OTCPicks.com Daily Market Movers Digest Midday Report for Thursday, January 17th
OTCPicks Publisher Newsletter
OTCPicks.com Daily Market Movers Digest Midday Report for Thursday, January 17th NEWL, RIGH, SFMI, EVCA, AAPH, MDCE Our Stocks to Watch today include NewLead Holdings Ltd. (Nasdaq: NEWL), RightSmile Inc. (OTC: RIGH), Silver Falcon Mining Inc. (OTCBB: SFMI), EVCARCO Inc. (OTCBB: EVCA), American Petro-Hunter Inc. (OTCBB: AAPH) and Medical Care Technologies Inc. (OTCBB: MDCE).
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NEWLEAD HOLDINGS LIMITED (NASDAQ: NEWL) “Up 57.03% in morning trading” Detailed Quote:
http://otcpicknews.com/emailmarketer/link.phpM940&N65&L86&F=T NewLead Holdings Ltd. is an international, vertically integrated shipping company that owns and manages product tankers and dry bulk vessels. NewLead currently controls 8 vessels, of which two are double-hull product tankers and 6 are dry bulk vessels including one vessel currently under construction that is scheduled to be delivered in the third quarter of 2012.
NEWL News:
January 17 – NewLead Holdings Ltd. Announces Signing Agreement to Acquire Properties with Estimated Coal Reserves of 18.6 Million Tons; Signing Agreement to Acquire Properties with Estimated Coal Reserves of 143.1 Million Tons and Securing 3-year Coal Supply Contracts Expected to Generate $873.5 million of Revenue NewLead Holdings Ltd. (Nasdaq: NEWL) (“NewLead”) announced that the Company has entered into an agreement to acquire title and excavation rights in properties containing 18.6 million tons of estimated coal reserves for $11.0 million. NewLead also entered into an agreement to acquire ownership and leasehold interests in properties containing approximately 143.1 million tons of coal for $55.0 million.
Michael Zolotas, President and Chief Executive Officer of NewLead, stated, “We have expanded our recently launched commodities business with the agreement to acquire an estimated 18.6 million tons of coal reserves. We are in the process of acquiring additional coal properties with reserves estimated at approximately 143.1 million tons. Once we have acquired all of the assets, our coal reserves will consist primarily of sub bituminous B coal, which is 13,500 BTU with low sulfur. We will also have `Blue Gem` and `Rich Mountain` seams of coal, highly sought after in the international market. We believe that our international shipping expertise will allow us to exploit the demand for these coal reserves.” Michael Zolotas continued, “In entering the mining business, we undertook to secure supply contracts for the coal reserves. Consequently, we entered into two agreements to supply coal to third parties. These agreements are expected to generate $873.5 million of revenue over a three-year period.
Based on our projections of operating costs, we believe that these sales will have healthy margins and will generate significant cash flow with which to fund continued growth. We intend to supplement the supply agreements by allowing contract miners to mine and pay us a royalty for coal removed.” Coal and Natural Gas Reserve Acquisitions As of December 28, 2012, NewLead entered into an agreement to acquire title and mineral excavation rights to 5,000 acres of land in Kentucky. The coal reserves in these properties are estimated to be approximately 18.6 million tons. The transaction is subject to execution and delivery of certain definitive agreements and other closing conditions, but is currently expected to close by January 29, 2013. There can be no assurance that the transaction will be consummated. The consideration of $11.0 million was paid in the form of notes maturing on January 29, 2013. The notes do not accrue interest, but remain subject to a guaranty by the initial purchaser and are secured by a mortgage lien and a security interest in the assets being purchased.
NewLead has also entered into an agreement to acquire ownership and leasehold interests in 18,335 acres in Tennessee containing coal and natural gas and other natural resources. The agreement contemplates that the Company will acquire rights, title, permits and leases to coal mines with total reserves estimated at 143.1 million tons. The transaction is subject to execution and delivery of certain definitive agreements and other closing conditions, but is currently expected to close in February 2013. There can be no assurance that the transaction will be consummated.
The agreement contemplates that consideration of $55.0 million shall be payable in cash in two installments; $30.0 million at closing and the remaining $25.0 million on the first anniversary of the closing.
The estimated reserves stated above are as determined by independent appraisals. The methodology used by the independent appraisers was not compliant with the methodology required by the Securities and Exchange Commission (“SEC”) in reserve reports and, accordingly, should not be relied upon. Such reserve information is only provided to give the best currently available information. NewLead is undertaking to obtain reserve reports that comply with SEC methodology. Such reports may differ materially from the information provided herein.
The properties in Tennessee and Kentucky also include natural gas wells and projects relating to extraction of timber, sand, gravel, fly ash and dimension stone. Third parties are currently extracting these commodities on the properties and paying royalties.
Coal Supply Contracts NewLead signed two coal supply contracts with creditworthy counterparties for the sale of coal to such parties. Annual revenue from these two contracts is expected to be $184.7 million in the first year, $318.4 million in the second year and $370.4 million for the third and final year.
The first contract provides for the sale of 70,000 tons of coal per month for the first 12 months (840,000 tons annually), increasing to 140,000 tons per month for the second year (1.68 million tons annually) and 210,000 tons per month for the third year (2.52 million tons annually). All tonnage is subject to a variation of 5%. The price was established based on the prevailing market price for coal at the time the contract was entered into.
The second contract provides for the sale of 130,000 metric tons per month for the first 12 months (1.56 million metric tons annually), increasing to 210,000 metric tons per month for the second and third years (2.52 million metric tons annually). All tonnage is subject to a variation of 5%. The price was established based on the prevailing market price for coal at the time the contract was entered into.
NewLead intends to source the coal to meet such contracts from the estimated reserves discussed above, but to the extent it is unable to do so, it will be required to seek to source the coal from other suppliers at the prevailing prices.
Management Company NewLead also entered into an agreement to acquire a local coal mining management company in exchange for compensation, paid in the form $3.0 million in common shares of NewLead and a warrant for $6.4 million in common shares of NewLead. Such acquisition is subject to a number of terms and conditions and there is no assurance it will be consummated. The management company shall be responsible for managing the daily operations of the coal mines and the excavation of the coal from the properties.
BG MEDICAL TECHNOLOGIES INCORPORATED (OTC: RIGH) “Up 100.00% in morning trading” Detailed Quote:
http://otcpicknews.com/emailmarketer/link.phpM940&N65&L72&F=T BG Medical Technologies develops technology and research software for the health industry with a focus on patient solutions for natural and herbal treatments, including medical cannabis. The Company collects data through a network of proprietary software, utilized by patients, retail operators, and medical professionals. The Company`s current flagship product, BudGenius.com, is a social web platform designed to assist cannabis patients in selecting regionally available medicine that is paired to their needs. The Company operates an analytical chemistry laboratory designed for natural medicine study, utilized to determine potency and safety guidance for patients and medicine manufacturers.
RIGH News:
October 23 – Baron Capital Issues Update: Series AA Preferred Reduced To 643,500 Shares Outstanding Baron Capital Enterprises, Inc. (BCAP) announces that the Company has sold all of its shares in RightSmile, Inc. (OTC: RIGH) and has no other debt available to convert. The Company will use the funds to offset costs associated with the Audit and S-1 filing that the Company is preparing to file and fund operations through the year end.
The Company has reached an Agreement with RIGH to extend a $200,000 Note that was due on October 18th until January 18th, 2013 to allow them to secure financing. As part of the deal, Baron has offered a 25% discount to the principal amount if a cash payment was made.
The Audit for the Company is moving forward without any issues. The Company is preparing “Confirmation Letters” for all Attorneys used by the Company, for all bank accounts, for all debt holders of Baron in previous years, and for all Convertible and demand loans Baron has for other Companies. This is standard practice to verify with third parties the information Baron is stating is true and accurate.
The Company is pleased to announce the reduction in its Series AA Preferred shares to 643,500 shares outstanding at this time. The Series AA where created for use in voting and never intended to be used as a tool to convert into large amount of Common shares. The Company will work to eliminate more of the Preferred prior to the S-1 filing.
During the month of October the Company will be updating shareholders on the following items:
* Transfer Agent Acquisition * Audit for the Subsidiary * Write off of accumulated salary.
More updates on the Company to follow over the coming weeks.
SILVER FALCON MINING INCORPORATED (OTC: SFMI) “Up 1.65% in morning trading” Detailed Quote:
http://otcpicknews.com/emailmarketer/link.phpM940&N65&L71&F=T Silver Falcon Mining, Inc., is an exploration and development Company specializing in high-grade Gold and Silver mining properties in North America. For further information, visit www.silverfalconmining.com.
SFMI News:
January 11 – Silver Falcon Mining, Inc. Provides Bullish Outlook on Its 2013 Mining Operations Silver Falcon Mining, Inc. (OTCBB: SFMI) reports on its mining and milling operations, as management remains bullish on anticipated 2013 activities.
Diamond Creek Mill The Company`s Diamond Creek Mill`s designed gravity feed circuit has been temporarily shut-down for its yearly heavy maintenance and component recalibrations. At the same time, the integration of the new floatation cell circuit is being added as a new component to the existing mill circuitry. Early testing of tailings material, from the floatation cells, reveals a significant improvement in recovery values of ALL precious metals. Management feels that once the flotation circuit is fully operational in the ensuing weeks, this will greatly improve bottom-line for the 2013 operational year.
The “Conditional Use” application for full implementation of the permitted closed-loop leaching system remains on-going and on scheduled without delays.
Further, management reports that work on the permanent storage of mill tailings will begin in earnest.
Diamond Creek Metallurgical Lab The Company`s metallurgical laboratory building which contains, the Bullion Dore facility, the lab facility and the secured vault, has been fully erected. Company workers are finishing the remaining interior architectural components, allowing this facility to be fully operational.
Sinker Tunnel Gold Project The Company has been working within the Sinker Tunnel Gold Project as per directives approved by SFMI`s Board of Directors. Due to mining rules, only SFMI personnel will be allowed inside the fenced in parameter of the project. As drilling, bolting, shoring, and exploration proceeds over the upcoming months, management will report as necessary on these operational developments.
Management remains excited about the fact that these are the first mining activities on War Eagle Mountain in over a century.
Pierre Quilliam, CEO, states, “After two years of efforts, both at the mill site and at the Sinker, it is very gratifying to see our efforts maturing.
From a barren 20-acre site, the Diamond Creek Mill Facility has risen into an agglomeration of infrastructures, buildings, and equipment. The Company has one objective, to extract and deliver as much precious metals to the world markets as we can produce profitably from our holdings.” He further mentions, “This is the year where production will become the mainstay of SFMI`s objectives and operational motives. This in turn should deliver significant revenue to the Company and growth of shareholder values.” EVCARCO INCORPORATED (OTC: EVCA) “Up 108.33% in morning trading” Detailed Quote:
http://otcpicknews.com/emailmarketer/link.phpM940&N65&L52&F=T EVCARCO, Inc. is the first automotive retail group dedicated to deploying a coast-to-coast network of environmentally friendly franchised dealerships and vehicles. EVCARCO is bringing to market the most advanced clean technologies available in plug-in electric, alternative fuel, and pre-owned hybrid vehicles from multiple manufactures. EVCARCO Future Driven EVCA News:
February 22 – EVCARCO, Inc. Signs a Memorandum of Understanding With HFX, Inc.
EVCARCO, Inc. (OTCBB: EVCA) announced that the Company has signed a Memorandum of Understanding (MOU) with HFX Laboratories, Inc. regarding the market development, testing and licensing of the HFX4 Hydrogen Hybrid Combustion/Fuel Enhancement Systems.
EVCA will establish retail distribution for the HFX4 System through its dealerships and showrooms upon completion of Due Diligence. The HFX4 Hybrid System is a unique product that produces hydrogen gas for use as a catalyst in the vehicle`s combustion system. The hydrogen catalyst is introduced into the vehicle`s air intake to completely utilize the fuel in the combustion process.
Mack Sanders, CEO of EVCARCO, remarked, “With gasoline prices reaching $4.00 a gallon in some areas and projected to go higher, the HFX4 System is a perfect fit for after-market vehicles. The HFX4 Hybrid System seems to be easy to install on an existing vehicle, improves performance, and claims to provide an increase in MPG and reduction in emissions. Upon completion of the Due Diligence, a Definitive Licensing Distribution Agreement will be entered into for the U.S., Canada, Mexico and Russia. The goal is to find in our Due Diligence, results of 20% to 35% improvement in MPG and a reduction in emissions in the range of 60% depending on engine efficiency.
AMERICAN PETRO-HUNTER INCORPORATED (OTCBB: AAPH) “Up 8.54% in morning trading” Detailed Quote: www.otcpicks.com/quotes/AAPH.php American Petro-Hunter is a goal-oriented exploration and production (E&P) Company aiming to become an intermediate level oil and gas producer within 12 months. The company believes that continued industry growth through the development and exploration of conventional domestic oil and gas reserves will provide the essential near-term stabilizing backbone and primary driver towards an American made economic recovery and restoration of our vital financial system to prosperity. With the achievable target of becoming a 1000 BOE producer as our goal, American Petro-Hunter is actively on the “hunt” for domestic petroleum.
AAPH News:
No recent news for American Petro-Hunter, Inc. (OTCBB: AAPH).
MEDICAL CARE TECHNOLOGIES INCORPORATED (OTCBB: MDCE) “Up 100.00% in morning trading” Detailed Quote:
http://otcpicknews.com/emailmarketer/link.phpM940&N65&L44&F=T Medical Care Technologies Inc. is traded under the symbol “MDCE” on the OTCBB and is headquartered in Beijing, China. MDCE, through joint ventures or Chinese subsidiaries, develops a network of children`s health facilities in the larger urban areas throughout China. Services are geared towards the advancing economic middle-class and upper class Chinese families.
Specializing in the care of children between the ages of 3 to 16, MDCE`s role is to enhance the overall well-being of the family and community and to expand its pediatric services to include preventative health and wellness education. MDCE, through its children`s health facilities, will also distribute a diverse range of industry-leading pharmaceutical and nutraceutical product lines. MDCE`s main mission is simple to become a healthcare service provider leader in children`s health.
MDCE News:
August 1 – Medical Care Technologies Inc. Gains Full Licensure from Government Medical Care Technologies Inc. (OTCBB: MDCE), a rapidly growing children`s healthcare service provider, announced that it has gained full licensure from two government departments to operate its children`s health and wellness center in Dongguan, Guangdong Province, China.
Medical Care Technologies Inc. moves another step forward in its project to bring an enhanced and integrated healthcare service to children and their families. Dongguan`s Department of Urban Planning and Dongguan`s Department of Health have given the Company the green light and have approved the site plan for a new children`s health and wellness center. The approvals mark a major step forward for the Company`s plan to bring a higher level of healthcare for communities in China`s southern Guangdong Province.
The Company`s Chinese subsidiary, Teddyberry and Company will locate its first 4,000+ square foot flagship children`s health center in Dongguan, located within a metropolitan area of 10 million people with an estimated 1 million children.
This is a momentous occasion for our team, but it`s also great news for our surrounding communities and the patients and families we will have the pleasure to serve,” said Luis Kuo, Chief Operating Officer of Medical Care Technologies Inc. “The establishment of this health center is truly an advancement in integrated healthcare in this community, and one that will impact the lives of many children and families in years to come.” The approval of the project is the culmination of many months of strategic planning, including the formation of a world-class Medical Advisory Board with the right mix of expertise and compassion, and a recently held corporate summit held in Dongguan and Beijing with the Board of Directors, Management Team and Chinese health officials.
“We`re excited to move forward with our plan to better meet the growing healthcare needs of children and their families,” said Ning Wu, President and Chief Executive Officer of Medical Care Technologies Inc. “We appreciate the continued support of city and provincial leaders and we look forward to working together.” OTCPicks.com is located at 3533 Twin Lakes Drive, Prosper, TX 75078, Telephone: (972) 546-3740, Email: Publisher@OTCPicks.com.This email address is being protected from spam bots, you need Javascript enabled to view it.
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