MORE THAN 40 REASONS TO INVEST IN TYHEE
posted on
Feb 25, 2009 11:01AM
(PRESS PROFILE TAB FOR FACT SHEET & UPDATES)
MORE THAN 40 REASONS TO INVEST IN TYHEE
is adapted from Baires’ 2007 SH.com post and represents various contributions made by many individuals. Please feel free to add to it by posting suggestions on the forum.
(Last updated February 25, 2009)
Before going down this list you may first want to view Tyhee's latest September 2008 BTV video posted on its Webb site, www.tyhee.com
Also recommended is Tyhee CEO, Dr. David R. Webb's November 27, 2008 interview with Jim Puplava on Financial Sense News, (Hour 6), http://www.financialsense.com/Expert...
REASONS
1. Tyhee’s “robust” Preliminary Assessment (PA) delivered positive economics of a 3,000 tonnes per day mine for seven years producing 1.1 million ounces of gold at a cost of $384 per ounce with additional potential to expand. The PA calls for a combined open pit and underground operation.
2. As of November 2008, Tyhee's current available cash was $5.25 Million. That's nearly THREE YEARS to go without the need for more financing.
3. As of January 22, 2009, Tyhee’s resource, in all categories, amounted to nearly 2.1 million ounces of gold. Given that Tyhee’s geology is “Archean”, the potential exists for even more ore bodies at greater depth than has yet been explored.
4. On January 22, 2009, Tyhee made a major new discovery of high grade ore at Clan Lake and Goodwin Lake represents the most significant new discovery of gold mineralization in the Yellowknife area since the mid 1980’s. And, suggests a much higher resource potential from these properties that are within an economic distance of a proposed central mill at the nearby Yellowknife Gold Project.
5. The Clan Lake property could be a bonanza. Tyhee has identified an initial Indicated Resource of 254,000 ounces of gold (NR S.10, R.2, January 22, 2009) at the Clan Lake Main Zone, and at least six other zones have been identified. Three of these her zones have been diamond drilled in the past and may be assessed in this re-logging program. The other three gold zones extend to the east and northeast of the Main Zone over a distance of 4.5 kilometres. These are new discoveries in 2008 and have only been grab sampled; some samples yielding assays in excess of 100 gpt.
6. Tyhee's share price is cheaper, relative to those of its peers.
7. Over the previous five years, Tyhee has added between 200,000 to 250,000 gold ounces per year to its resource at a cost of about $25 per ounce. That may be the lowest cost for gold exploration in Canada. And this could possibly go even lower with the potential for higher grades.
8. Tyhee is well underway in accomplishing many of the components of a Pre-feasibility study or Feasibility study. Although no official announcement has yet been made as to which study will be contracted out to independent engineers for completion.
9. The Yellowknife area has proven to be rich in gold. Historically, nearly 13 million ounces of it have already been mined from mines that have a geology which is essenially the same as that found in those properties now being developed by Tyhee.
10. EXCELLENT AND RAPID RESPONSES TO INVESTOR QUESTIONS. Dr. Webb, has consistently, quickly and comprehensively responded to investor’s emails and phone calls in a thorough manner that’d be hard to match by any other CEO of most any other company, in the precious metal sector, or in any other.
11. Tyhee's Board of Directors and management combined, have had major roles in bringing over a DOZEN mines into production:
Roger Sylvestre was a director of, and Dave Webb a consultant to (and later president) Mongolia Gold when they built the Bumbat Mine in Mongolia. (Unfortunately, the government expropriated the production and took over the mine).
Dave Webb owned the small Mon Mine, and operated during construction in the NWT (privately).
Dave also wrote the qualifying report for Fortune Minerals Limited for their acquisition of the Nico Project in the NWT (an advanced stage IOCG project [post feasibility] at the permitting stage.) This was the first report to recognize the bulk-mineable potential of the property.
Lorne Anderson was CFO of Glamis Gold when they built the Glamis Mine, Rand mine and acquired and expanded the Marigold and Pinsent Mines
Bill Burton was a senior engineer, engineering manager, mine manager, manager of mining, of Echo Bay Mines when they built:
Contact Lake Mine (Port Radium)
Lupin Mine
McCoy Mine
Cove Mine
Kettle River
Round Mountain
Or significantly expanded the Alaska Juneau Mine
Bill also was (and is) COO of Western Canadian Coal when they built the three mines of the Wolverine Project
Hugh Wilson and Denis Taschuk were part of Echo Bay Mines.
Doug Levesque and Rod McKay were involved and managed the Seabee and developed the Santoy Mines for Claude Resources
12. Proven resources may be worth more than total Market Cap makes this a fairly safe play. Tyhee has Measured, Indicated and Inferred. Its ratios are exceedingly good with a substantial component in the M and I categories.
13. Tyhee had three drills operating this past winter, it shut down one in March, another one in August, with lots of core to go yet.
14. Drilling beside legacy holes which previously proved up a mineable resource but not 43-101 compliant has the potential to add a significant amount to Tyhee’s resources.
15. Dr. Webb, Tyhee's CEO and President, is frugal and thrifty. (If he was from Brooklyn we'd say he was cheap.) And, he has a reputation for being ethical. President
16. Dr. David R. Webb did his Ph.D. on the geology of the Yellowknife (YK) region, i.e., invested life’s work here, i.e., foremost expert on the geology of YK region.
17. Close to year round road from Yellowknife (YK) to south and can make ice road from YK to mine. Large Airport in nearby in YK. 90 km from all-weather road, cheap winter road access, all-weather landing strip on property.
18. Mining friendly town, in a mining friendly province/territory in a mining friendly Country.
19. Permitting is well underway. Tyhee received a draft Terms of Reference (TOR) and Work Plan (WP) from the Mackenzie Valley Environmental Impact Review Board (MVEIRB) in response to its Project Description Report (PDR). Tyhee has filed its response to these documents as requested. The PDR was submitted by the Company as part of the process to seek permits to start construction and operation of a mine at its Yellowknife Gold Project, 90 km north of Yellowknife, NWT. The draft TOR and WP were issued by the MVEIRB as part of the environmental assessment process to enable Tyhee to file the Developers Application Report (DAR), a comprehensive environmental assessment document upon which the regulators can assess the project and grant licenses.
21. 43-101 compliant resource documentation of about 2.1 million gold ounces which, given Tyhee’s track record, suggest significant resource growth by the day.
22. During each year over the last 5 years, Tyhee has added between 200,000 ounces and 250,000 gold ounces to its resource.
23. Drilling at Big Sky hit encouraging but not gang-buster results. There has been a shift in expenditures to Clan and Goodwin Lakes. Results have been exceptional on Clan, and very encouraging on Goodwin Lake as well.
24.. THE GOLDRANGE: If you ever go up to visit the mine, you get the opportunity to get drunk and dance with the locals at the GOLDRANGE, where miner's have been getting hammered, getting in fights and getting tossed out of for decades!
25. Tyhee has TUNGSTEN to possibly add to the bottom line.
26. There’s the strong likelihood of a District of Open Pits, they should more economical mines in the Yellowknife Project, as well as multiple mining centres including underground mines as well.
27. Big boys like Eric Sprott of Sprott Asset Management, Jim Puplava of Puplava Financial Fund are invested in Tyhee.
28. When I last looked, Tyhee was still located in CANADA!!!
29. And, you got conservative, trusty, oĺ dependable Dave Webb ( and Roger Sylvestre) running the operation but, at the same time, Dave listens hard to Dr. Leanne Baker, Puplava, Frank Barbera and others for advice. And, Tyhee has an exceptionally experienced board of directors.
30. Convenient hydro power supply next to Big Sky and there’s the possibility that power lines could be put in to the Yellowknife Gold Project (YPG) (check Preliminary Assessment for hydro power options to YGP.) Note that right of way runs right over Clan Lake AND Goodwin Lake.
31. Diamond mines have a secondary winter road route which is Tyhee’s winter road route. Their standards and requirements for construction are much higher than Tyhee’s. Tyhee will have free use when the diamond group installs this route.
32. Don't underestimate how important it is to note that it can be estimated that more than half of TDC's shares are in solid hands, like Pulplava and Sprott. This is one of the reasons we haven't seen the stock evaporate like many others have during big stock slides or drops in the POG. Surely, price has enjoyed some movement but it has been relatively stable compared to many juniors.
33. Goodwin Lake results show excellent BLUE SKY POTENTIAL.
34. Some, all or more of Clan Lake’s historic 640,000 oz resource may be brought into the M&I 43-101 compliant resource category. Fingers crossed. However the historic resource was calculated in a non-compliant way so now Tyhee essentially considers this project to be starting from scratch.
34. The nearly quarter million ounces that have been added annually from drilling could be now more likely be starting to come from the Clan Lake and Goodwin Lake Properties. Recent results from Clan Lake are the most encouraging.
35. Another very positive aspect of Tyhee’s PA is that its energy costs are well in hand and ways to reduce it are presented (hydro power). These have abilities to reduce costs (for example hydropower at $0.14 vs $0.35 per kwhr) by 25% or more, while critics have focused on potential increases in costs of 3 to 5%.
36. Mineralization in all deposits is still open for expansion.
37. Much or all of the Yellowknife ore is in basic (not acidic), less toxic material and that this rock is fortunately, more easily milled than the less crushable rock found in other gold mines.
38. Geologist, George Zapata Blake gives Tyhee a VERY STRONG BUY recommendation. Listen at minute 16:30... George has been around the block a few times. He sees things differently than most.
http://commoditywatch.podbean.com/
39. Dave Webb Answers More Questions From Our Cambridge House List Oct 4-5, 2008
(I have paraphrased his answers)
1. Why don't Tyhee insiders own more TDC.V?
Dave said he owns more than 1,000,000 shares which he paid, on the average $0.50/share. He suggested that since he hadn’t been paid while at Tyhee from 1998 to 2001, and is still paid less than the senior consultants, if he had been paid he would own more.
2. It has been said that when insiders own less than 10% of the company, it shows lack of confidence. Do you agree?
Dave said he does not agree.
3. Will Tyhee initiate a Feasibility Study? When? How much would it cost? How long would it take, worse case, best case?
When appropriate, it might. At that point Tyhee would seek bids…. It could be omitted, or take 18 months.
4. What news and when is expected for the remaining of this year?
More drill results, resource estimates, progress on permits. Tyhee’s drill results come out every 6 to 8 weeks. On its August 12th News Release (S9, R12) it said Tyhee expects a revision of the Ormsby resource to be completed within 60 days. Quarterly financials will also be released.
5. After how long of a prolonged PM sector downturn will it make it likely that Tyhee would be acquired or do a JV? Which would you prefer if a long term poor economy forces you to abandon your goal of being an independent miner?
Dave said he didn’t have any idea and that he’d prefer to be bought out for a bagillion (I paraphrase) dollars.
6. Will your Tungsten be a significant benefit to the bottom line?
It could make a contribution, but probably not a significant one.
7. What action is or will be taken to stop suspected illegal bashing of Tyhee?
Dave said Tyhee will take all action that is necessary.
8. What's the most likely obstacle that would hinder or prevent Tyhee from going into production?
His answer: Gold below $500 per ounce, money, permits
40. And on a lighter note...
It has been speculated, by at least one astute observer, that there are tiny little elves who leave large gold nuggets in Dave Webb's socks at night when he sleeps in his tent at Yellowknife. Over 30+ years now, these elves have delivered a resource of 6+M ounces, and over the past 7 or 8 years or so, Dave Webb has been trying to figure out a way to bury all this gold in the ground and recover through a mining operation so people won't think he's crazy, because he knows they'll never, EVER believe him about the elves.