Although it is still very early, I am expecting that Titan Mining Corp will be a rollercoaster ride until the end, just like Augusta Resource Corp ('AZC') and Arizona Mining ('AZ') were. AZC and AZ were both previous AugustaGroup deals. Does anyone remember the speed bumps that came along with those deals?
For AZC, there was an ocelot spotted on the Rosemont property in 2014 which almost tanked the deal entirely and caused a huge delay in the permitting process. AugustaGroup managed to solve the problem, of course, and ended up selling the project for $666 million shortly after.
Then with Arizona Mining there was a series of short reports that came out from some folks who call themselves "newsletter writers" regarding issues with metallurgy and the concentrates being tainted. The stock dropped like a rock. It fell from around $3.40 to $1.20. Then, AugustaGroup came out with a rebuttal, then various different insiders bought stock on the open market to show their confidence and support, after which AZ ended up getting bought for $6.20 per share.
I would highly suggest reading up on the history of both of these deals to see how quickly the AugustaGroup of Companies managed to take these assets from discovery to buyout and also how well they handled the adversity that came their way.
Now back to Titan...
Another point about Titan that we wanted to bring up is the fact that John Boehner sits on the board of directors. John Boehner is the former Speaker of the United States House of Representatives. AugustaGroup brought him onto the team at Arizona Mining to help with permitting and government relations. Clearly, the guy is very influential in the political world which will bode well for the company moving forward if any issues arise.
We also want to remind folks that there was a $7 million financing last October at $0.35 of which almost all of it was taken by insiders and strategic shareholders including Ross Beaty, one of the most successful precious metals investors of our time.
We have been buying Titan Mining stock for the last few days and will continue to add more to our position in the coming weeks.
For now, Titan Mining is still in control of their producing zinc asset. We will be watching very closely to see if they decide to spin-out the asset or divest it to become a gold-focused junior, or if they plan to keep it under the Titan umbrella.
An investment into an AugustaGroup deal usually comes with a rocky road and a photo finish. Hold onto your hats!
-SmallCapInvestor
LINKS:
Permitting Delayed at Rosemont due to Ocelot Sighting:
IKN article about "tainted" concentrates at Hermosa Taylor: https://incakolanews.blogspot.com/2017/04/arizona-mining-azto-so-much-for-clean.html?m=1
News Release on Latest Financing:
DISCLOSURE: Author owns shares of Titan Mining Corporation and may choose to buy or sell at any time without notice. Author did not receive any compensation for publishing this article.
DISCLAIMER: The work included in this article is based on current events, technical charts, company news releases, and the author’s opinions. It may contain errors, and you shouldn’t make any investment decision based solely on what you read here. This publication contains forward-looking statements, including but not limited to comments regarding predictions and projections. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. This publication is provided for informational and entertainment purposes only and is not a recommendation to buy or sell any security. Always thoroughly do your own due diligence and talk to a licensed investment adviser prior to making any investment decisions. Junior resource companies can easily lose 100% of their value so read company profiles on www.SEDAR.com for important risk disclosures. It’s your money and your responsibility.