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8/5/17

The top three most visited IKN posts this week are...


...in reverse order:

Third Place: "Bobby G: the scamster writes in". Oh Bobby! By the way, Google spellcheck wanted to change "scamster to "teamster". Just saying.
Second Place: "Dear Bobby G". Ohhh, Bobby!!! Robert Genovese and his own house of cards. You will note that his partner in crime Avi Mirman "was resigned" from his CEO post at his latest job on Friday due to the charges brought against him. Let's see if Bob has the same type of reaction...highly doubt it, the scumball.
 
First Place: "Asanko (AKG): The descent into bullshit lies" and the winner of the week by a nautical mile. AKG unravels and people suddenly care...you can tell by the blog hits. K2 Associates got laughed at when they went short last year and told the world exactly why. Nobody's laughing now, everybody's paying close attention.

8/4/17

Odebrecht corruption Peru prisoner news

Ex-President Ollanta Humala and his wife Nadine Heredia were up in court (and on TV) this afternoon, with their appeal against being imprisoned in custody before answering charges of corruption by Odebrecht, specifically on receiving U$3m and blowing it all on handbags and stuff. 

The judge said no, you two gotta stay in jail. Nadine reacted like this:



The Friday OT: Elgar; Nimrod

The adagio from the Enigma Variations, Colin Davis doing the honours:




Instantly recognizable, even before it was used and riffed upon in the best film of the year. Youtube here.

The Alset (ION.v): Now 12 weeks...

...between this ridiculous scam sending off its samples for assay and today, but still no news from the company. Apart of course the constant verbal diarrhea from its joke of a CEO, the numerically challenged Allan Barry, who has nothing else to do with his life except talk non-stop on the Tommy Humphreys pump/dump site CEO.ca, play golf and cash his monthly salary cheques. 


8/3/17

Bobby G: the scamster writes in

He's such a sweetie:

"Thank you for your wonderful colourful commentary, and I can only wish the same for you. But as Michele Obama said - when they go low - we go high !!!!! "


Bobby, when Michelle said high she wasn't thinking about white powders.

PS: Dear SEC, over the years I've had several mails from Bobby Genovese, commenting on posts and making veiled and not-so veiled threats. I'd be happy to share, feel free to write in. 

Asanko (AKG): The descent into bullshit lies

When a gold mining company starts by exaggerating its potential, then fudges its numbers to cover up shortfalls while praying at the altar of high gold prices to make everything awesome (and stop you from noticing the truth), the most likely outcome is that the lies are eventually found out and the truth rears its ugly head. And so it is with Asanko (AKG) and its 2q17 numbers. Two exhibits for your consideration:

1) July 19th 2017 was the day AKG announced its 2q17 production. At that time it told the world this, right at the top of the NR in bullet point number one: "...2017 production guidance of 230,000 - 240,000 ounces maintained". And just so you got it,  President and CEO Peter Breese looked at you in the eye and lied to you:
"...we expect the second half of the year to be stronger as we see the benefits of the plant operating at the annualized rate of 5Mtpa, the grade at Nkran improving, as we mine through the low grade zone, and the Akwasiso pit delivering planned grades and tonnages. We therefore maintain our 2017 production guidance."
And now, less than two weeks later, we get this:
"Subsequent to quarter end, recent information has prompted revision of 2017 annual guidance revised to 205,000 to 225,000 ounces at AISC of US$920 to US$960/oz..."

Subject to quarter end? Are you freaking serious? Are these people trying to tell us that they didn't know about a 15k oz projected shortfall on June 30th, or July 19th, but do now? Well yeah they are trying to tell us exactly that and if it were a company deserving of a little trust and respect it might go through, but for serial revisionists and BSsers it's not that easy. However, we don't have to suppose these people are abject liars any longer, we now know it 100% due to...

2)...the stockpile bullshit. Oh dear, they've finally shown their hand and demonstrated that they are liars and here's how it works. Today on the Conference Call, the President and CEO and blatant liar Peter Breesewas asked about the mysterious stockpile. If you recall, this was the data that they published happily, right up to the moment when they realized it was a tell on their false story. That's when they stopped publishing stockpile tonnages and grades but when asked by analyst "Chris" today to give an update, Breese said this:

"The stockpile right now Chris is around 2.4m tonnes at about 1.1g"

His words, not mine. So AKG claims to have 2.4mt on hand at 1.1 grams per tonnes gold, that's obviously false and here's why:
  • In its 2016 year end filings, on December 31st 2016 (the last reliable stockpile data) AKG told us it had 1,522,271 tonnes at 1.36 g/t Au (contained gold 66,669oz), plus a "marginal stockpile" (aka barely economic crap) 430,000 tonnes at 0.67 g/t Au.
  • In 1q17 they reported mined ore of 1.107m tonnes and processed ore of 0.908m tonnes.
  • In 2q17 they reported mined ore of 1.048m tonnes and processed ore of 0.887m tonnes.
  • Do the math and the stockpile should have increased by 0.27m tonnes during the first half of 2017. That's not my opinion, the mathematics demands. 
  • Therefore, the stockpile should be 1.792m tonnes. Or if you include the "marginal stockpile", it's 2.22m.
So where, pray tell, has an extra 180,000 tonnes of stockpile appeared from Mister Breese? And again, in other circumstances and with other companies you might be inclined to give a benefit of the doubt, with this obvious cover-up it matters, because it's a clear case of provable false numbers from the company head's own mouth. Class action lawyers, take note.

Just a reminder...

...that The Genovse family (Bobby et al) are the people who most inspired and taught Tommy Humphreys. Birds of a feather.

Dear Bobby G

certainly hope you die in prison.



U.S. SECURITIES AND EXCHANGE COMMISSION

Litigation Release No. 23895 / August 2, 2017

Securities and Exchange Commission v. Robert D. B. Genovese, et al., No. 17-cv-05821 (S.D.N.Y. filed Aug. 1, 2017)

SEC Charges Two Individuals in $17 Million Manipulation Scheme

The Securities and Exchange Commission announced fraud and other charges against two individuals and a related company for their roles in a manipulative trading scheme involving Liberty Silver Corp., a penny stock.
The SEC's complaint, filed on August 1, 2017 in federal district court in New York, alleges that, Robert Genovese, a Canadian citizen, his company, B.G. Capital Group, Ltd. and Abraham "Avi" Mirman, the former head of investment banking at now-defunct New York broker-dealer John Thomas Financial, Inc. (JTF), were involved in a scheme concerning Liberty Silver in which Genovese sought to increase dramatically the company's share price and volume and sell millions of shares into the market. According to the SEC's complaint, between August and October 2012, Genovese schemed with Mirman to sell Liberty Silver shares to JTF's customers in part by agreeing to loan $2 million indirectly to JTF without disclosing the loan to the customers. The complaint alleges that Genovese also touted Liberty Silver in newspaper articles while failing to disclose that he had paid for the articles, that he was dumping millions of shares of Liberty Silver stock, and the financial arrangements between himself and JTF. It further alleged that Genovese engaged in manipulative trading on a particular day, increasing Liberty Silver's share price and creating the false appearance of liquidity and demand for Liberty Silver stock.
The SEC's complaint charges Genovese and B.G. Capital with violating Sections 5(a), 5(c), and 17(a) of the Securities Act of 1933 and Sections 9(a)(1) and (2) and 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. The complaint also charges Mirman with violating Sections 5(a), 5(c), and 17(a)(1) and (3) of the Securities Act and with aiding and abetting Genovese's and B.G. Capital's violations of Section 17(a)(1) and (3) of the Securities Act and Section 10(b) of the Exchange Act and Rule 10b-5(a) and (c) thereunder. The SEC seeks permanent injunctions, disgorgement of ill-gotten gains plus prejudgment interest thereon, and civil penalties.
Separately, on August 1, 2017, Anastasios "Tommy" Belesis, the former CEO of JTF, agreed to settle SEC fraud charges. According to the SEC's order, Belesis misled his customers by soliciting them to purchase Liberty Silver shares beneficially owned by Genovese without disclosing the conflict of interest arising from Belesis's seeking the $2 million loan from Genovese and that Genovese, a major shareholder, was selling a significant portion of his position. The order finds that Belesis willfully violated Sections 5(a), (c) and 17(a)(2) of the Securities Act and Section 10(b) of the Exchange Act and Rule 10b-5 thereunder. Without admitting or denying the findings in the SEC's order, Belesis agreed to the entry of a cease and desist order, to pay disgorgement of $434,628.40, prejudgment interest of $64,266.86 and a civil penalty of $434,628.40, and to an industry bar.
The SEC's investigation was conducted by Margaret D. Spillane, Nancy A. Brown, Elzbieta Wraga, and Thomas P. Smith, Jr. and was supervised by Lara S. Mehraban. The litigation will be led by Ms. Spillane and Ms. Brown.

Asanko 2q17 financials

At least they didn't use the word "challenging" in the NR.

My stars, what a mess. Let the class actions begin.

Kinross 2q17 financials

I'm reasonably impressed. A couple of charts, starting with P+L matters and it's the drop in costs that makes the difference to gross margin:


Here's one of the balance sheet charts, showing how working capital is better than a year ago, little changed from 1q17overall but the proportion of liquid cash has improved. K could go out and buy something, even while finishing Tasiast.


BV/share is now a couple of tenths under U$3.50, which puts the price/book ratio at 1.18X. Room for improvement there.

This time last year Special K was a U$5+ stock. No reason why it can't revisit that level.

8/2/17

Argentina: Cristina to clean up on August 13th

It's the primaries (called "PASO") for the Argentina mid-term senate/congress elections on August 12th and here's how the thirteen latest voter intention surveys are calling the key Buenos Aires province:


Cristina Fernández de Kirchner is predicted as winner by all surveys, the average of the lead 5.2%. Which may help to explain why the Argentine Preso (ARS) is just about the only currency in the world currently losing hand over fist against the US Dollar:




Asanko (AKG): The carnage continues

K2 was right.
Muddy Waters too.
Marin Katusa shown as the numerical dumbass that he is.

Continental Gold (CNL.to): Locals march in memory of the six murdered security guards

Thanking Paul Harris of The Colombia Gold Letter for the info and link, this report in Colombia's El Tiempo is on the memorial service and march by locals in support of the six security personnel who died at the hands of illegal miners in Buritica late last week. Here are some of the photos of the demonstration:








Rick Rule does BNN

His Top Picks here. Good call on SAND, but he's still flogging his dead horse on Alterra (sucking up to Ross Beaty...it's understandable).

Keith Neumeyer's dumbass predictions on silver, one year on

You remember August 2016 when Keith Neumeyer repeated his blithering idiocy on silver? We had "silver going back to 9 to 1 versus gold, or 15 to 1". We also has "silver going to $25/oz in 12 months" and of course...OF COURSE...all on the back of a "Buy First Mining Finance (FF.v) call which at the time was backed up by the paid pump being run by that utter scoundrel and partner in Keith's grime, the paid whore Daniel Ameduri. On that link above is IKN's lengthy answer to all this stupidity, so here we are a year long and it's time to beg the question as to how all these things have worked out Well, we know U$25/oz silver never showed up (as I write, Ag U$16.65). And we also know that...


...the gold silver ratio hasn't dropped to or even slightly towards Neumeyer's delusional ratios, in fact the gold/silver ratio has moved from 66X to 76X. And as for First Mining Finance (FF.v)...



....hmmmm, less said the better.

still no content on the blog

for secret reasons.

7/30/17

There will be no posts on this blog until Tuesday

For secret reasons.

The IKN Weekly, out now





IKN428 has just been sent to subscribers. Among other things, we take a close look at a silver company.

More on the Continental Gold (CNL.to) deaths

The incident in Buriticá this weekend that caused the death of six security guards at Continental Gold (CNL.to) is headline news in Colombia, where there's a whole bunch of reports and analyses to choose from (Spanish language link). At the present time, the theory of a criminal attack on the security guards by illegal miners is the most likely chain of events, according to both police and local authorities. 

This link has the words of the only survivor of the seven people attacked. In essence, the seven were underground dong an inspection of a mine tunnel when they were attacked. The attackers set fire to car tyres, which filled the tunnel with toxic smoke. Six of the seven turned heel and tried to exit in the direction from where they came, the seventh at the back saw the tunnel filling with smoke and chose a different route, via a side tunnel where there was less smoke. He stayed there for about five minutes, then re-traced his steps towards the exit. He saw the bodies of three of his six companions on the way out, managed to get close to the tunnel entrance, almost suffocated himself and was helped the last few metres by a rescuer.

In a separate thought, we now know that CNL's claim of illegal mining being eliminated in the zone is complete bullshit. When a mining company gets absolutist, the way we find out the lies are always difficult ways. Also, as a friend of mine said in a mail this morning regarding CNL's NR on the subject yesterday, once the facts of the matter were laid out:

"The rest of the NR is shameful promotion."

Agreed.