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CEO.CA members discuss high-risk penny stocks which can lose their entire value. Only risk what you can afford to lose.
@ekim$KDI Kelvin/Faraday complex now worth 1/5th of Gahcho Kue ($MPV portion) and a 1/4th of Renard $SWY and a 1/5th of ekati/diavik ($DDC portion) based on market perception. Should one follow market perception to make $$'s or fundamentals to make $$'s. That is really the hard part of investing. A lot has been made and lost in both regardless of the other. #diamonds
@JamesKwantesDon't forget about the $DDC dividend, @Wannabeinvestor. Diamonds are an inefficient market - which makes DDC a good trading stock - but longer-term DDC assets are aging. There are also new diamond mines to invest in, $SWY and $MPV. Interesting to see Rio's renewed interest #diamonds
@marketwiredNorth Arrow Closes Acquisition of Remaining Interests in Qilalugaq (Nunavut) and Pikoo (Saskatchewan) Diamond Projects @marketwired/north-arrow-closes-acquisition-of-remaining-interests$NAR$SWY The company has issued to Stornoway 2,000,000 common shares of North Arrow. Stornoway retains 0.5% and 1.0% gross overriding royalties on diamonds and 0.5% and 1.0% net smelter returns royalties on base and precious metals mined from the Qilalugaq and Pikoo Projects, respectively. North Arrow is also required to make Cdn $2.5M and Cdn $1.25M cash payments to Stornoway at the same time that first royalty payments relating to the Qilalugaq and Pikoo Projects, respectively, are payable.
@VaughanTony in maple: question on stornoway. $SWY good news is they have higher grades in the stones, but bad news is that many of the diamonds mined by stornoway would be sold into India, but with the cash crunch in the country, there is just no demand for the smaller stones. #marketcallPDAC
@JamesKwantesHope you're right @teevee, it's a focus in my portfolio and in the newsletter. Millenials and synthetics are two headwinds for the industry, but supply/demand remains very favourable. There has been so little diamond exploration in recent years and few new diamond mines coming on stream, despite two recent Canadian openings - $SWY Renard and $MPV De Beers Gahcho Kue
@ekimMining stock rallies with no news and gets halted by IIROC....Rumours flying all over the map with $DDC and $SWY and don't get halted. No point in halting something that should be halted..that would just be a waste of power. Must halt things that kill's peoples hopes and dreams.
@ekimList of synergies for a $DDC and $SWY merger? - Reduction in overhead...Stornoway has an insane executive team...like 11 VP's or such. That could cleaned up easily....maybe all the VP's want a merger to trigger a severance pay out. Renard production could piggy back onto DDC's rough diamond sale distribution. DDC's cash could pay off some of Renard's debt. The deal would definitely be one sided IMO. Just a question of whether DDC wants to navigate that swampy lake before it can firm up on a pure Renard operation...maybe buy the stream. ...and to top it all off...one big investor in $SWY is offiically in harvest mode -- "Our fund has a seven-year life. At the end of 2016 we were done with investments. We are now in harvest mode," [Orion portfolio manager Douglas] Silver said when asked why Orion was selling the portfolio. He said the sales process was launched at the beginning of January." $SWY has plenty of reasons to push a merger...many more then $DDC
@HRA-CoffinThe way $DDC is trading there will be a deal with someone. Shareholders are pricing it in. Management can act all offended but I think the large institutional shareholders will string them up if they don't to a deal now. And I agree with @ekim that $SWY doesn't look like that much of a prize to shareholders compared to a clean cash exit.
@ekimQuestion is whether Discussions between $DDC and $SWY were serious enough that they put Matt Manson at top brass and that is why Brendan Bell was shown the door at the end of January. Chicken egg theory.
@ekim@RocketRed$SWY acknowledged 30 to 40% breakage in the plant and mentioned that 10% would be a reasonable amount...over the last couple of weeks one of the non-canadian producers oversees referenced a 1% breakage from the plant. Sounds like reality versus expectations versus what it should be...are all far apart.
@JamesKwantesJust had a good chat with independent New York diamond analyst Paul Zimnisky. Anecdotal: he says his industry contacts in India love the Canadian stones, especially from Renard & the $DDC mines. Gahcho Kue, not so much $SWY$MPV#diamonds