Yellowjacket Resources (YJK-V) Change of business
www.yellowjacketresources.com
40.5 million o/s
$1.6 milion working capital
Key people:
Charles C. Downie P.Geo
President, CEO and Director
Mr. Downie has over 20 years experience in mineral exploration and mining. He is a graduate of The University of Alberta (B.Sc 1988). Mr. Downie worked for Cominco Ltd. both pre and post graduation where he was involved with grassroots exploration, property evaluation, mine development and mine production at various exploration projects throughout Western Canada including Pine Point, Polaris, Snip and Sullivan. After leaving Cominco in 1993, Mr. Downie worked as a geological consultant throughout North, Central, and South America with a wide range of projects including copper gold porphyry, shear hosted gold, sedimentary exhalitive, and Volcanogenic Massive Sulphide. Mr. Downie has been associated with Eagle Plains Resources since 1993 and brings extensive project management experience related to property evaluation. Mr. Downie is a member in good standing of the Association of Professional Engineers and Geoscientists of British Columbia and has been the Exploration Manager for Eagle Plains Resources since 1999.
Tim J. Termuende P.Geo
Chairman and Director
Mr Termuende is a professional geologist with over 25 years experience in the mineral exploration industry. He is currently the President and Chief Executive Officer of Eagle Plains Resources Ltd. Tim was one of the founders of the company, and has been actively involved since its inception in 1992. Since earning his degree in Geological Sciences at the University of British Columbia in 1987, Tim has worked on exploration projects throughout North, Central, and South America, and has inspected mineral deposits in the former Soviet Union. Tim has been continuously active in mineral exploration throughout western Canada since 1976, and currently oversees a broad range of ongoing exploration projects located throughout British Columbia and the Yukon Territory.
Yellowjacket mulls sale of Yellowjacket project
Nov 27, 2012 - News Release
Yellowjacket Resources Ltd. has elected to: i) launch a strategic review process with respect to the potential partial or whole monetization of the Yellowjacket mining property; and ii) explore business expansion opportunities in the oil and gas royalty market. The company believes that the initiatives, if successful, may help to deliver material positive growth to the company's capitalization and operations.
The company intends, as part of the strategic review process, to explore mechanisms to derive increased value from its Yellowjacket mining property. Potential avenues to be explored involve a partial or full sale of the property and/or the opportunity to generate a near-term production royalty on the fully permitted mining property through third-party-financed operations thereon. While the company is optimistic with respect to its go-forward market canvass, there can be no assurance that a transaction shall occur. Unless and until a transaction is declared, the company should continue to be viewed as the go-forward operator of the Yellowjacket mining property, inclusive of its property, plant and equipment, as well as potential production and resource expansion opportunities involving the project.
The company is also pleased to announce that it intends to conduct a go-forward search process for oil and gas royalties for the purpose of growing its business operations in a cash-flow-positive manner. The focus of these efforts will be to identify suitable energy royalty investment assets that may be capable of generating dividend yield for shareholders. The company will explore both traditional oil and gas royalty structures, such as gross overriding royalties, as well as the evolving category of oil and gas production stream royalties. Funds that may result from a potential transaction event involving the Yellowjacket mining property may be consequently deployed into oil and gas royalty assets hereafter identified by the company.
"As we have communicated in past, there is strong internal alignment to the needs and expectations of shareholders. With insider participation at close to 40 per cent of issued equity, we are mutually disappointed with the share price performance thus far in 2012, which we believe does not properly reflect the underlying value of our asset base. Equally important, we share stockholder frustration that near-term equity market valuations for non-yielding mining assets may remain tempered. We believe our go-forward efforts to unlock some of the value we see in the fully permitted Yellowjacket mining property, as well as exploring potential expansion into yield-capable oil and gas royalties, may deliver superior results going into next year. We look forward to updating our shareholders in the near future as to progress we may have in identifying value catalysts around the Yellowjacket mining property, and the potential sourcing of oil and gas royalties," stated Chuck Downie, president and chief executive officer of the company.
The company believes that its current cash/cash equivalents, along with marketable securities holdings, which are cumulatively in excess of $1.6-million (as at Sept. 30, 2012), are adequate from a working capital standpoint to advance its expansion plans to locate producing or near-production oil and gas royalty assets. The company continues to have no long-term debt obligations or other commitments for capital expenditures.
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