Wednesday 19 December 2018

Building The Green Energy Metals Royalty Company: John Davies, Director TNR Gold - "It Is Of My Opinion That Blockchain Technology Is The Next Great Evolution Of Financing."



The future of blockchain technology is one of untold promise, and within banking it will provide a more efficient, cost effective and secure manner for transactions. 
This will expedite investment, reduce barriers to entry and help further global economic growth. It is of my opinion that blockchain technology, is the next great evolution of financing. The evolution of 'crypto capitalism’ will further all stages of business, radically streamline costs and sure the highest possible amount of funds possible are solely directed to projects and connect global investment networks efficiently. 
At TNR Gold we endeavour to analyse this process in depth, ascertain how blockchain technology can be utilised in the future for capitalisation efforts for not only our consideration but for the entire mining and exploration sectors and those involved in commodities. 
TNR Gold, go beyond the Balance Sheet for we are the little company with the great ambition to better our world.
John Davies, Director TNR Gold Corp. 

LEGAL DISCLAIMER

Please read legal disclaimer. There is no investment advice on this blog. Always consult a qualified financial adviser before any investment decisions. DYOR.






Building The Green Energy Metals Royalty Company: TNR Gold Announces Strategic Initiatives - Convertible Royalty Debentures And Exploring Blockchain Technology In Order To Create Access To Capital Allocated For Crypto Assets.




"All junior mining companies are facing a lack of investment capital allocated to our sector in this part of the cycle. It is very difficult to raise capital on acceptable terms without excessive dilution for our shareholders by using only conventional avenues available for our type and size of the company; by issuing securities, using debt instruments or selling assets. We would like to proactively manage our capital base and start a strategic review of our royalty portfolio in order to optimize our holdings and meet strategic goals," stated Kirill Klip, Executive Chairman of TNR. "Among these strategic initiatives will be research and marketing of convertible royalty debentures - debt instruments allowing conversion directly into part-ownership of our royalty holdings; M&A activities aimed at creating partnerships on the basis of our royalty holding companies and exploring the opportunities provided by blockchain technology in order to create access to capital allocated for crypto assets. We are actively seeking partners who would like to connect their digital assets with our potential future royalty cash-flow streams."




Tesla Energy rEVolution And FinTech: How Blockchain Will Transform The Mining And Metals Industry.





We are discussing here the Tesla Energy rEVolution and the importance of mining and security of supply chains in order to make this transition to the Post Carbon Economy happen. Access to the advanced materials and Green Energy Metals are at the very base of the new distributed energy generation systems with smart grids which will power our future. The dramatic decrease in cost for Solar and Wind power generation is making it possible. Cheaper lithium batteries change everything. Now we can produce energy, store it and consume when we need it. Unbelievable performance of Tesla's electric cars clearly demonstrates the success in advancing of this technology.




Despite all incredible progress with the technology, which we are all enjoying at this moment, the very base of this leap into the future is still hardly revolutionized. Metals which are making all our gadgets tick are still at the mercy of the old multi-year long mining cycle. Extraction technology has improved, exploration is using more and more advanced methods, but still, you can hardly find really tectonic shifts which can break the cycle which is taking too long for the appetite of the modern investors. Maybe urban mining will become that thing when your exploration can be literally on the streets and the best extraction technology will define the success.




The other integral parts of the mining cycle: exploration and development of the new mining projects are literally in the free fall meaning that we are witnessing the very significant decrease in the amount of capital available for this activity and an even larger decrease in the number of the new projects being developed into the production stage.

Junior miners have been thriving for decades in this very important part of the mining cycle, but now financing flow available for this activity has dried up. Years of low commodities' prices, fear, uncertainty and doubt have pushed investors away from the junior mining sector. The demographic situation is not helping as well, Gold Bugs are facing extinction and millennials are chasing crypto bubbles.




There will be EToys and AtHomes of the crypto haze with found and lost fortunes along the way: there are more than 800 cryptocurrencies which are dead already. But if the Internet Revolution can provide us with any guidance the core technologies like Blockchain will stay. This sector has attracted and developed already a very significant pool of capital chasing the dreams.

All this situation can provide one of the best "Time Arbitrage" opportunities, as Mark Yusko - Morgan Creek Capital CEO - likes to talk about some of the investment ideas on his feed. Recent bloodbath in commodities was the result of the hotheads making even hotter headlines. Trade Wars come and go and unless there will be a total collapse of the financial system, critical commodities like copper will enjoy much higher prices. Actually, we can have now one of the best entry points in our sector now.




Price shocks are imminent and will be followed by the much higher prices for the Green Energy Metals. We have too mega trends colliding: The Switch to Clean Energy which will demand more and more energy metals like copper and production deficit which will be increasing every year with diminishing reserves and going down head grade. Resource nationalism will only exaggerate this looming supply deficit.




Our ability to cross this "digital divide" and connect capital chasing crypto bubbles with solid values provided by mining industry can determine the geopolitical future for many sectors of the evolving technologies like Solar, Wind, Energy Storage and Electric Cars. The alternative will be the Oligopolies controlling the supply of the critical commodities created by States and Sovereign funds backed by those states.




John Davies and I have started this conversation, which I would like to share with you today. The article below by Max Weiland provides some general ideas for integrating blockchain technology into the mining industry. I am personally very excited to explore these new opportunities which we can bring to our GEM Royalty TNR Gold. We would like to go further and find the way to engineer products which will be connecting capital allocated for FinTech sector and solid values provided by our potential Royalty cash flow streams in the future.  This will be the ultimate "Time Arbitrage". We are open to all new ideas and partnerships. Please step in and share your ideas - you know where to find us.



No comments:

Post a Comment