A Fundamental Breakdown
Introduction
IMC International Mining Corporation is a junior exploration and development company. The company is focused currently on its Bullard Pass property.
Current Management
ICMX’s management team has many years of experience in the mining and exploration industry.
CEO Brian Thurston holds a B.S. in Geology and has over 26 years of experience as a professional geologist. From 2004 to 2006, Mr. Thurston was Country Manager in Ecuador during the exploration, acquisition, and development of the Aurelian Resources’ Ecuador grassroots exploration. He then made the move from professional geologist to corporate executive in 2004 and has founded companies and served as director and officer.
CFO Eli Dusenbury has provided accounting services to both public and private sector companies in both Canada and the United States in a vast array of different industries, including mining and exploration.
Director Faizaan Lalani has a background in accounting and finance, with over nine years of experience related to auditing and operations management. He previously worked at PricewaterhouseCoopers LLP, Canada where he provided accounting services to companies both public and private. In 2015, Mr. Lalani founded a high-end apparel company, Encima Clothing.
Director Mike Aujla has been a lawyer, officer, and director for both public and private entities. Along with 16 years of experience in these roles, he brings a B.A. and J.D. from the University of British Columbia and the University of Victoria, respectively. He has experience in international law, advising companies on financial services, M&A and commercial real estate in a wide variety of jurisdictions.
Greg Hawkins, a member of the P.Geo Advisory Board, has been an indispensable part of seven public and private ventures related to the exploration and development of gold reserves.
Current Projects
Bullard Pass
Bullard Pass is a roughly 3,896-acre property located in the Harcuvar and Harquahala Mountains of southern Yavapai County, Arizona, USA. Soil samples in this area show rich mineralization, due to the fact that the area lies along the Bullard detachment fault, the hanging wall of which is comprised of tertiary volcanic rock.
The property has easy access through roads and highways. Dirt roads already exist that provide access to the property. This means that the expensive infrastructure work that is required for mining projects, such as clearing trees and building roads, is not an issue with this project. There also exists a functioning mill 20 km southeast of the property where ore can be processed.
The district has a history of producing copper, gold, and silver. Several leading mining companies also have claims in the area. IMCX has staked additional claims in the area and now has 171 claims.
Cash Flow
The statement of cash flows for the nine months ended September 30, 2019, shows a net loss of $461,148. This was offset by share-based payments and accounts payable and accrued liabilities to bring the net cash provided by operating activities to a -$73,429. Costs of exploration and evaluation assets amounted to $142,654. $416,500 was raised through the issuance of common shares. This offset the previous items to bring a $200,417 change in cash, for an end of period cash on hand of $200,418.
Current Debt
International Mining Corporation obtained a loan of $125,000 from Rae Ventures Inc., one of its investors. The loan carries no interest or other compensation to the lender. The company states that the loan enables them to carry out further exploration on the company’s Bullard Pass property as well as to provide them with general working capital.
Overall Outlook in the Gold Sector
The Outlook for the gold sector in the next 12 to 24 months is strong. Increasing risk in financial markets will lead investors to seek out safe havens such as gold. Lower interest rates increase the monetary supply, which gives rise to inflation worries. This concern about inflation will tend to generate demand for gold.
The weakening in global economic growth will add to the momentum of gold during this period. Increased speculation will cause volatility in the price of the metal to be high. Continuing economic reforms in China and India will also put upward price pressure on gold. The demand for gold will likely outstrip the volatility, creating great buying opportunities.
Conclusion
International Mining Corporation is led by an impressive team of competent individuals with many years of experience relevant to the mining and exploration industry. The Bullard Pass property holds great potential for future earnings, having a usable infrastructure already in place including roads, nearby towns and a mill that can be leveraged for processing. The company has obtained a loan from an investor, but the loan carries no interest and is reasonably-sized given the size of the company. The outlook for gold is strong and the timing would be excellent if the Bullard Pass property begins producing soon.
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