{"id":173158,"date":"2020-07-05T19:13:26","date_gmt":"2020-07-05T23:13:26","guid":{"rendered":"https:\/\/www.countingpips.com\/?p=173158"},"modified":"2020-07-05T19:13:26","modified_gmt":"2020-07-05T23:13:26","slug":"an-arbitrage-trade-between-omineca-and-49north","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2020\/07\/an-arbitrage-trade-between-omineca-and-49north\/","title":{"rendered":"An Arbitrage Trade Between Omineca and 49North"},"content":{"rendered":"
July 5, 2020<\/div>
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By The Gold Report – <\/b>Source: Bob Moriarty for Streetwise Reports<\/em> \u00a0\u00a007\/03\/2020<\/a><\/b><\/p>\n

Bob Moriarty of 321gold does the math on the two companies.<\/strong><\/p>\n

Omineca Mining and Metals Ltd. (OMM:TSX.V; OMMSF:OTCMKTS)<\/a> will be in production shortly at the Wingdam project<\/a> on Lighting Creek in BC. They are being very quiet about it but it’s happening<\/a>. That’s a big deal and why the shares have shot from $0.15 in the middle of May to a high of $0.70 on July 2, 2020. Tom MacNeill as President and CEO heads Omineca.<\/p>\n

The MacNeill family also runs a company named 49North Resources Inc. (FNR:TSX.V)<\/a> that is pretty much a fund holding positions in about 60 different juniors in both energy and minerals. FNR owns 45 million shares of OMM. With OMM at $0.68 that makes the portion owned by FNR worth about $30 million.<\/p>\n

With FNR shares selling for $0.14, that makes FNR’s market cap about $11.6 million. FNR does have debt in the form of a convertible debenture but they also have pieces of about 59 other companies than Omineca.<\/p>\n

So if you buy 49North shares today you are basically buying Omineca shares at half price.<\/p>

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Omineca Mining is not an advertiser and I have no financial relationship other than having participated in the last PP at $0.12 with a full $0.20 warrant. The four-month hold doesn’t expire until August 28th<\/sup> so there is literally no overhead.<\/p>\n

49North Resources is also not an advertiser but I can both add and subtract so I have picked up shares in the open market.<\/p>\n

To the extent that everyone that owns shares is somewhat biased, I am biased so you should do your own due diligence.<\/p>\n

Omineca Mining<\/strong>
\nOMM-V $0.68 (Jul 02, 2020)
\nOMMSF OTCBB 98.4 million shares
\nOmineca Mining website<\/a>.<\/p>\n

49North Resources<\/strong>
\nFNR-V $0.14 (Jul 02, 2020)
\nFNNINF OTCBB 83 million shares
\n49North Resources website<\/a>.<\/p>\n

Bob Moriarty
\nPresident: 321gold
\nArchives<\/a>
\n321gold<\/p>\n

Bob Moriarty<\/i><\/a> founded 321gold.com, with his late wife, Barbara Moriarty, more than 16 years ago. They later added <\/i>321energy.com to cover oil, natural gas, gasoline, coal, solar, wind and nuclear energy. Both sites feature articles, editorial opinions, pricing figures and updates on current events affecting both sectors. Previously, Moriarty was a Marine F-4B and O-1 pilot with more than 832 missions in Vietnam. He holds 14 international aviation records.<\/i><\/p>\n

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Read what other experts are saying about:<\/p>\n