Agoracom Blog Home

Archive for the ‘Junior Resource Manifesto’ Category

American Creek $ Reports That Treaty Creek JV Partner Tudor Gold Has Received a Further $3,000,000 in Exploration Funding from Eric Sprott $ $SA $ $ $ $ $ $ $ $ $

Posted by AGORACOM at 10:13 AM on Friday, July 19th, 2019
  • Eric Sprott places 3$ Million with Tudor
  • Sprott now owns 12.6% on a non-diluted basis, an increase from 7%
  • AMK holds 20% carried interest at Treaty Creek
  • 2018 drilling ended in 563M of 0.97g/t AU
  • 2019 drilling has begun at Goldstorm

Cardston, Alberta–(Newsfile Corp. – July 19, 2019) – American Creek Resources Ltd. (TSXV: AMK) (OTC Pink: ACKRF) (“American Creek”) is pleased to report that Canadian billionaire Eric Sprott has invested an additional $3,000,000 in JV partner Tudor Gold for the ongoing Treaty Creek drill program currently underway on the Treaty Creek property located in the Golden Triangle of Northwestern British Columbia.

Drilling is continuing on the gold enriched Goldstorm Zone which is on-trend with Seabridges’ Iron Cap Zone located five kilometers to the southwest. Drilling is designed to define a deposit with the potential of being open pit mined. For more details watch the Tudor Gold video here

Darren Blaney, CEO of American Creek stated: “This further significant investment by Mr. Sprott is a very solid endorsement of not only our partner, the Tudor Gold team, but more specifically of the potential of the flagship Treaty Creek project. Our 20% fully carried interest in the project is looking better and better.”

About American Creek

American Creek is a Canadian junior mineral exploration company with a strong portfolio of gold and silver properties in British Columbia. Three of those properties are located in the prolific “Golden Triangle”; the Treaty Creek and Electrum joint venture projects with Tudor Gold/Walter Storm as well as the 100% owned past producing Dunwell Mine.

The Corporation also holds the Gold Hill, Austruck-Bonanza, Ample Goldmax, Silver Side, and Glitter King properties located in other prospective areas of the province.

For further information please contact Kelvin Burton at: Phone: 403 752-4040 or Email: [email protected]. Information relating to the Corporation is available on its website at

Consolidation In Junior Resource Stocks Continues – Freewest Resources Announces $150 Million Acquisition By Cliffs Natural Resources

Posted by AGORACOM at 12:53 PM on Monday, November 23rd, 2009

My Peanut Butter Manifesto for consolidation in the junior resources space, which is shared by Pierre Lassonde, seems to be picking up momentum with the announcement today by AGORACOM client, Freewest Resources, of an acquisition by Cliffs Natural Resources.  This is no small party deal – Cliffs Natural Resources (NYSE:CLF) (PARIS:CLF) is an international mining and natural resources company, the largest producer of iron ore pellets in North America, a major supplier of direct-shipping lump and fines iron ore out of Australia and a significant producer of metallurgical coal.


I’m pleased to see this deal from an industry perspective because we are now clearly seeing the wheat separated from the chaff.  At the time of my original peanut butter manifesto, there were simply too many bogus resource companies that were strong on promotion but light on fundamentals.  The result was a thinning out of investment dollars over too many companies, meaning the truly great companies were not realizing their true market potential.

Thankfully, this has started to change as of late with good companies seeing their share prices appreciate nicely, while empty juniors struggle to survive.  I hope the philosophy behind The AGORACOM 100 played a role in helping this happen. I certainly believe our upcoming Online Gold & Commodities Conference (December 3rd and 4th) will also serve to further this goal.

Let’s hope this trend continues so that investors can maximize their personal returns from investments in great juniors.


Read the entire press release but here are some of the highlights of this friendly deal:

  • Cliffs to acquire 100% of outstanding Freewest shares
  • Each Freewest shareholder to receive C$0.55 in shares of Cliffs and one share of New Freewest with an estimated value of C$0.15, for a total estimated value of C$150.6 million or C$0.70 per Freewest share
  • Transaction represents a 122.2% premium to Freewest’s closing price on October 2, 2009, immediately prior to the announcement of the unsolicited offer by Noront Resources Ltd., and a 27.3% premium to Freewest’s closing price on November 20, 2009
  • Freewest Board of Directors unanimously supports Cliffs transaction

“We are delighted to announce this transaction”, said Mackenzie I. Watson, President and Chief Executive Officer of Freewest. “We believe this transaction is clearly superior to the proposal put forward by Noront. It will provide Freewest shareholders with highly-liquid shares in a company with a market capitalization in excess of US$5 billion, while allowing New Freewest to continue as a well-financed exploration company focused on the high-grade Clarence Stream gold property and an attractive suite of early-stage exploration properties. The New Freewest shares represent significant value and ongoing upside potential.”

The transaction will be effected by way of Plan of Arrangement. Freewest expects to mail a management proxy circular to shareholders in December for a special meeting of shareholders to be held in January 2010. It is expected that the transaction will be completed shortly after the special shareholders’ meeting.

“The transaction with Cliffs will benefit all of Freewest’s shareholders”, added Mr. Watson. “Our shareholders will become shareholders of Cliffs, listed on the New York Stock Exchange, as well as shareholders of New Freewest. The shares of Cliffs are very liquid, which will be advantageous for our shareholders. As Cliffs has provided a floating exchange ratio which guarantees C$0.55 per share on closing, the value of Cliffs’ proposal is far less volatile than Noront’s hostile bid, which offers a fixed ratio of Noront shares as consideration. As well, Cliffs has the resources to develop the McFaulds chromite properties, while New Freewest will focus on exploration.”

The Arrangement Agreement with Cliffs contains, among other things, a non-solicitation covenant by Freewest, subject to customary provisions that entitle Freewest to consider and accept a superior proposal; a right in favour of Cliffs to match any superior proposal; and the payment by Freewest to Cliffs of a termination payment equal to C$6 million if the transaction is not completed as a result of a superior proposal, and in certain other circumstances.

The transaction between Freewest and Cliffs is subject to a number of conditions, including obtaining the approval of at least two-thirds of the Freewest shares voted at a special meeting of shareholders, and a simple majority of the Freewest shares voted at the special meeting, other than shares held by certain officers of Freewest. The transaction is also subject to court approval as a plan of arrangement, listing approval from the TSX Venture Exchange in respect of the shares of New Freewest to be distributed to Freewest shareholders, and a number of other customary conditions.

CIBC World Markets Inc. is acting as financial advisor and Heenan Blaikie LLP as legal advisor to Freewest in connection with the transaction. Cliffs is advised by BMO Capital Markets and Blake, Cassels and Graydon LLP.

Congratualtions to Mac and his entire team.  Well done.


Goldcorp Acquisition of Canplats Resources Continues Pierre Lassonde’s Peanut Butter Manifesto

Posted by AGORACOM at 1:39 PM on Monday, November 16th, 2009

Back in April 2008, I posted a story titled:  3-Way Junior Mining Consolidation Is Pierre Lassonde’s “Peanut Butter Manifesto”

Let the fly by nights die, consolidate those with decent assets and let the superstars stand up on their own two feet.
Quality over Quantity folks. It is that simple.

If you’re asking what the heck does peanut butter have to do with the junior resources space, have a read of the post.  In the meantime, I’m pleased to see continued follow-through on my call for consolidation in the space.  Today, Goldcorp agreed to acquire Canplats Resources in a deal worth about $238 million.  This is great news for the space as it will surely lead to further money injected into juniors with highly prospective projects.  Ironically enough, the story contained a quote from Pierre Lassonde who seems to have his finger on the very pulse of this consolidation trend:

Bullion producers including Goldcorp and Barrick Gold Corp., the largest producer by market value, may attempt to take
over smaller companies in the next two months to boost output amid dwindling supplies and rising prices, Franco-Nevada
Corp. Chairman Pierre Lassonde said in an interview last week.

On that note, I can’t help but mention the fact this could not be better timing for the AGORACOM Online Gold & Commodities Conference.  Emphasis on the online element of the conference as it will allow investors from anywhere in the world to participate and connect with great companies and keynote speakers from their PC.  Click on the banner for full information … and yes, it is free to investors!


3-Way Junior Mining Consolidation Is Pierre Lassonde’s “Peanut Butter Manifesto”

Posted by AGORACOM at 6:50 PM on Thursday, April 3rd, 2008

If you’re an investor in the junior gold mining and exploration sector, then you owe a hat tip to Pierre Lassonde. Lassonde is apparently the man responsible for consolidating 3 juniors into one earlier this week.

If you haven’t heard by now, Metallica Resources Inc., New Gold Inc. and Peak Gold Ltd. combined to create a new, mid-sized gold producer with a market cap of approximately $1.6-billion. I’m not going to bother with the details, carried the full story here. I’m covering this because it points to both a problem and solution in the junior mining and exploration sector.


What the hell does that mean? Listen closely. This is important and will only take a minute.

If you had told me 18 months ago that gold, silver, copper, platinum, etc were trading at today’s prices, I would have danced a jig while celebrating sky-rocketing share prices in the junior sector. So would many of my friends at Sprott, Pinetree and Canaccord, as well as, just about every one of our clients in the space.

Unfortunately, that has not transpired.


Over supply. Much like an overbuilt condo market, there is far too much supply of junior mining and exploration companies, especially exploration companies. Today, just about anybody with a piece of land in a far away location, whose grandfather once spotted a shiny rock, has become an “explorer”.

This creates a peanut butter effect where investors are thinly spread out over a far too large sector. If you think this sounds cute, don’t be fooled. The Peanut Butter Effect can take down some pretty big whales. It almost took down Yahoo, until a Senior Vice-President wrote the now infamous Peanut Butter Manifesto in which he summarized the company as follows:

“I’ve heard our strategy described as spreading peanut butter across the myriad opportunities that continue to evolve in the online world. The result: a thin layer of investment spread across everything we do and thus we focus on nothing in particular.  I hate peanut butter and so should you”

This is exactly what is happening in this industry. A thin layer of investors spread across way too many companies, with no particular focus on the good companies.


Lassonde obviously hates peanut butter, so he took action. We should all hate peanut butter and take similar action. Let the fly by nights die, consolidate those with decent assets and let the superstars stand up on their own two feet.

Quality over Quantity folks.  It is that simple.

It worked for AGORACOM in building this community to more than 10,000,000 pages per month. It has started working for Yahoo in re-building its business.  It will work for the junior mining and exploration sector.  The sooner the better.