Each one in plain English, with the numbers worked through for a shareholder.
6 July 2011auditor change▼ BadMajor
Effective June 30, 2011 the company hired Malone Bailey LLP of Houston to audit its fiscal year ended December 31, 2010 and review interim quarters while it works to bring its SEC filings current. The prior auditor, Behler Mick PS, had resigned effective April 14, 2011; its reports for 2008 and 2009 each carried a going-concern uncertainty paragraph, and the company reports no disagreements with it. The filing implies the company's SEC filings were behind (the company says it is bringing them current).
On December 17, 2009 the board extended the maturity of the June 2009 Hunt Family LP loan from December 31, 2009 to December 31, 2010, and raised the maximum amount available from $5,000,000 to $5,500,000. This continues reliance on Hunt-family funding and settles the open question of what happens at the original maturity: the note was extended, not repaid or (per this filing) converted.
7 Jan 2010asset acquisition disposition● NeutralMajor
The Toronto-listed TSX Venture Exchange gave final approval on December 31, 2009 to Sinomar Capital Corp.'s reverse takeover of Cerro Cazador S.A., the Argentine subsidiary holding La Josefina. This resolves the pending deal conditionally approved on December 7; the filing says HuntMountain is to own over 80% of Sinomar's common shares, and that CCSA stays in its consolidated accounts and no pro forma statements are needed. The filing does not give a closing date or say whether the Sinomar share issuance has been completed.
On December 10, 2009 the company transferred 75% of its economic interest in the Dun Glen project in Nevada to Blackhawk Exploration. It receives $50,000 on signing, $25,000 on or before each of December 10, 2010 and 2011, and 250,000 Blackhawk shares on signing plus 100,000 more by December 10, 2010. Blackhawk must spend at least $700,000 on the property by December 10, 2013 to earn the 75%, and revenue from tailings, dumps or stockpiles splits 75% Blackhawk, 25% HuntMountain.
On December 7, 2009 Sinomar Capital Corp. announced the TSX Venture Exchange had given conditional approval to its reverse takeover of Cerro Cazador S.A., the company's Argentine subsidiary that holds La Josefina. The deal was first announced June 24, 2009 and is to be paid in Sinomar shares with a combined deemed value of C$15 million, leaving HuntMountain with over 80% of Sinomar's common shares; closing is expected around December 22, 2009. As a condition, HuntMountain must pay the subsidiary's remaining drilling-contractor payables of about 5,523,155 Argentine pesos (about $1,450,000), counted as an equity investment in the subsidiary.
As of June 2, 2009 the company obtained an unsecured loan of up to $5,000,000 from the Hunt Family LP at 11% interest, maturing December 31, 2009, convertible at $0.10 per unit (one share plus one $0.10 warrant with a seven-year life). It replaces the shareholder loan owed to the partnership, which stood at $3,198,510 on March 31, 2009. As consideration, 46,401,248 existing warrants held by the partnership were cancelled and reissued at $0.10 expiring April 22, 2016, and the partnership received a 3% net smelter royalty on all the company's Mexican resource properties. This continues reliance on Hunt-family funding; a $0.10 conversion price is well below the $0.43 used earlier, so conversion would likely dilute other holders (inference).
Filed Nov 14, 2008, this 8-K covers two items. An October 20 release reports Veta Sur drill results at La Josefina, including 0.8 m of 3,540 g/t silver and 1.4 m of 5.5% copper; it also states the company has a partnership with provincial miner Fomicruz S.E. to earn a 91% interest on a positive feasibility study. On November 3, 2008 the company acquired the El Milagro mining concession (about 100 hectares) in Chihuahua, Mexico, within its El Capitan project; the former owners keep net profits royalties of 1% and 1.5%. This gives the earlier-mentioned Chihuahua project its first stated terms.
An August 26, 2008 press release reports further La Josefina results, led by 2.05 m of 26.42 g/t gold equivalent (with 2.01% copper) in hole SVN-D08-057. The company says 25,000 meters have been drilled since November 2007 and assays are pending from nearly half the holes drilled.
An August 19, 2008 press release gives more La Josefina drill results from the Veta Norte and Veta Amanda veins, including 5.85 m of 6.28 g/t gold equivalent in hole SVN-D08-117 and 0.48 m of 31.63 g/t gold equivalent in SVN-D08-082. The company's General Manager says it will begin calculating a resource for La Josefina this fall, a stated plan consistent with the end-2008 target.
On August 12, 2008 the CFO concluded that the quarterly reports for March 31, June 30 and September 30, 2007 should no longer be relied on, because of errors in accounting for the beneficial conversion feature of convertible notes. Management is preparing restated filings; no restated figures are given. Williams & Webster, the current auditor, was not the auditor when those reports were filed.
31 July 2008capital raising announcement● NeutralMajor
On July 30-31, 2008 the Hunt Family LP and two limited partners converted $5,000,000 of principal on the convertible note, the company drew a further $500,000 on an extension of the note, and the partnership then converted $598,548 of principal and interest. This discharges the note completely, and 20,394,192 units of common stock were issued on the terms from the November 13, 2007 8-K. This continues the pattern of Hunt-family funding converting to equity, following the April 2008 conversion; the new shares dilute other holders (inference).
A July 16, 2008 press release reports a newly identified high-grade zone in the "Sinter" target at La Josefina. The first hole cut 1.75 m of 14.1 g/t gold and 4.7 g/t silver at 40.25 m depth; a third hole, 100 m south, cut 0.4 m of 9.05 g/t gold and 0.45 m of 2.53 g/t gold. The second hole did not reach target depth. These are early drill results, not a resource estimate, and add to the earlier La Josefina updates.
A July 2, 2008 update on La Josefina reports what the company calls its best results to date at the Veta Amanda target, including 2.85 m at 16.63 g/t gold equivalent in one hole. The company says it remains on schedule for an NI 43-101-compliant resource by the end of 2008; that is a stated goal, not a completed estimate.
A June 19, 2008 drilling update on the La Josefina gold-silver project in Santa Cruz, Argentina: 102 core holes (over 15,000 meters) completed since late 2007, with the best new intercept 0.65 m at 41.20 g/t gold equivalent. Management says drilling continues through winter with two rigs and aims to define a resource before year end; this is a company target, not a result.
