winstoncooper Monday, 07/21/14 08:42:14 PM Re:
Post# of 9903
Posted On: 07/21/2014 8:57:11 PM
winstoncooper Monday, 07/21/14 08:42:14 PM
Re: EarnestDD post# 11798
Post # of 11802
bgl - Yes, the financial statements do carry its investment in Cinco Minas as an asset. However, you must remember the following:
1. Audited Financial Statements show no Revenues for the year Ended 11/30/13.
2. Audited Financial Statements include a "Going Concern" statement
3. Audited Financial Statements show a write-off of $4,820,692 for the Colombian investment during the year. Due to the significant impact of the rezoning of the Paramo area on these concessions and the likelihood that the authorities will uphold their decision to extend these boundaries, the Company has decided to fully impair this property as at November 30, 2013 and has recorded an impairment of $4,820,692.
4. Audited Financial Statements were filed on March 31, 2014. We have seen nothing from bgl regarding Cinco Minas in almost four months.
5. On March 7, 2008, the State Court, Commercial Division of Guadalajara, Mexico, issued preventive measures in favor of the Company. THIS WAS OVER 6 YEARS AGO!!!!
6. While the books do carry its investment in Cinco Minas as an asset..........there is that pesky Note 9 to the Financial Statements warning about a possible impairment charge of $10,286,428.
From Note 9 Cotingent Liability of 11/30/13 Financial Statements:
As at November 30, 2013, the Company is still in the process of protecting its interest in the Cinco Minas and Gran Cabrera mining properties in the Mexican courts.
A ruling in favour of the Company by the Federal Court will affirm the Company’s ownership interest in the mineral property and amounts will become due in order to put the concessions in good standing; however, as the amounts are not determinable, no accrual has been recorded in these consolidated financial statements. Should the ruling be in favour of the defendant, the Company would be required to recognize an impairment charge on the property for $10,286,428.
Re: EarnestDD post# 11798
Post # of 11802
bgl - Yes, the financial statements do carry its investment in Cinco Minas as an asset. However, you must remember the following:
1. Audited Financial Statements show no Revenues for the year Ended 11/30/13.
2. Audited Financial Statements include a "Going Concern" statement
3. Audited Financial Statements show a write-off of $4,820,692 for the Colombian investment during the year. Due to the significant impact of the rezoning of the Paramo area on these concessions and the likelihood that the authorities will uphold their decision to extend these boundaries, the Company has decided to fully impair this property as at November 30, 2013 and has recorded an impairment of $4,820,692.
4. Audited Financial Statements were filed on March 31, 2014. We have seen nothing from bgl regarding Cinco Minas in almost four months.
5. On March 7, 2008, the State Court, Commercial Division of Guadalajara, Mexico, issued preventive measures in favor of the Company. THIS WAS OVER 6 YEARS AGO!!!!
6. While the books do carry its investment in Cinco Minas as an asset..........there is that pesky Note 9 to the Financial Statements warning about a possible impairment charge of $10,286,428.
From Note 9 Cotingent Liability of 11/30/13 Financial Statements:
As at November 30, 2013, the Company is still in the process of protecting its interest in the Cinco Minas and Gran Cabrera mining properties in the Mexican courts.
A ruling in favour of the Company by the Federal Court will affirm the Company’s ownership interest in the mineral property and amounts will become due in order to put the concessions in good standing; however, as the amounts are not determinable, no accrual has been recorded in these consolidated financial statements. Should the ruling be in favour of the defendant, the Company would be required to recognize an impairment charge on the property for $10,286,428.
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