Author Topic: ALS.TO - Altius Minerals  (Read 2069695 times)

Liberty

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Re: ALS.TO - Altius Minerals
« Reply #370 on: September 30, 2011, 09:48:40 PM »


beerbaron

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Re: ALS.TO - Altius Minerals
« Reply #371 on: October 01, 2011, 07:50:08 AM »
I'm happy to have 12% of my portfolio in Altius, I don't know much about resources so I'm glad to delegate to them. It's a nice way to put some resources exposure below book value. Love the citation below.


When we enter into a direct project-level agreement or create an indirect equity interest around a generated project we put
heavy emphasis on the structuring of royalty interests that will reward us should the project reach development and
production. We variably refer to this as our “royalty creation” or “organic royalty” portfolio. Interestingly, this route works best
in strong resource development markets so acts as a natural hedge to the royalty acquisition strategy


BeerBaron

Dazel

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Dazel

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Re: ALS.TO - Altius Minerals
« Reply #373 on: October 05, 2011, 08:59:51 AM »
After looking closer at Altius' financials it it appears they have at least trimmed Royal Gold prior to July 31st...if this is the case than they more than likely would have sold out of their position when it hit the $80's  in August. It looks like they would have left some money on the table at royal gold  but it also would have added to liquidity during the panic selling over the last couple of months...I am hopeful they (as well as Van Eden) did a lot of buying over the last month!! $200m and no debt puts them in about the best position of any company we see on a per share basis in this environment. We will likely see their merchant banking skills at work.

October will also bring color on NLRC as they had until now to look at other options for company before going back to bankruptcy court.

Dazel.

Liberty

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Re: ALS.TO - Altius Minerals
« Reply #374 on: October 05, 2011, 09:12:18 AM »
Dazel, do you have an idea of their average cost on Royal Gold?

Dazel

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Re: ALS.TO - Altius Minerals
« Reply #375 on: October 05, 2011, 02:24:33 PM »


Their real average cost 0...they have received their original cost base in cash and the gain was received in shares. Bu they had to mark to market it each quarter so the share exchange was around $40...at 80 they would have doubled their winnings so to speak as I discussed earlier but it is tough to tell what other securities they own so I ma not sure what was sold...

they will have to pay tax on the gains when they sell their Royal shares as if their cost base is 0 to answer your question.

That is why we are so excited about his downturn as we hope to have a couple of more of these big wins!

Dazel.

Liberty

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Re: ALS.TO - Altius Minerals
« Reply #376 on: October 05, 2011, 03:07:36 PM »
Cool. Except for the taxes, that's better than I expected :)

RolfGunderson

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Re: ALS.TO - Altius Minerals
« Reply #377 on: October 05, 2011, 03:24:29 PM »
Dazel, do you have an idea of their average cost on Royal Gold?

A bit more colour:

From 2010 AR (June, 2010):

"The IRC Shareholder vote was held on February 16, 2010 and the results of the shareholder vote were positive. Upon court approval
and closing the Corporation received $37,520,000 in cash and 529,297 shares in RG Exchange Co Inc representing estimated total
proceeds of approximately $63,132,000 and recorded an estimated gain of approximately $28,413,000. The RG Exchangeable shares
have all the rights of Royal Gold common shares and are convertible into Royal Gold common shares at the option of the holder."

DP

Dazel

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Re: ALS.TO - Altius Minerals
« Reply #378 on: October 06, 2011, 07:25:46 AM »
http://finance.yahoo.com/news/Alderon-Reports-Results-From-iw-2522420490.html?x=0

more good news...from Alderon corp..the stock has recovered with good reason.

Dazel

Liberty

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Re: ALS.TO - Altius Minerals
« Reply #379 on: October 06, 2011, 07:31:25 AM »
http://finance.yahoo.com/news/Alderon-Reports-Results-From-iw-2522420490.html?x=0

more good news...from Alderon corp..the stock has recovered with good reason.

Dazel

With my limited understanding of how these things work, I'm parsing this as: They're hitting about 30% grade on all their drill holes.

That seems like great news in itself, but is there something I'm missing, or is that the main takeaway here?

As usual, thanks Dazel for posting this :)