History
A Mexican exploration company that sold and lost its Picacho project, pivoted into packaging and food, then returned to Mexican gold tailings before filing duties ended in 2021.
2010-2012: Partners for Picacho and Don Roman
The company, then called Tara Minerals Corp., explored for metals in Mexico. On December 31, 2009 its principal shareholder, Tara Gold Resources Corp., converted a $1,695,000 convertible note and $55,088 of interest into 8,750,440 new shares at $0.20 each. That removed the debt and lifted Tara Gold's stake from 76% to 80%, though other shareholders were diluted.
In January 2011 its roughly 90%-owned subsidiary Adit Resources sold 500,000 units at $1.00 to Yamana Gold and signed a letter of intent letting Yamana earn up to 70% of the Picacho gold and silver project in Sonora. In August 2011 the company gave Carnegie Mining and Exploration an option to earn up to 50% of the Don Roman iron ore mine and related projects, including Tania, in return for spending commitments.
On April 4, 2012 Adit sold American Copper Mining, which held the Picacho concessions, to Yamana Mexico Holdings, with payments of millions of dollars due over time. In June 2012 the company warned that earlier 2011 quarterly accounts understated exploration expenses by $1,432,805, tied to technical data bought with shares for the Centenario, La Palma and La Verde concessions. The 2011 annual report had already corrected it.
2013-2014: Deals unwind, new funding rights
Both partnerships fell apart. On March 15, 2013 the company settled its dispute with Carnegie: Carnegie accepted it had no rights under the option and that the company owned Don Roman outright, in return for the Champinon mining rights contract and 500,000 restricted shares. On May 7, 2013 Yamana gave notice that it was terminating the Picacho purchase, so the property returned to Adit and the expected payments were never received.
In January 2014 the company agreed with Panormus Trust and Mediterranea Trust (MTI) that MTI could buy up to $2,025,000 of stock at $0.30 a share and make a targeted $4,725,000 loan for Don Roman, repaid from 49% of the project's net income. These were rights to invest, and the record does not confirm completion.
2014-2015: A turn away from mining
In May 2014 the company agreed to buy FreshTec's SmartPac produce-preservation packaging technology, unrelated to mining. It completed the purchase on June 17, 2014 and now filed as Firma Holdings Corp. Payments were due over time, including $1,000,000 for EU rights within six months and $1,000,000 for other countries within eighteen months, or those rights would be handed back. A FreshTec minority shareholder sued in Delaware, naming the company; it said the suit was without merit.
On March 30, 2015 it signed a deal to buy Sicilian Sun Limited, owner of food plants in Alcamo and Catania, Sicily, for 16,000,000 shares, up to 10,000,000 of which could be returned if targets were missed. CEO Francis Biscan owned 46% of the target. The record does not report a closing.
2016-2021: Magistral and a quiet end
The company returned to Mexican mining. In February 2016, through American Metal Mining, it bought the Magistral Del Oro gold tailings project in Durango for a nominal price, taking on about $1,440,000 of payables and cleanup obligations. It came with a 500-tonne-per-day plant and rights to about 1.2 million tonnes of tailings, holding about 79,000 ounces of gold. The record does not say whether the plant operated.
On October 21, 2016 it signed a binding agreement for MX Gold Corp. to take 50% of the project, paying $250,000 initially and $2,225,000 over 90 days, with the plant expected to run in four to six months. The record does not say whether it closed. The only later entry is from September 2021, when the company suspended its duty to file periodic reports with the SEC.
Written from the 14 story beats below (2010 to 16 Sept 2021), which come from the company's own announcements and filings.