there? People were calling each other by first names. Also, there was Mr Curr, the company geologist with all his charts and maps. For this first meeting, I tend to look at the big picture rather than the tiny details. Are these guys trustworthy, credible? Do they have a vision? Etc.

I was impressed, esp with Mr Curr. He knows his geology, has been around a long time and has his network of people to rely on. I’ve talked to Tom Garagan at BGO before and got the same sense of willingness to share knowledge with newbies. I’m not talking about secrets but just geology.

Now to the good stuff – first, a caveat - I made lousy notes, this is what I wrote down. I’m still a relative newbie to oil and gas and the significance of certain details escape me.

Morningside – Mustang Resources is waiting for a drill rig, which should be available during spring break. According to Mr Kerr, the first drill should have hit a good hole but Dick Cheney’s old company Haliburton screwed up by shooting down 10x the amount of sand or something like that. PTR couldn’t really sue them big time. Legal fees would’ve killed PTR.

Redwater – it’s been muddy, maybe have to wait until May for more drilling. Operator is GRR and they have a market cap of $14M vs PTR’s $7M. 80% of GRR’s Redwater results come from the PTR land. Look at the Press Release language of GRR vs PTR. Guess who’s more conservative? An example of PTR’s strategy – land picked up for $43,000 generated $2M worth of drilling and they still get a share of the payout.

Gilby- expecting a cheque in April, something about MGV (operator?) .

Frog Lake – producing a little bit but lots of politics being played. My feeling is that blue sky is not here.

Calmar – I asked my coalbed methane question about Horseshoe Canyon being the hot area today but next year, will it be Manville? They mentioned that land prices in the former area was getting astronomical, so maybe their strategy should be to pick off the land where the CBM formation is deeper but the land is still cheap.

Speaking of CBM, the blue sky play is a CBM play in China which Mr Curr is quite excited about. And this is where Mr Chan’s contacts should come to the fore. There are also other CBM projects but will have to be quiet here as the last thing I want to do is to cause certain land prices to skyrocket and defeat PTR’s strategy of picking up cheap land.

Mr Chan’s trip back east was to drum up money, establishing contacts and that’s where the big volume in December came from. Can institutional money or maybe a TSE listing be around the corner? Still, it’s one step at a time.

I like these guys. They’re trying to build a company. There’ll be lots of brilliant plans that won’t come to fruition, but that’s business. And there’ll be projects that fall into their lap. They’re building a network of contacts. I don’t understand why people call them a pump and dump operation. Pump and dump for pennies? This is a great time to be in commodities.

I feel they are credible people with good vision. Their goal basically is to combine projects with blue sky with projects that yield reliable and conservative cashflow.

Now I know, what I gave you guys was mainly my impressions, with not much details and numbers, it’s up to you to fill in the gaps.