Sufiy's  Instablog

Note: we are not sure that this particular Judge will be involved in this court hearing.

Disclaimer (loosely based on investment bankers' small print): please read our full disclaimer, nothing on this website or any links provided should be relied upon in any way and nobody will accept any responsibility in any case.

Maybe this is where the real problem is - Chief Owner, finally, shares with Other Owners the information and it is too much to handle for them at once? Los Azules litigation case went through an interesting transformation this year - from being the "lawsuit without merit" to the McEwen Maps outlining the High Grade Core of Los Azules being located on former TNR Gold properties, which junior is claiming to be returned back.

Los Azules resource will, hopefully, grow further - latest estimate for 12.5 lb of Copper in all categories was done in 2010.

McEwen Mining reports:

"In the near term, we will be delivering new resource estimates for Los Azules and El Gallo by the end of June. "

Now we have more information on Los Azules valuation from McEwen Mining AGM, which was held in Toronto yesterday.

McEwen Mining AGM presentation.

Los Azules is presented from page 22.

Los Azules vs Undeveloped Copper Deposits:

Grade - 2nd

Annual Production - 5th

Mine Life - 6th

Resource Size - 7th

Page 24 present the map of Los Azules with clear indication of TNR Gold contested property, where the majority of high grade core with Cut off grade 0.7% is located.

Page 27. Los Azules - Comparable Copper Projects Sold - Average Value/lb CuEq - $0.05

This indication will put Los Azules valuation with 12.5 b lb of Cu Eq to $625 million.

"Now we have some valuations for Los Azules from McEwen Mining to digest - we think, that suggested USD 300 million will be the lowest valuation now, provided in order not to increase TNR Gold appetite.

"However, he cited other recent sales of copper porphyry assets similar to Los Azules that were completed for USD 5 cents per pound." - This benchmark will put valuation for Los Azules at USD 625 million."

Merger market:

McEwen Mining considers divestiture, JV of Los Azules, executive says by Matt Whittaker in New York
May 15, 2012

McEwen Mining (TSX: MUX, NYSE: MUX) plans to divest or joint-venture its Argentinean copper asset once ownership of the disputed project is resolved next year, said senior vice president Ian Ball on the sidelines of the New York Hard Assets Investment Conference this week.

The Toronto-based company is currently involved in litigation with TNR Gold (CVE:TNR), a Vancouver-based junior miner that is challenging title to the northern half of Los Azules. TNR is seeking, among other things, recognition of a right to a 25% interest in the property.

Separately, the roughly CAD 10m market capitalized TNR has said it has received an unsolicited merger proposal from a third party.

A trial in British Columbia regarding the Los Azules property is set to commence in November and is expected to last for approximately six weeks. McEwen is confident in a ruling that will allow the company to keep all of the property, said Ball.

The executive previously told attendees that McEwen will not build the mine itself given the steep capital costs of developing the property. On Tuesday, Ball noted that McEwen would seek either a joint venture with an up- front cash portion or an outright sale of the asset after the legal proceedings are completed. Capital costs are estimated to be USD 3.7bn over the life of the mine, with an accuracy target of plus or minus 35%, according to company documents.

When asked what Los Azules could fetch in a sale, Ball said it could be roughly a USD 300m divestiture, using conservative assumptions of USD 2 cents per pound of copper. However, he cited other recent sales of copper porphyry assets similar to Los Azules that were completed for USD 5 cents per pound.

McEwen lists the carrying value of the Los Azules project of roughly USD 486m. The property has a mineral resource of 10.3bn pounds of inferred copper and 2.2bn pounds of indicated copper.

Assuming the court case is resolved in the 1Q13, McEwen will explore options for either a joint venture or a sale in 2Q13 for the project, Ball noted. If the company decides on a sale, it will run an auction process for Los Azules, he said, adding that the company has not yet retained an advisor.

McEwen Mining was formed through the merger of Minera Andes and US Gold. The USD 646m transaction was completed in January.

In a February interview, McEwen CEO, Rob McEwen, told this news service that the company was considering a joint venture partner, among other options, for Los Azules. Companies with an interest in copper mining could be potential partners, he noted. The CEO said a data room had been set up but had not been opened and confidentiality agreements had not been signed. He noted the company was "still exploring" its options."

(click to enlarge)

TNR Gold Corp. Presentation.

(click to enlarge)

Reuters:

Fri May 11, 2012 8:25pm EDT

TNR Gold Vs. McEwen Mining:

Los Azules

"World's Sixth Largest Undeveloped Copper Deposit"

Thursday, May 10,2012

Note: we are not sure that this particular Judge will be involved in this court hearing.

Disclaimer (loosely based on investment bankers' small print): please read our full disclaimer, nothing on this website or any links provided should be relied upon in any way and nobody will accept any responsibility in any case.

We are very pleased to see this development: acknowledgement of the ongoing litigation, its risks, property involved and proper representation of all necessary information for the shareholders. Annual General Meeting to be held by McEwen Mining on Thursday May 17, 2012 at 4:00 will provide a good opportunity to ask all questions about this developing story with "World's Sixth Largest Undeveloped Copper Deposit" - as Rob McEwen has called it.

McEwen Mining reports:

"A total of 2,835 meters were drilled this season in eight holes. A drill hole location map, a table of assay results and a cross section of the Los Azules resource are provided in Exhibits 1, 2 and 3. All of the drill holes from this season were completed on mineral claims that are not subject to ongoing litigation."

MCEWEN MINING EXPANSION DRILLING INTERSECTS 0.53% COPPER OVER 351 METERS AT THE LOS AZULES PROJECT

Page 5 provides, finally, McEwen Mining map outlining High Grade Core Copper Zone on TNR Gold's former properties called "100% Held mineral rights (subject to litigation) and surface ownership".

TNR Gold's Gary Schellenberg Discusses Gold Mining in Alaska and Los Azules Copper Project on Midas Letter Money TNR.v

Public Court Documents on Los Azules litigation

Update February 12th, 2012. CNNMoney:

We guess, that at some stage Mr Allen Ambrose - former CEO of Minera Andes, will be questioned during the Los Azules litigation on what exactly were his intentions explained in his emails presented by TNR Gold litigation counsel in Amended Claim.

Allen Ambrose emails:

24. "Next we should look at our alternatives to take out the Solitario (TNR Gold - S) agreement..."TNR Gold vs Minera Andes (McEwen Mining now) and MIM (Xstrata now). From Page 11 Part 3: Legal Basis http://bit.ly/xhdqag

Mcewen Mining: SEC filing: ITEM 1A. Risk Factors

"The Los Azules copper project is subject to ongoing legal proceedings with the potential that we may lose all or part of our interest in the project.

TNR Gold presentation with Maps of Los Azules.

Please, do not forget, that we own stocks we are writing about and have position in these companies. We are not providing any investment advise on this blog and there is no solicitation to buy or sell any particular company here. Always consult with your qualified financial adviser before making any investment decisions.

Note: we are not sure that this particular Judge will be involved in this court hearing.

Disclaimer (loosely based on investment bankers' small print): please read our full disclaimer, nothing on this website or any links provided should be relied upon in any way and nobody will accept any responsibility in any case.

Now we have more information on Los Azules valuation from McEwen Mining AGM, which was held in Toronto yesterday.

McEwen Mining AGM presentation.

Los Azules is presented from page 22.

Los Azules vs Undeveloped Copper Deposits:

Grade - 2nd

Annual Production - 5th

Mine Life - 6th

Resource Size - 7th

Page 24 present the map of Los Azules with clear indication of TNR Gold contested property, where the majority of high grade core with Cut off grade 0.7% is located.

Page 27. Los Azules - Comparable Copper Projects Sold - Average Value/lb CuEq - $0.05

This indication will put Los Azules valuation with 12.5 b lb of Cu Eq to $625 million.

"Now we have some valuations for Los Azules from McEwen Mining to digest - we think, that suggested USD 300 million will be the lowest valuation now, provided in order not to increase TNR Gold appetite.

"However, he cited other recent sales of copper porphyry assets similar to Los Azules that were completed for USD 5 cents per pound." - This benchmark will put valuation for Los Azules at USD 625 million."

Merger market:

McEwen Mining considers divestiture, JV of Los Azules, executive says by Matt Whittaker in New York
May 15, 2012

McEwen Mining (TSX: MUX, NYSE: MUX) plans to divest or joint-venture its Argentinean copper asset once ownership of the disputed project is resolved next year, said senior vice president Ian Ball on the sidelines of the New York Hard Assets Investment Conference this week.

The Toronto-based company is currently involved in litigation with TNR Gold (CVE:TNR), a Vancouver-based junior miner that is challenging title to the northern half of Los Azules. TNR is seeking, among other things, recognition of a right to a 25% interest in the property.

Separately, the roughly CAD 10m market capitalized TNR has said it has received an unsolicited merger proposal from a third party.

A trial in British Columbia regarding the Los Azules property is set to commence in November and is expected to last for approximately six weeks. McEwen is confident in a ruling that will allow the company to keep all of the property, said Ball.

The executive previously told attendees that McEwen will not build the mine itself given the steep capital costs of developing the property. On Tuesday, Ball noted that McEwen would seek either a joint venture with an up- front cash portion or an outright sale of the asset after the legal proceedings are completed. Capital costs are estimated to be USD 3.7bn over the life of the mine, with an accuracy target of plus or minus 35%, according to company documents.

When asked what Los Azules could fetch in a sale, Ball said it could be roughly a USD 300m divestiture, using conservative assumptions of USD 2 cents per pound of copper. However, he cited other recent sales of copper porphyry assets similar to Los Azules that were completed for USD 5 cents per pound.

McEwen lists the carrying value of the Los Azules project of roughly USD 486m. The property has a mineral resource of 10.3bn pounds of inferred copper and 2.2bn pounds of indicated copper.

Assuming the court case is resolved in the 1Q13, McEwen will explore options for either a joint venture or a sale in 2Q13 for the project, Ball noted. If the company decides on a sale, it will run an auction process for Los Azules, he said, adding that the company has not yet retained an advisor.

McEwen Mining was formed through the merger of Minera Andes and US Gold. The USD 646m transaction was completed in January.

In a February interview, McEwen CEO, Rob McEwen, told this news service that the company was considering a joint venture partner, among other options, for Los Azules. Companies with an interest in copper mining could be potential partners, he noted. The CEO said a data room had been set up but had not been opened and confidentiality agreements had not been signed. He noted the company was "still exploring" its options."

(click to enlarge)

TNR Gold Corp. Presentation.

(click to enlarge)

Reuters:

Fri May 11, 2012 8:25pm EDT

TNR Gold Vs. McEwen Mining:

Los Azules

"World's Sixth Largest Undeveloped Copper Deposit"

Thursday, May 10,2012

Note: we are not sure that this particular Judge will be involved in this court hearing.

Disclaimer (loosely based on investment bankers' small print): please read our full disclaimer, nothing on this website or any links provided should be relied upon in any way and nobody will accept any responsibility in any case.

We are very pleased to see this development: acknowledgement of the ongoing litigation, its risks, property involved and proper representation of all necessary information for the shareholders. Annual General Meeting to be held by McEwen Mining on Thursday May 17, 2012 at 4:00 will provide a good opportunity to ask all questions about this developing story with "World's Sixth Largest Undeveloped Copper Deposit" - as Rob McEwen has called it.

McEwen Mining reports:

"A total of 2,835 meters were drilled this season in eight holes. A drill hole location map, a table of assay results and a cross section of the Los Azules resource are provided in Exhibits 1, 2 and 3. All of the drill holes from this season were completed on mineral claims that are not subject to ongoing litigation."

MCEWEN MINING EXPANSION DRILLING INTERSECTS 0.53% COPPER OVER 351 METERS AT THE LOS AZULES PROJECT

Page 5 provides, finally, McEwen Mining map outlining High Grade Core Copper Zone on TNR Gold's former properties called "100% Held mineral rights (subject to litigation) and surface ownership".

TNR Gold's Gary Schellenberg Discusses Gold Mining in Alaska and Los Azules Copper Project on Midas Letter Money TNR.v

Public Court Documents on Los Azules litigation

Update February 12th, 2012. CNNMoney:

We guess, that at some stage Mr Allen Ambrose - former CEO of Minera Andes, will be questioned during the Los Azules litigation on what exactly were his intentions explained in his emails presented by TNR Gold litigation counsel in Amended Claim.

Allen Ambrose emails:

24. "Next we should look at our alternatives to take out the Solitario (TNR Gold - S) agreement..."TNR Gold vs Minera Andes (McEwen Mining now) and MIM (Xstrata now). From Page 11 Part 3: Legal Basis http://bit.ly/xhdqag

Mcewen Mining: SEC filing: ITEM 1A. Risk Factors

"The Los Azules copper project is subject to ongoing legal proceedings with the potential that we may lose all or part of our interest in the project.

TNR Gold presentation with Maps of Los Azules.

Please, do not forget, that we own stocks we are writing about and have position in these companies. We are not providing any investment advise on this blog and there is no solicitation to buy or sell any particular company here. Always consult with your qualified financial adviser before making any investment decisions.

Will you buy an Electric iCar?

Watch video: http://sufiy.blogspot.co.uk/2012/05/lithium-drive-steve-jobs-apple-icar.html#

After all, our Call to Steve Jobs to make an Electric iCar was not that crazy?

(click to enlarge)

"With IPO of Facebook in the headlines and Apple testing the limits of the market appetite for its valuation, we need to put a few things into perspective. We love all Apple Products, recognise the Facebook phenomenon and think that these companies do have resources to really change our world one more time and save us all - literally this time. We will throw Google into the mix as well. These three companies are all experiencing unprecedented growth, market valuations and are literally sitting on piles of cash. They have built teams of the best engineers in the world which are able to solve very fast the most difficult technical problems in the most efficient way. They know how to engage people and communicate very efficiently new ideas.

They will be all much better of to put all these resources to work and to do it fast - economy will not survive another Oil Shock, which is approaching very fast now. Oil Shock means not only higher Gas prices, but destruction of our societies as it will affect everyone and everything: Food production, Supply Chains, Security and Economy as a whole."

By Alborz Fallah | May 18th, 2012

According to a long-time member of Apple's board of directors, the former CEO and founder of Apple, Steve Jobs, was very interested in designing a car towards the end of his life.

Speaking to Business Insider this week, Mickey Drexler, the CEO of J.Crew and a member of Apple's board, said "Look at the car industry; it's a tragedy in America. Who is designing the cars? Steve's dream before he died was to design an iCar."

Although Apple has been rather successful in the technology sector, it would certainly be a challenge to break into the automotive field. No doubt the "iCar" would be designed by Apple in California and built in China, like the rest of the "i" range.

Mr Drexler goes on to claim that if Steve Jobs had designed an iCar, it would have likely taken 50 per cent of the market. A rather bold claim given no one particular vehicle currently comes close to that figure. Nonetheless, it's fair to point out that before the iPod existed, no music player ever came close to that figure either.

Apple, the world's second most valuable company, is unlikely to build its own cars any time soon, however it's increasingly likely to cooperate with automotive manufacturers to further integrate its range of "i" products. We find it a challenge to get behind the wheel of a modern vehicle and not see an iPod connector, now that it has become the industry standard music interface.

Nonetheless, the integration goes much deeper than just a connector. For example, the new Mercedes-Benz A-Class integrates the iPhone's operating system (iOS) to the extent where Siri, the personal voice assistant, can be used via the COMAND infotainment system.
Could Steve Jobs really have designed a market-dominating iCar? What other non-automotive company would you like to see design a car?"

Our Hero is gone and we are paying our respect to him for everything what Steve Jobs has done for us. He will live in so many real and virtual "things" we "touch" every day in our life now, he has changed the world and made the very high bar to reach for any human. He has connected us to the WEB on the go. We can access, connect, store and use the Information on the move in Style thanks to him and Enjoy every moment of famous "Apple's customer experience". We need it so much for our Next Big thing - Electric Cars dreamz now...We will deeply miss him.

We were always hoping that he will make his entrance into the Electric Cars space - he was always up to the magnitude of this task - to change the world one more time.

He did not have a lot of time left to do it. Who will take his place now in our Lithium Dreamz? Elon Musk and his Tesla has a very good chance to make it. Or maybe it will be Google guys with their billions of cash and drive to change the world? Or maybe Apple with Steve Jobs' legacy can still make it? Will it be Facebook or Twitter who will connect us again in physical space and make our freedom possible in the post carbon world?

We need the Manhattan project for the Electric Cars in our broken society and we need it right now - who can lead the world into the future?

Electric Cars industry gives Trillion market place business opportunity to fill. And we will throw again as with Apple iCar - Why Not?

"Lithium Charge: Secretary Chu Announces New Funding and Partnership with Google to Promote Electric Vehicles. The Electric Cars investment space is getting hotter and big names are beginning to eagerly to pile in. The 5 million investment into the charging infrastructure from U.S. Department Of Energy could sound like a joke compare to China investing billions in Electric Cars or personal investments of some entrepreneurs in Lithium space, but it is one step at a time and names in this initiatives are more important than this amount.
Once the guys from Google, Facebook and Twitter will move into Green Revolution our Lithium story will take off into parabolic rise - they have knowledge, technology and understanding that Electric Cars are the way forward. They will need to drive their kids to the soccer games after all, even after Peak Oil which is happening now. We do not know which one of them will make the next Coca Cola in Electric Cars space, but we will be ready with our Sugar business - Lithium will be needed for all of them."

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Our Lithium Dreamz are already enjoying the favor from Apple and Steve Jobs himself - all world is now going mobile with iPhones, iPads and iPods. If only we can get Steve Jobs into our Electric space and build an Electric iCar for us! It would become fashionable in the matter of days and consumers will be happy to pay premium as with all products from Apple - just to differentiate themselves in the social space. Ultimate consumer experience will help as well!

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We will repost our article on the Apple iCar - in our publishing space you never know when Buffet will call or Steve Job will actually decide to save us all from post Peak Oil misery and Depression.

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Google is already investing in Electric Cars and technology surrounding this new industry, maybe Apple will make its move one day as well and not just in Apps? These beautiful images above are from Italian industrial designer Franco Grassi. We will put the most powerful business argument here - WHY NOT?

Apple Has Toppled Google As World's Most Valuable Brand.

August 24th, 2010

Will you buy an Electric Car?

CS. Desperate times need desperate measures. After today's horrific existing home sales numbers and Charles Nenner's call for Dow at 5000, we cannot simply stand by. Our cash alone will not support the markets for the long time and even our ideas about saving the world can fade away in kerosene light of the writers crying about polluting electric cars and that "nobody will buy them anyway."

Obama calls for action, but the financial situation of the state is a hair breadth's away from desperate. The middle-class, the backbone of our society, barely survives during this recession. FED will not be able to hold the economy for long, with oil above 150 USD/barrel: Twitter, Google and iPhone with iPad are only very nice after a good breakfast and when you can look forward to lunch. Will we have to roll back into our cave of Gold and Silver?

There is only one way to bring Electric Cars in a mass market fashion, beat the Deflation scare and start a new industrial revolution in U.S.: we still have a chance to stay at least on par with China, by making the Electric Car cool. Time for a letter to Steve Jobs.

There are a lot of predictions about how many people will consider buying an Electric Car. As we have mentioned numerous times, nobody knows for sure about the future for our Next Big Thing, but we think that we know the answer to how to make the adoption rate for Electric Cars much closer to the one of mobile phones or iPads, rather than the one of washing machines. All we need to do is ask Mr. Jobs to make an Electric iCar.

"The car is the second largest purchase after the house for the middle-class. It is never really an investment in contrast to the house (according to the logic before the Crash - a house was an investment). Electric cars allow to sell the second biggest item in the household "second time". Family gets an instant cash flow adjustment with electric cars economics: 2.5 cent cost per mile against 12 cents in conventional vehicle (CV). The government gets the opportunity to send money to consumers to fight the Deflation Death Spiral and take it away into the value food chain, hopefully belonging to the domestic production cycle.
The way of doing it - stimulus for production in order to bring prices down, like today, and direct Tax Rebates on purchases of EVs - which are already in place. With the GM Volt battery strategy, the price for EVs will quickly reach the same level as for a CV, and in this situation the Electric Car could become an investment in the household balance sheet as it will be producing "an alternative income" relative to cost of ownership of CV. Here is our "adjusted" cash flow. Third, why do we think it could happen at all? About it Obama, here."

Apple, with its unique proposition of lifestyle social-status marketing products, with almost perfect utility function, has the ability to dramatically change the way how we consume mobility. It is time for a real change and we all have an opportunity to capitalise on this dramatic technological shift. We are inviting Steve Jobs to the Green Mobility Revolution, transformation technology and disruption in the huge market place.

The ideal market situation for the new disruptive technology to create a lifetime investing opportunity is when the Demand for product or service is already there and you are able to deliver it in a new way, which will be more appealing to Existing consumers of this product or service. You have a dramatic shift in consumer preference and you are gaining a market share in a tidal wave fashion by shifting consumers from existing providers to the new product or service place. You do not have to teach the market and prove that they need this product - you just need to prove that the new technology you are putting in place is viable to deliver the Better Experience.

We have always loved our music. Sony made a Revolution in the way we consumed music with its Walkman - we were able to take our music with us as we went. CDs made the quality of music more appealing and record companies sold us our music one more time.

Steve Jobs made another Revolution by providing the means to consume what we exactly want with iTunes and means to Store and Retrieve All Our Music as we go - in iPod. He sold us the music we already had and we were happy to buy it. He brought us a new Experience of how we consume the same music: it is convenient, easy, searchable, high quality and with us - all of it. We have moved in droves to the new source of joy.

Apple has managed an even more difficult trick with mobile phone: the iPhone has stormed the market without a single unique function not available on the market at that time. The key is the ultimate design and functionality which became the marketing product indicating your social status. And our music is again with us here. Only those who remember the Palm can understand our joy here. Will our children be taking Electric Cars for granted as well one day?

For the first time we have all we need under our fingertips with the iPad. It already changed the way we consume newspapers, books, magazines and access the web. Applications are providing a relatively cheap, focused software for the individual's particular need. We must admit that we still have to buy an App - so far everything we use is free. Will it make Windows obsolete one day?

With Electric Cars, all market estimations that we saw so far (apart from the quote from Warren Buffett) looks like a drop in the bucket at a time. Will it be 2%, 5% or 10% claimed by Nissan in 2020? It's not a Revolution - it is like a tea party. We dare to differ and think that Electric Cars will provide to us a new Experience how we consume Mobility: energy efficient, environment friendly and cheaper with all cost accounted. And yes - they will sell us our cars one more time, this time in an Electric version.

Is it bad? No, not at all if you will be investing in Electric Cars value chain. Even if you not, we will all gain from it more than from iPods - after all we have never heard about somebody being killed by CD, but those who still do not believe that cars pollute and kill our environment - therefore us - can try to breathe from an exhaust pipe for a while to be sure.

We expect consumers to shift - on a mass scale - from CVs to EVs, with proof that technology is viable and can provide the same utility but with a Better Experience. The Emotional Drive will be the driving force of this switch of consumer preferences.

And here is where the almighty Steve Jobs and Apple can drive our hearts to open our wallets even during the recessions. Everything is already produced by OEMs anyway: we need Apple just to make it cool to drive an iCar, to make the iCar design and its functionality with Steve Job's signature attention to the detail. All particular auto functionality could be outsourced inside US: batteries, software, power train and auto safety. Something like J/V with established automaker will do the trick in order to achieve mass production. We think that automakers will be standing in line just to be involved.

Is this just confined to our dreams? We're not so sure: we have already found a few rumours about an iCar and even this picture below. We will appreciate if somebody can drop a line with any information on the iCar, its potential design or Steve Jobs' mobile number or email.

From our followers on Twitter:

Could an Apple iCar be down the road?

Maybe EV iCar is already in the making and our idea about Electric Car from Apple it is not so stretched after all?

Should Apple Get Into the Car Business?

Volkswagen and Apple discuss possible "iCar" project