Once again UC and RG caught us all off guard with an announcement no one expected, and no this is not the first time this has happened. After speaking to Urban at the Topeka race back in May I was led to believe that UCAD was not a part of CMKX’s bigger picture. The pictures of the funny car were removed from the UCAD web site and the UCAD stuff was stripped from the car before the Topeka race. In fact Mr. Casavant lead me to look in a totally different direction in regards to one of the other JVs. Now we are swapping shares with UCAD and their Parent company Nevada Minerals for interest in their claims and ours.

We are being led to believe now that there will be no deals with the MMs, that it is Illegal or whatever other reason you can come up with. I feel this could be another ruse just like the UCAD SGGM and GEMM deals. Remember that we started off Looking at GEMM (Juina) back in Febuary then all of a sudden the deal was made between UCAD and GEMM and now we are going to end up with a possible 220+ million shares and 49% interest in them. Please note that not one word was leaked or mentioned about any of these deals prior to it happening.

Now lets take another look at what is known at this time, and what we are being told is happening…


What we know is this;

1. We are getting shares of UCAD PRed

2. We are getting shares of GEMM on October 1st PRed

3. We are getting shares of Casavant International Mining (CIM) PRed

4. We Just received 200billion shares of SGGM PRed

5. If we figure the daily volume average of 3.2 billion shares traded every day since Feb 1st 2004 were sells to the float and came only from the AS since we became CMKX plus the 10 billion that existed at the time of the Ticker symbol change. Our MAX FLOAT could only be 147 trading days x 3.2 billion per day plus the 10 billion already out there or (147 x 3.2 billion) + 10 billion That's 470.4 billion plus 10 or 480.4 billion total. This is the absolute Maximum the float can be as of the end of the day 9-16-2004. The rest are restricted and part of the OS.

6. D. Roger Glenn’s involvement

7. Dr. Mark Hutchinson is now UCAD’s Geologist as per Rendell Williams web cast with Green Baron. Hutchinson was the Geologist for CMKM in Feb of 2003.

8. Arial Survey results indicate 100’s of anomalies on our claims PRed

9. First time Non magnetic Survey was done in the FALC area PRed

10. At last count 1.9 million acres in the FALC area PRed

I think you get the point here, I will look mainly at the first 5 anyway...

Now looking at the first 5 and we will speculate that there is a short issue on CMKX. It does not matter how big it is just that there is even one NSS of CMKX out there. This means that whoever issued that share must now short the Dividend shares that we are going to receive in order to cover that one share or buy back that 1 share he shorted. Lets say he wants to cover the divvy with another shorted share of the dividend shares. Now he has two but one is restricted so he feels OK with that, no worries for a year. So now fast-forward to the last dividend distribution date (I won't count SGGM because no PR has come out saying we will get those). For the 1-shorted CMKX share we now have a shorted share equivalent in UCAD, CIM and GEMM.

Now there are no worries on UCAD because it is restricted for at least a year. No worries on CIM because it is private for now and can be covered later. So the only one that is not private or restricted is the GEMM shares. Lets take each and decide what we want to do in each case.

First UCAD. Based on the current figure being showed and accepted by many of .0000962 we will get 96 shares of UCAD per million CMKX or a cash ratio .000048 so why would I buy back a shorted share of CMKX for .0004 when I can short UCAD and it costs me only .000048. 96 x $5.00 = $48.50 or 48.50/1 million = .000048… that's 1/10th of the current PPS of the CMKX shorted share… so I would short UCAD.

Now for CIM there is no Value for CIM and they are also restricted so no cost at all on that one. So I would short CIM also.

Lets see… that leaves GEMM trading at .04 and lets say there are 222 million shares distributed and use the same ratio basis as the UCAD shares, or 222 million / 779 billion or a ratio of .000284 or 284 shares per Million CMKX@ .03 or $8.32 per million (.000008 per share).

That means that for less than .00006 a share I can cover all dividends for shorted shares of CMKX and that saves me .00034 per share. Based on today's PPS.

This all allows me to cover when I want. I can wait for up to a year before anything needs to happen. CMKX I can cover on ups and downs during the next year thus avoiding a Squeeze.

Now a little speculation on why I do not think any covering is going on and why I think there is a deal between CMKM and a few of the MMs. I believe the Audit back in June took place with Mr. Casavant and Mr. Glenn knowing exactly where and how many shares are out there. I believe that the deal was made to hold the PPS around .0004 in order to insure that shareholders held fast to their shares and didn't give the shorter a chance to cover on the wild swings that Penny stocks normally see on the PRs that we have had. Just look at the divvies if CMKX went up just .0001 from where it is now. You could sell and not lose the value of the Dividend shares. But the shorter would then be able to cover by taking it up another .0001 then bringing it back down. The only Dividend you could not replace with the gains from trading on the rise and fall of the market would be the CIM dividends.

What would I then do if I were UC and RG? It’s simple… First I would show Valuation for CIM then Merge CIM with SGGM. This would in turn create shorted shares of SGGM because there would have to be shares of SGGM issued to CIM shareholders to facilitate the merger. This will be even more fun if SGGM has been shorted during the last 5 years of inactivity. Then I would show the Valuation for CMKX and merge SGGM with CMKX thus crating yet another short problem since now CMKX is still shorted and SGGM has inherited CIM’s short issue, but now they will have to cover at a set price according to the valuation of CIM and CMKX. I will bet anything that it will be more than .001 at .001 valuation. It would mean the Shorter would have to pay 10 times more for both CMKX and SGGM/CIM shares than they shorted at. Plus they would have to do it right now before settlement dates of the Merger; it would turn into a double whammy on the shorter. Plus now that there is a merger all restrictions are lifted on shares attached to the Merging shares. If GEMM is then merged with UCAD then all the UCAD shares become tradable and the same scenario plays out there as well. So now we have a quadruple whammy on the shorter. There are many possible combinations to the merger but the key to it all is keeping CMKX PPS flat until the valuation is revealed. This way no covering can take place. Remember the only way they cover is if WE the FLOAT sells.

Now I know there are a lot of you that think that covering is going on now. Ok let’s look at that then and what the possibilities are. We have shown what the maximum float can be based on the number of shares traded since the ticker change in Feb. Now what percent of the shares traded were covering? 10% 20% 50%? What ever you think the % is you would have to reduce the Maximum Float by double that percentage because we figured that all the shares were sold out of the AS to begin with. If 10% are covering we have to reduce the number out of the AS by 10% plus the 10% reduction due to the covering, or 20%. So if 10% of our 3.2 billion daily volume is covering then the float would only be 384 billion. So as you can see if there was covering going on in the last 7 months the Float has to be less and less the more covering that occurred.

Thanks for taking the time to read this post and please feel free to comment to me, Constructively, any time.

As always this is all based on some facts and a little or a Lot of speculation on my part. It is just my opinion… what I think could be happening and in no way is intend to be a recommendation to Buy or Sell any stock.

GLTA

Coreton

info posted by bchost.net - Stock Talk Chat Room