Monday, March 25, 2013

The Mayor's catching up on the good news

In the Mayor's last newsletter he stated that the mine may be actually starting sooner than he previously anticipated. My first impression of that was good news especially when you see next door in the Elk Valley that the Bingay mine is now in it's eighth year (That's right 8 years) and they have still not started. So I have spent the last week searching the internet and trying to determine where the Mayor's optimistic out look is coming from.
Lo and behold the Mayor stated on his 15 minutes with Randy show this morning that Riversdale is doing a share offering in the next couple of months. Which means they will have money to begin construction. 
My heart skipped a beat that's nothing new back on Jan 29th Riversdale announced this share offering that will be taking place in June.  You can read it at the following address: http://crowsnestpasshome.blogspot.ca/2013/01/riversdale-resources-finding-money.html 

Now looking at the article you can clearly see that they are raising $63.4 million, the companies doing the share offering will take 5% which drops that number down to $60 million then they are paying $47 million for the land in the Pass which will leave a whooping $13 million which in today's mining world does not mean a whole lot they will need that money just to keep doing what they are doing as far as preparing for the regulatory process, and don't forget they are also working on their property in Alaska. So I would expect that the $13 million left over will get gobbled up very fast.

Sounds like a politician trying to put a new spin on old news. 

11 comments:

Anonymous said...

Reading Pass Promoter last week we can see our administration is working with the Edmonton PR consultant to get the best impact from any of media opportunity. The Mayor talked about open house clusters, which were recommended be the PR consultant. Now it appears like the clusters are growing to exaggerate input into other activities. It started with the Mayor going on the record that Riversdale already bought a house in the Crowsnest Pass - the unnecessary exaggerations are still part of the PR inspired "clusters." Very little new economic activity - but a lot of new policy activity. Now we have PR driven activity.

Anonymous said...

Boy this guy is spinning everything now. He must desperately want to get re-elected. Don't get me wrong it's good to see the River Run building getting fixed up. But those are not new businesses coming in they are just businesses relocating from main street. We are not adding just re locating we fill the River Run building but empty another.

Anonymous said...

Desparation is all it is. He is desparate for good news.That mine is probably at least 10 years away.It is just like the hotel deal, they were so desperate for good news they made the announcement almost 2 months ago.Here we are waiting to be told which hotel is going to be on that property. They should have waited until they actually had a deal.Not a deal that was contingent on other thing happening(financing, Hotel company).And I suspect that at the end of next month that they will kick the can down the road and give Medican an extention.I sure hope people are not buying into this BS, if they are they are being led down the garden path.

Anonymous said...

I guess he is saving the Quebec Manufacturer for a little closer to the election. Wait until the momentum is in full swing.

Anonymous said...

I think he is just so full of hot air, he has to let a little out now and then, so that he doesn't explode!

Anonymous said...

THE WALL STREET JOURNAL
• January 11, 2013, 4:20 PM
Riversdale Speeds up Australia IPO Plan after Canada Coal Buy
http://blogs.wsj.com/dealjournalaustralia/2013/01/11/riversdale-speeds-up-australia-ipo-plan-after-canada-coal-buy/

Riversdale announced that it is speeding up its IPO offering as early as January 11, because they need money to close on the deal in June and start their feasibility study to build a mine at Grassy Mountain. The initial public offering is not to build a mine, but to pay for the land and to study and prepare a plan to build a mine, if the resource and the market warrant building a mine.
They don’t have anyone on the ground in the Crowsnest Pass at this time. It will be nice when they close on the deal and start doing the survey of the asset and begin the regulatory work.
The company has always been up front with their projected time tables, it is unfortunate that our Mayor appears to continue to unnecessarily embarrass the company with rush statements which cannot be substantiated. The PR consultant appears to be driving this bus. This is not helpful to Riversdale.

Anonymous said...

Anon 10:36 wrote:
"And I suspect that at the end of next month that they will kick the can down the road and give Medican an extention."

The deal is still conditional, but Medican is already saying (Feb 8) "Work on the 50- to 75-room facility should start later this year, an official says."
http://www.lethbridgeherald.com/front-page-news/upscale-hotel-for-the-pass-2813.html

Anonymous said...

12:50

I read that article, in typical fashion the cart was put before the horse. I also went to the open house where the Medican guy held up that big fancy conceptual drawing with the hotel, BP's and MacDonald,s then he went on to say. "the businesses shown here may well, and probably won't be the businesses that end up on this site"

Once upon a time in a land far, far away.........

Anonymous said...

Do you think the Mayor was talking about Coalspur they are advertising for construction type people


Jack

Anonymous said...

Anon 10:55 The Quebec manufacturuer is an ISF plant.Styrofoam blocks.Considering their are about 50 differant companies that make this product in North America that have all figured out how to cool that water and the excuse that this is what is holding this company back makes me wonder once again if we have been led down the garden path.

Anonymous said...

The Quebec manufacturer is still part of the PR media cluster.