Dynacor Conference Call (Part 4 of 5)

Screen Shot 2016-06-14 at 5.21.27 PM

Stakeholder: What are the next steps?

Dynacor: We expect the inspector from MEM to visit the Veta Dorada site in the beginning of June. In order to be absolutely certain of passing each step during the permit process, we have put in place extra precautionary moves by hiring two engineers. They have been assigned to pre-assess the site and review every facet of the plant before the official visit. It is unlikely there is anything that will prevent us from receiving the compliance license in June (Note: Dynacor Receives Compliance License, see news release dated June 13, 2016). Upon receipt of the license, Dynacor will immediately apply for its water usage permit from the Ministry of Agricultural and Irrigation (MINAGRI). The MINAGRI is well aware of our new Veta Dorada plant as we have been building a relationship over the last month. As per the new fifteen-business day permit rule, we expect to receive the water usage permit in two to four weeks. This should take us to the end of June or early July. Lastly, we need to receive the final operation permit from the MEM and the same rules apply taking about another two to three weeks. We are planning to hold the official ribbon cutting ceremony in September.

Stakeholder: Have the warrants been exercised by the lender?

Dynacor: No they have not.

Stakeholder: Will these shares become available on the market?

Dynacor: No.

Stakeholder: What is the status of a dividend?

Dynacor: We are on record as saying we will pay our first dividend when we are producing at a rate of 600 tpd. However, at this time, we are reviewing a plan in order to enable us to offer the dividend much sooner. The Company expects to generate much more sustainable cash flow from the new mill. In years past, Dynacor was making upwards of US $2.5 million dollars a quarter, but that was based purely on a higher gold price. The new mill will bring superior operational efficiencies and production increases thereby creating a much more sustainable environment for the dividend.

Stakeholder: Please comment on the low amount of shares insiders own?

Dynacor: It is important to understand unlike many other companies, Dynacor Gold Mines Inc. is a spin off of another company. The original board members in the parent company lost many shares due to the previous company’s bankruptcy.

What is most important to us is to have members on the board that can assist the Company. There are many cases in the market where there are board members that hold a lot of shares, but bring very little value to the company. In the industry, it is frowned upon and not good practice to make it a requirement for new members to buy a substantial amount of shares before joining.

Last year we hired an independent firm to review our situation and to advise on what is acceptable in terms of salary and shares etc. They informed us that when comparing to peers, Dynacor is in the top percent of what others are doing.

Stakeholder: What is the the plan for Tumipampa?
Stay tuned for part 5 of 5…

Published by

dynacorblog

Please note that when you enter this blog directly or indirectly that you do so at your own risk. This blog may contain certain forward-looking statements and information. Forward-looking statements and information are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties, risks and contingencies, and there can be no assurance that such statements and information will prove to be accurate. Therefore, actual results and future events could differ materially from those anticipated in such statements and information. Readers should not place undue reliance on forward-looking statements or information included herein. The Company undertakes no obligation to reissue or update forward-looking statements or information as a result of new information or events after the date hereof except as may be required by law. This cautionary statement qualifies all forward-looking statements and information made available via this blog. Dynacor Gold Mines does not accept or assume any responsibility or liability whatsoever for, the data protection policy, the content, the data or the technical operation of the blog and/or any linked websites. Further, you acknowledge and agree that you assume all risks resulting from entering and/or using the blog and/or any linked websites. By entering the blog, you also acknowledge and agree that you completely and irrevocably waive any and all rights and claims against Dynacor Gold Mines, and release, discharge, indemnify and hold harmless Dynacor Gold Mines, its officers, employees, directors and agents from any and all liability including but not limited to liability for loss, damages, expenses and costs arising out of or in connection with entering and/or using the blog and/or any linked websites and any data and/or content contained therein. Such waiver and release specifically includes, without limitation, any and all rights and claims pertaining to the processing of personal data, including but not limited to any rights under any applicable data protection statute(s).

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s