Good post, Richard.
Someone asked if there was any connection between MXAM and IPM.
Maybe we're seeing the next generation of IPM investors coming
forward.
Yes, there is a connection between the two.
Runyon (MXAM) met Allen Doyle (IPM) and ex-CEO Lee Furlong at a
gold show some years back. Furlong and Doyle were looking for a platinum property. Runyon sold them on taking his BRX property in Arizona.
IPM confirmed the existence of metals on the property using modern
lab methods and then drilled the heck out of the property.
They recently confirmed the existence of metals with a COC,
although it was very low compared to what we were all expecting.
No recovery process proved economical although the shareholders
were told of some of the successes. We knew nothing of the failures.
Just recently, IPM made a deal with MXAM, purchasing the remainder
of the BRX property. IPM has very little assets left.
The only thing IPM has left is an arrangement with Bateman to
find a new recovery process. If IPM can't pay Bateman and Bateman
leaves, IPM will probably be forced to strike a deal with
Runyon and MXAM to use their process.
That may be the reason why Runyon decided to begin the "recovery
for hire" plant. Obviously, he's pretty confident about the
Hewlett process.
IPM needs a couple of things now. More money, a recovery method
from Bateman, and more money.
The news from the MXAM AGM is interesting.
First, it's a true chain of custody. Second, the platinum numbers
were what we were expecting from IPM, originally.
There are metals out there in the wash basins of the Arizona
mountains. The question is which company will raise the
capital, find an economical recovery process, and survive the
political obstacles necessary to mine the stuff at a profit.
No single company will do this all alone. At some point,
a major will come in to do a joint venture or a buy-out.
To my mind, MXAM now looks like the better bet of what's out there.
They have a process (ready to go to production) they have a plan, they have money, and
they have over 70,000 acres staked and (presumably) ready to
sell to the highest bidder.
IPM has BRX, an exhaustive catalogue of drilling samples from
BRX, a contract with Bateman, and not much money.
In my humble opinion, that's where we're at now and that's
the MXAM/IPM connection as I understand it.
If I'm inaccurate or just wrong, let me know. |
