Jimrockford Blog of 2/3/2013

 

GGX, BXR, YOO, MMX, PP, ALYI, CJC, DRV, APM, etc, etc.

 

A lot of ground was covered in my last blog. I believe though, that leaving it until December 18 was not a smart move on my part, as between the publishing date and January 6th are traditionally quite slow in the markets – i.e. The interest level in the market at that time of year is at an all-time low, with the holidays (thankfully) taking precedence. I thought for this blog, it would be smart to incorporate some of the more pertinent info from the last blog with DD from the last month.

 

Note: IMHO, GGX, BXR, YOO, ALYI and PP are all due to have leg-ups at some time very shortly...in my educated opinion. As well, I own them, personally.

 

 

Global Green Matrix (GGX on the TSX.V)

 

 

The NR of Friday is huge in terms of revenue and momentum!

Global Green Matrix Acquires Additional Heating Unit:

http://www.stockhouse.com/companies/stories/v.ggx/8724188

 

A friend of mine was out in Alberta this week and met the guys from the company. He is a pro and a very successful investor - and came away quite impressed. Some of the comments he made to me afterward:

- In a nutshell, this second heating unit will double their revenue and signals they are a player in the oil patch. A lot of companies won’t hire a company that heats water for fraccing unless they have a second unit – i.e. if one breaks down, there is an alternative unit to use.

- The above means they should be getting a lot more calls from oil industry heavyweights.

- He sees an ambitious plan coming together and wouldn’t be surprised if GGX could have 5 trucks/units together by September/October – and maybe more!

- The margins are extremely large – over 75%!

- ROI (see above) comes very fast!

- The stable income coming from the two trucks should enable a huge debenture. In this way they could finance a slew of trucks – without having undue dilution.

 

Three more very important things from my buddy!

- I was doing back-of-the-napkin calculations with my friend over the phone. When you look at what can be generated by, say, 5 units, over the space of a year, the numbers are terrific! I have gone over GGX numbers and 12 month with 220 run rates and 15 units will give off $37 million of free cash flow. Now, I’m not saying they will reach this in the next year to year and a half – but both GGX’s numbers and Poseidon’s growth curve (see below) show it is doable. 5 units will still create very nice revenues and cash flow.

 

- The numbers above look even more sweet when one considers the fact that at one point, industry heavyweight, Poseidon, was getting a 23 times multiple!

 

- He believes these guys are on a roll – and more NRs are definitely coming!

 

The info below is mostly from my blog of Dec. 18 and got lost in the holiday shuffle (and rightly so, as turkey and friends trump the market at Christmas!)

 

Here is a link to the website

 

http://globalgreenmatrix.com/

 

GGX is only trading at 5 cents, giving it a market cap of only $3.64 million. IMHO, it is worth north of here, as the DD below will show. I have been buying shares.

 

GGX was formerly named Poly-Pacific International Inc. In late Feb, 2010, they had a 1-for-15 shared consolidation, which took their share number down to 5.84 million shares. Essentially, less than two years ago they had a clean slate to build a new company – and it looks like they have done well in re-inventing themselves.

 

Global Green Matrix has two main businesses - Big Heat and Dryvac. The most important one – and the one that, IMHO, has the scalability and potential to catch on fire - is Big Heat:

 

Here is the link to Dryvac:

 

http://globalgreenmatrix.com/index.php?p=2_6_oil-sands-remediation-oil-field-equipment-rental-Intercept-Rentals-Global-Green-Matrix-DryVac

 

 

Big Heat

 

Big Heat’ is a new technology that heats water used in the fraccing process. It is “a water heating unit that heats with much greater safety, efficiency, fewer emissions and is significantly faster than traditional methods in use today.”

 

The “technology virtually eliminates any possibility of on-site injury or accidents that have happened with traditional methods of heating water. All units have numerous safety shutoffs and virtually no radiant heat emanating from the burner, located in a totally encased chamber.”

 

It is “LP fired, truck-mounted, self-contained, 16 million BTU’s, safer, easier – and patent pending.”

 

“The Intercept Frac Heaters are designed for the large frac volumes performed in Western Canada. Their 16 million BTU heaters carry enough fuel to provide 20 hours of heating time. The Frac heaters are a high volume low pressure units. Intercept Rentals offers a safer, faster and more economical technology to heat water. BIG HEAT, a state-of-the-art, highly efficient heating units with controls that save you time and money. The low emission technology makes it eco-friendly “

 

“Hot Oilers have traditionally been used in the heating of Frac Fluids. They have all used the same principal of heating and that is to heat a coil tubing configuration that heats water in a tank. The fuel source has been either diesel fuel or propane.”

 

More reasons why I like the Big Heat technology:

- Fraccing opens up a well – it’s like a mini-explosion that opens up seams and keeps them open so that oil can flow. With fraccing, heated water is required.

- Big Heat uses propane fuel – and as such, the costs are a LOT lower than conventional oil costs.

- Competitors who use conventional fuel pay up to three times more.

 

- Propane is smarter and greener than other fuels

 

- They have the ability to get more surfaces on the water being heated

 

- The above lets GGX outperform the competition.

 

- The Big Heat process is 97% efficient, only losing 3% efficiency. This is huge – as the rest of the industry is 60% or so efficient.

 

- Re the above, they can outperform units twice as powerful.

 

- Big Heat costs per degree are less than any other competitor out there.

 

- For one competitor last month, the costs for Big Heat were $600 an hour. That adds up very well for the bottom line of the companies paying for the service.

 

- Fraccing consultants are VERY impressed with Big Heat.

 

- There are very few moving parts – i.e. less to go wrong.

 

- The unit that they have is “working flawlessly.”

 

Big Heat Going Forward

 

- GGX has exclusive Canadian rights – 6 to 9 units are operating in the Midwest – but GGX can go everywhere else.

 

- GGX has two units (see above)

 

- Two more units are being ordered in Jan. and two more in Feb.

 

- The units take two months to be built and are built in Idaho (The average competitive unit takes 18 months to build).

 

- The cost per unit is $600k (they will lease the trucks that carry the units).

 

- Starting in August, GGX want to order two more units per month.

 

- The applications for this unit work for other things than fraccing – i.e. heating water for dairy, etc.

 

Poseidon Concepts (PSN on the TSX) was, and is, a big success – going from a 10 cent CPC 3 or 4 years ago out of Calgary - to about $16 before they took a big hit 3 weeks ago. They are in the same space as GGX.

 

If you see the link to Poseidon Concepts below, you will see how fast GGX could ramp up their number of units:

 

http://poseidonconcepts.com/About-Poseidon/The-Story-of-a-Better-Tank-Solution/index.php

 


Read more at:

 

http://www.stockhouse.com/blogs/viewdetailedpost.aspx?p=157150#42tuaTlkRwW8JfRQ.99

 

 

Two things keeping the GGX SP down (but not for long, IMHO) are these two things:

 

- They are doing a small financing for $500k. In my educated opinion, it should be just about closed.

 

- The Exchange made them include in a NR that they had permission from the AGM to do a 2 for 1 rollback. I absolutely don’t see it actually being carried out. All the company guys are shareholders and know it would hurt their holdings. My belief is we will see a lot of revenue over the next year or two – and a share buyback.

 

GGX is going to do very well, IMHO. I really like it at this SP. I think its leg-up will be coming fast!

 

 

 

Blue River Resources (BXR on the TSX-V)

 

 

After hanging in nicely in a very bad year, the last few months have been ugly for BXR –and it’s down over 50%. I absolutely think a comeback – and a big one – is in store for Blue River......AND FAST!!!

 

I am very confident that the BXR players will be able to overcome the “deal fatigue.” This group has put a lot of sweat equity into the stock – and this “isn’t their first rodeo.” Drill results are coming and they have had time to use their resources. In times like these, it is tough, but there is a LOT of opportunity.

 

 

Copper Mountain

  • The Castle Copper Play is quite close to Copper Mountain (CUM on the TSX), Canada’s newest copper producer. CUM has climbed from $3.20 to the $3.70’s over the last while - and there is much speculation that it is a takeover target. That makes the Castle Copper Play, a property that can potentially provide CUM with ore for their smelter, even more attractive. The Nicola Fault, that appears to control the mineralization at Copper Mountain, runs through the Castle Property for 8 Km.

A note re Copper Mountain:

 

CUM was $2.60 in early Sept. The Street thinks it looks like a possible buy-out at a much higher price. We will see.

 

I believe in BXR Management and feel they have been very active looking after shareholders’ (i.e. their own) interests. As such, I believe a BXR SP leg-up to be imminent.
 

 

Yangaroo (YOO on the TSX-V)

 

Since I first blogged on YOO on Nov 28 of 2012, it has traded well over 9 million shares – and gone from 3 ½ cents to a high of 5 ½ cents. Considering that two weeks are dead over the holidays, it really is 9 million shares of volume over about 6 weeks.  Two weeks ago it got smacked for over 800k on one day by ANONYMOUS (my educated guess is a specific entity had the proverbial gun to their head), but the market showed extreme robustness and the selling was gobbled up. These “walls” of stock have kept it from soaring, but I think a good amount of the “overhang” has been cycled and feel very, very good re where they are heading.

Let’s go over a few things:

Consider YOO vs. Destiny Media (DSY on the TSX-V), a company that is somewhat in the same space:

 

The DSY market cap is $36.12 million. YOO’s market cap is $6.28 million.

DSY’s revenue is stagnating. YOO’s revenue is growing 20% quarterly.

DSY in Q3 2013 did $941k in revenue. YOO in Q3 2013 did $753k in revenue.

Going by the 20% growth YOO has been showing, that puts their revenue at an estimated $903k in Q4 2012 and 1.084 million for Q1 2013 – i.e. YOO should surpass DSY’s revenue in Q1 2013, if one goes by the above.

 

You can read into the above re how revenue growth would / will affect YOO’s SP and market cap.

 

Some more points:

 

- My numbers tell me that YOO’s high operating income should put YOO in the black in Q1 2003.

 

- Yes, YOO has 156.9 million shares out. I strongly believe (please see my last point), though, that they will institute a share buy-back program in late 2013 or early 2014.

 

YANGAROO LAUNCHES MAJOR NEW FEATURE FOR DELIVERY OF TELEVISION ADVERTISING – and gets Horizon Media (the largest independent media-buying service in the world) adoption of the new technology.

 

2012-12-11 09:07 ET - News Release

 

Here is a paragraph from the NR:

 


“YANGAROO is pleased to announce the release of "Reporter", a significant new feature, described by our Advertising Industry customers as a "game changer". Designed to save time and money, the feature was developed in response to a request from our customers, to automate a largely manual spot delivery confirmation process. This first to market feature gives our customers a benefit not available elsewhere. The enhancement adds another dimension to our state of the art High Definition digital delivery service.”

 

And here is a link to the NR:

http://yangaroo.dmds.com/news/pr/yangaroo-launches-major-new-feature-delivery-television-advertising

 

And here is why “Reporter” is such a “game changer.”

 

- It has features for the advertising companies that nobody else has.

-Horizon Media wanted it…..badly.

- Competitors DG and Extreme Reach can’t do what YOO can now do for their clients.

- If you can believe it, these things were being done by fax – and it’s 2012! As such, it takes a lot of manpower and leads to inaccuracies. The faxes show when commercials are (or going to be) programmed, whether they meet the specs wanted, etc., etc. As the specs are not always the right specs, it means a lot of resending, etc.

- The ad agencies have to employ quite a few people to monitor these fax rooms (See above).

-YOO has a huge advantage over the competition – and therefore, they will get more agencies on board.

-The above will mean more business - and more revenue.

-The competition can build this type of technology, too – but it will take at least six months to a year. In that time, YOO will be servicing their clients and will be building the next state of the art technology for their clientele.

 

 

YANGAROO CLOSES PRIVATE PLACEMENT

2012-12-13 14:55 ET - News Release

Yangaroo Inc.'s recently announced private placement has closed, raising aggregate gross proceeds of $315,000, of which $140,000 was invested by company insiders.

 

Here’s a link to the NR:

http://www.stockhouse.com/companies/stories/v.yoo/8690607

The insiders buying the PP above the SP shows clearly where they feel the fundamentals and SP are going.

 

An important advantage:

 

- YOO is fully electronic – i.e. “robots do all the work.” While YOO can and will move instantaneously to gain market share, the competition, IMHO, is burdened with infrastructure.

 

More Advantages:

 

- Management and the BOD are excellent. Two of the Directors are heavy institutional players. And President & CEO Gary Moss moved from IMAX, where he was the CFO in charge of their $350 million in revenue. - YOO has proven and innovative technologies.

 

- The market space is rapidly expanding.

- Barriers to entry are getting higher.

- YOO has few competitors

- YOO has “strong intellectual property rights and defenses.”



The Nov. 28 jimrockford blog had a lot of info on YOO. It’s a good place to start your own DD:

 

http://www.stockhouse.com/blogs/viewdetailedpost.aspx?p=156383

 

As of their Jan 16 NR, YOO can now add the Latin Grammy’s to the list of awards shows that now use YANGAROO Awards solution. Added to this are The Grammys, The BET Awards, The MTV Music Video Awards, The MTV Movie Awards, The Academy of Country Music Awards, The Soul Train Award, and The Junos, among others. Here is the NR:

 

http://www.stockhouse.com/companies/stories/v.yoo/8712818

 

It's my considered opinion that fundamentals / material changes (i.e. in technology, customer base and revenue momentum, etc.) make today's SP considerably lower than it should be. I am very enthused for 2013.

 

 

 

 

 

Macmillan Minerals (MMX on the TSX-V)

 

 

This is very important:

 

First Majestic Announces Friendly Acquisition of Orko Silver.

 

http://www.stockhouse.com/companies/stories/v.ok/8691767

 

 

“First Majestic said its offer of 0.1202 of a common share of First Majestic plus
.0001 in cash per Orko share implies a value of $2.72 per Orko share, or a total consideration of approximately $387 million.” MacMillan Minerals (market cap of $1.93 million) Anna and Brenda claims, border Canasil (market cap of 10.36 million) and Orko (the $387 million takeover being pursued) on strike to the south.

 

MacMillan was in the 5 to 7 cent range when I started buying MMX in early Sept. It has been as high as 13 ½ cents since – i.e.  A very nice profit could already been had. Today, it has only a 3 cent bid.

 

My DD tells me there is no material change in the company. The remaining three holes on the Lac Cucharas Project are very close to being NR’d, IMHO.

 

As I’ve written, I really like the Cerro de Oro, which is very close to. It is within trucking distance of the biggest mine in Mexico, the Penasquito mine, owned by Goldcorp. Common sense says that Goldcorp, a major producer knows all about it. Diamond drill hole # 13 at Cerro de Oro (as shown in the PPT) was 85.5 m of 0.196 g/t Au 82.9 g/t Ag.

 

George Brown, the President of MMX, used to be the President of Duran (before I ever bought a share of DRV, as he had resigned a year or so earlier). During Brown’s tenure at DRV, their flagship property the Aguila was acquired – and he drove the SP up from not so much - all the way to over $3 bucks a share! Today, DRV is bid at 9.5 cents.

 

Re MMX, MMX has gone through a re-org, a listing on the CNSX and a long boring summer of 2012. IMHO, MMX really only started getting the motor running on this in Sept. of this year. So, in my books, it hasn't even had a 5-month shot.

 

The Corporate Update says they should get the next three holes probably in February. This has cost them momentum (again, it is bidding at 25% of what the price was a few months ago!).

 

http://www.stockhouse.com/companies/stories/v.mmx/8722787

 

And the new financing is also helping keep the SP down. IMHO, it should be closed in days:

 

http://www.stockhouse.com/companies/stories/v.mmx/8723095

 


I believe Macmillan is going to have a very good 2013. It definitely looks like it is at the bottom, with good things to come. I have been buying.

 

 

 

 

Pacific Potash (PP on the TSX-V)

 

I’ve had some people tell me that potash is over and wondering why I could really like a potash company. Well, I like potash in Brazil. On a macro level, consider these points:

 

 

- Brazil imports 80% of their potash

- Business and government are on-side re making Brazil net-exporters – not importers, of potash.

- In-country production is much more cost-effective for Brazil.

- The infrastructure is all there.

 

 

 

 

 

This December 13 takeover agreement of a small-cap Brazil fertilizer play (potash and phosphate) bodes very, very well for Pacific Potash - a small-cap Brazil (their best property) potash play.

 

http://www.stockhouse.com/companies/stories/t.rvd/8690762

 

The details:

 

Rio Verde Agrees to .40 Per Share All-Cash Acquisition by B&A Mineracao

 

- “Shareholders to receive .40 in cash per share - The transaction represents an unaffected premium of 56% to the 20-day volume weighted average trading price of .2568 based on trading to November 30 2012 - Rio Verde's Board of Directors unanimously recommend that shareholders vote in favour of the transaction.”

 

This is a $48.6 million takeover and it is grassroots – i.e. there are only two holes so far. It is, though, near the Sergipe Basin and the only producing potash mine in Brazil. This play is similar to those in the Amazonas Basin (i.e. To Pacific Potash, Brazil Potash and Cowley) in that the potash was discovered through the search for oil and gas. It is harder, though, to mine in this area than the Amazonas Basin.

 

 

V.PP as Real Estate

 

V.PP right now is really a real estate play - in the sense that "you always want to own the cheapest property on the most popular street."

 

Pacific Potash is contiguous to Forbes and Manhattan's (i.e. Stan Bharti's) Brazil Potash, which will have a $500 million to $1 billion valuation once it gets listed on Brazil’s BM&FBOVESPA Exchange in Q1 2013.

 

The V.PP Property is huge - i.e. it is as big as both Petrobras' and Brazil Potash's properties. It is a 50 km by 30 km property that is over 2 million acres (800,000 hectares or 3000 square miles). And note: It is early days here, as V.PP got this Amazonas Basin property a short while ago and only signed their geo, Dean Pekeski, on August 31st of this year.

 

I see V.PP as just finishing their 43-101, making their property payments (they have the money on hand - i.e. pre-PP, to do this), finishing their PP, and setting up their initial drilling i.e. – just keeping their nose clean. Meanwhile, Brazil Potash will do their 43-101, drilling and huge IPO, etc. and Cowley will do their 43-101, drilling and money-raising, etc.

 

A few more things:

 

- The numbers on this deal could be huge.

- No doubt they are talking to institutions.

- If things go right, this would be bought out way before they even thought about going into production.

- Western Potash had the property – but are paying attention and raising money for their Saskatchewan potash play – as the market wanted them too. They, smartly, though, kept a 20% interest and can back in for 49%. That, though, would be massively expensive to keep, and IMHO, it would be bought out way before that ever happened.

-World attention is coming to the Amazonian Basin

- In these situations, potash can be so far apart re its spacing, that an inferred resource can come relatively cheap.

 

Two things that should move the SP:

 

- These guy should get analyst eyeballs all over them once Brazil Potash IPO’s in Q1 2013.

 

- Once its $1.25 million financing is completed, the pressure should be off the SP, allowing for some lift.

 

 

The November 28 blog was the first one on V.PP and it contained a lot of DD. Here is the link if needed:

 

http://www.stockhouse.com/blogs/viewdetailedpost.aspx?p=156383

 

IMHO, V.PP has multi-bagger written all over it. I have been buying.

 

 

 

Alternet (ALYI on the otcmarkets.com)

 

 

Alternet couldn’t possibly have had a better January, on a fundamental basis. I will discuss this in a few paragraphs.

 

See the Letter to Shareholders of Nov. 14, 2012-12-16. My belief is that it is being followed to the letter.

 

http://www.otcmarkets.com/stock/ALYI/news

 

The billionaire telecom-owning Cisneros family has now taken an even greater position in ALYI, buying shares in the open market and increasing their position from 9.9% (over the 10% hurdle) to 11.9%. Through their involvement in PP’s – and the warrants that come with it – I believe that the exercising of warrants would give them over a 20% ownership position.

 

http://www.stockhouse.com/bullboards/messagedetail.aspx?p=0&m=31873298&l=0&r=0&s=ALYI&t=LIST

 

And I find very interesting the hypothesis put forward by poster ‘donknowmuch’ that the Cisneros might be part of Utiba – the other partner in Utiba Americas. Here is DKM’s excellent post:

 

http://www.stockhouse.com/bullboards/messagedetail.aspx?p=0&m=31892808&l=0&r=0&s=ALYI&t=LIST

 

 

As stated, ALYI has opened the year with a bang! They have had two 8K Material Filings and Utiba was invited to a very important and exclusive Symposium put on by Citi Group. IMHO, this is going to lead to very big things.

 

 

Below are links to the two 8K (Material Change Filings) filed on January 17th along with the pertinent parts and some discussion:

 

Here is the first 8K Filing:

http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=9022231

On December 17th, 2012, Alternet Systems, Inc. (the "Registrant"), through its majority owned subsidiary Alternet Transactions Systems, Inc. DBA Utiba Americas, entered into a license sale agreement (the "Agreement") with Digicel Group Limited (the “Client”), a mobile network operator operating in the Caribbean and the Pacific, for the purchase of the Utiba software platform for mobile financial services. The sale was recorded for the period ending December, 2012, with the receipt of the purchase order. The agreement, signed December 17th, 2012, commits Alternet subsidiary, Utiba Americas, to customize, deliver, install and test the Utiba Mobility mobile financial services software, as well as migrate the data from an existing system in use by the Client, in one initial market in the Caribbean, with potential expansions in their regional operations in 20 countries, subject to performance.

 

The following is from Digicel’s website:

“After 11 years of operation, Digicel Group Limited has over 12.8 million customers across its 30 markets in the Caribbean, Central America and the Pacific. The company is renowned for delivering best value, best service and best network.”

 

“Digicel is incorporated in Bermuda and its markets comprise: Anguilla, Antigua & Barbuda, Aruba, Barbados, Bermuda, Bonaire, the British Virgin Islands, the Cayman Islands, Curacao, Dominica, El Salvador, Fiji, French Guiana, Grenada, Guadeloupe, Guyana, Haiti, Jamaica, Martinique, Nauru, Panama, Papua New Guinea, Samoa, St Kitts & Nevis, St. Lucia, St. Vincent & the Grenadines, Suriname, Tonga, Trinidad & Tobago, Turks & Caicos and Vanuatu. Digicel also has coverage in St. Martin and St. Barts in the Caribbean.”

 

“Visit www.digicelgroup.com for more information.”

 

And the following is from a writeup/s by the poster, DKM (Kudos to him. It is great DD):

“Here I spell out my version of what  is really being said in the first 8-K filed yesterday regarding Digicel: “The agreement, signed December 17th, 2012, commits Alternet subsidiary, Utiba Americas, to customize, deliver, install and test the Utiba Mobility mobile financial services software, as well as migrate the data from an existing system –Yellow Pepper - in use by the Client, in one initial market - Haiti in the Caribbean, with potential expansions in their regional operations in 20 countries, subject to performance.”

 

***

 

“I am not sure exactly when I started to make notes on Yellow Pepper but the more notes I made on both Digicel and Yellow Pepper,  the more I convinced myself that Alternet was, or would be, involved.”

 

“The first note I have on YP is from the following article: Latin America’s Leading Mobile Money Providers - January 10, 2011

 

http://www.latinbusinessblog.com/mobile-money-programs-lac/

 

 

“Founded in 2004, Yellow Pepper provides mobile financial services throughout Latin America by partnering with mobile network operators and financial institutions in the region. Yellow Pepper’s technology serves more than 2 million customers in Colombia, Peru, Ecuador, Guatemala, Dominican Republic, Bolivia, Haiti, and Panama.”

 

“The company’s open architecture platform allows banks, mobile network operators, merchants, and consumers to access its network.”

 

“In October 2010, Yellow Pepper received the first equity investment in a mobile banking firm in Latin America by the International Finance Corporation (IFC), the private sector arm of the World Bank Group. This is an important distinction when you consider the role of multilaterals in helping to advance regulation.”

 

***

 

“In March 2012 there was a rumour posted on Twitter that Yellow Pepper was going to change its platform and use the Utiba platform, however, I could not substantiate the rumour. I believe the following information is from the Yellow Pepper website - and it is interesting to note the overlap in some areas with Alternet:”

 

“Operates in: Bolivia, Colombia, the Dominican Republic, Ecuador, Guatemala, Haiti, Mexico, Panama and Peru.”

 

“Partners include: Western Union, Coca Cola, SAB Miller, Scotiabank, Banco Pichincha (Ecuador), MiBanco (Peru), Banco Crédito del Perú, Grupo Aval/ Banco de Bogotá (Colombia) and Credibanco Visa (Colombia); Digicel Haiti with which it has issued 500,000 mobile wallets; mobile telcos Orange (Dominican Republic), Comcel (Colombia), Entel (Bolivia), Cable & Wireless Panama, Claro (DR, Ecuador, Guatemala, Panama, Peru), Movistar (Colombia, Ecuador, Guatemala, Panama, Peru), Tigo (Bolivia, Colombia, Guatemala), Nuevatel (Bolivia), Alegro (Ecuador).”

 

 

Here is the second 8K Filing:

http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=9022246

On December 21st, 2012, Alternet Systems, Inc. (the "Registrant"), through its majority owned subsidiary Alternet Transactions Systems, Inc. DBA Utiba Americas, entered into a license sale agreement (the "Agreement") with Astra DTS Holdings, Inc. (the “Client”), a payment service provider operating in the Honduras and Central America, for the purchase of the Utiba software platform for mobile financial services. The sale was recorded for the period ending December, 2012, with the receipt of the purchase order. The agreement, signed December 21st, 2012, commits Alternet subsidiary, Utiba Americas, to customize, deliver, install and test the Utiba Mobility mobile financial services software, in one initial market in Central America, with a potential expansion in five additional markets.

In reference to the company mentioned in the second 8K, Astra DTS Holdings, I did some due diligence – and they are among the heaviest hitters in the Honduras.  That makes me believe they can easily wrap up the mobile commerce space in Honduras and take a good chunk of the Central American business, as the 8K says they plan to.

 

Here are three of the four Directors:

 

Ricardo Rodolfo Maduro Joest (born 20 April 1946 in Panama) is a former President of Honduras and Bank of Honduras chairman. Maduro graduated from The Lawrenceville School (where he was awarded the Lawrenceville Medal, Lawrenceville's highest award to alumni) and later Stanford University. He was President between 27 January 2002, and 27 January 2006, representing the National Party of Honduras (PNH).

 

Camilo Atala, Grupo Ficohsa’s chairman: Ficohsa Financial Group (GFF) Ficohsa Bank's main shareholder, is the bank with the most capital in the Honduran financial system and Ficohsa Insurance is the largest company in Honduras in terms of net premiums and the sixth largest in Central America.

 

Jorge Canahuati has been in the media industry for 28 years and is currently the CEO of OPSA, the most successful media publishing company in Honduras. Canahuati has overseen the growth of OPSA from a print to multimedia service. Canahuati is also a member of the Executive Committee for the Inter American Press Association and has been for the past 4 years.

 

 

Below is a link to very short list of speakers at the Citi and Imperial College London Symposium of January 29th : Delivering on the Promise of Digital Money, Capturing the Seeds of Growth. I am certain the fact that Utiba Co-Founder Justin Ho was with these top industry international hitters will prove quite auspicious:

 

http://www.citibank.com/icg/sa/digital_symposium/hosts.jsp

 

Speakers at the Citi & Imperial College London Symposium

Claire Alexandre
Head of Commercial and Strategy
Vodafone Group

Greg Baxter
Global Head of Digital Strategy
Citi

Ann Cairns
President, International Markets
MasterCard Worldwide

Don Callahan
Chief Technology & Operations Officer
Citi

Professor David Gann
CBE Deputy Principal, Research and Business Engagement
Imperial College Business School

Dr. Ruth Goodwin-Groen
Managing Director
Better Than Cash Alliance

Justin Ho
Co-Founder
Utiba Pte Ltd

Dr. Thaer Sabri
Chief Executive Officer
Electronic Money Association, UK

Dr. Jochen Schanz
Advisor to the Monetary Policy Committee
Bank of England

Ashwin Shirvaikar, CFA
Director
Citi Investment Research

Naveed Sultan
Global Head
Treasury & Trade Solutions
Citi Transaction Services

 

Re ALYI, I and others have had to make like Columbo (here I date myself) trying to uncover what they are doing and the extent of their operations. I can say categorically that ALYI now has a huge amount of the market share in its space, billionaire owners investing in them (and their JV partner...?)  and the biggest possible industry partners. Make no mistake. ALYI, in terms of fundamentals, is, in my educated opinion, a dream.

                                

 

 

 

Canada Strategic Metals (CJC on the TSX.V)

 

 

As I see it:

 

- CJC needs the government of Quebec monies, ASAP.

 

- CJC needs to put out a plan of action.

 

- A lot of the sellers have been rare earth investors.

 

- I like graphite and think they will get their fair share of those investors.

 

Samples are coming and drilling is happening.

 

All in all, I like CJC at this SP.

 

 

 

Duran Ventures (DRV on the TSX-V)

 

Duran Signs Definitive Agreement with Rio Alto Mining for Minasnioc and Ichuna Properties in Peru

http://www.stockhouse.com/companies/stories/v.drv/8720171

This means there is a lot of drilling happening.

As stick2facts posted, the warrant exercises by Rio Alto represent $625k by March 2014 and $875 by March 2015. “That represents a lot of guaranteed survival money in these markets.”
 

I have to say, I hope these guys do well.

 

 

Amerix (APM on the TSX-V)

 

AlthoughAPM is getting into roll-back territory (and the last roll-back, as I predicted, was never recovered from), I doubt it will occur.

2012 Phase 2 Drill Results at Amerix's Limao Gold Property, Brazil

http://www.stockhouse.com/companies/stories/v.apm/8715736

APM had drill results, but the market thought they were light. I’m inclined to think, though, that the APM SP has gone down too far and that will do nicely from here. I am not a shareholder again......yet.

 

 

Novadx Ventures (NDX on the TSX.V)

 

What a missed opportunity. I certainly hope the best for shareholders, but truly the past President took a great situation and, well,....look at it now. My guess is it is probably everyone else’s fault!

 

I am doing DD on NDX and will get the results on SH.

 

 

 

 

Brixton

 

I am in touch with some people re Brixton and am doing a little “reverse engineering” to see just how deep RS is in the mud now.

 

I will say, though, that the loss of Matt Dodwell (and I haven’t seen a NR re this) is huge. Dodwell is the (very competent) guy who plotted the blueprint that RS is now trying to follow. We’ll see if RS can do that while sitting on his couch playing Black Ops. (Yep, that’s apparently now the game of choice of the top Kerrisdale oil and gas tycoons).

 

 

Cheers.......and inbox me with any questions you have about these companies.

 

 

Jim