Providing small cap investors insights & exposure to emerging and undervalued small cap, publicly-traded companies.
Softlab9 Software
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Canadian software company Softlab9 Software Solutions Inc. (SOFT.CN) has decided to go on a range of changes at the corporate level in order to streamline its business. In one of the more important corporate developments, the shares belonging to Maxime Collins and James Collins are going to be voluntarily canceled and the total number of shares that are going to be canceled stands at 20,154,444. Due to the concentration of those shares, it was becoming difficult for Softlab to compete against CatchCoin.
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However, the total numbers of corporate changes are far and wide. The President of Softlab Jay Ruckenstein has also been forced to resign from the company but he will still remain on the company as a board member. The company has also commended Ruckenstein for his work towards the overall development of the company.
It is quite tough for a company to go for so many changes at one go but Softlab seems to have managed to do that. In addition to the more radical changes, Softlab has also decided that it is going to divest significantly from assets that they feel do not feel will have significant upside.
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Softlab has divested its stake from CatchCoin and in addition to that, it has also decided to significantly reduce its investment in crypto miners. The company feels that none of those two projects will be profitable for them in the future. Above all that, it has also emerged that Softlab leadership and the members of the board are now looking for new business opportunities in a bit way.
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The company has stated that it is not going to be rigid in the decision-making process and are going to be completely open-minded in pursuing projects that would prove to be beneficial for all shareholders. Such a statement from the leadership of any company is sure to be welcomed and it remains to be seen how Softlab goes about finding out the new opportunities for its shareholders.
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Last but not least, Softlab has also issued generous stock options to its top executives to the tune of 1,500,000 stock options that are currently priced at $.05. The stock option could be exercised within two years.
On top of all these developments, it is important to mention that Softlab is moving away from crypto and are all set to be a Fintech company in the future. To that end, the company has decided to change its name to SoftLab9.
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-Grant Seibel
Colibri Resource Corp (CVE: CBI): Poised To Benefit Amid Growing Mexico's Mining Growth
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Canada based mineral exploration company, Colibri Resource Corp. CVE: CBI), has emerged as one of the most interesting companies in the metal industry in recent months.
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One of the biggest reasons behind the positivity surrounding the company is due to its significant presence in Mexico, where it has as many as five projects. There are several advantages for a mineral exploration company when it operates in Mexico in such a big way and that is perhaps one of the biggest competitive advantages for Colibri. Mexico is now politically stable and has been a country that has had a highly friendly attitude towards mining for many years. In fact, the mining industry makes up as much as 4% of the country’s GDP.
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However that is not all, Mexico is also the biggest producer of silver, 8th biggest producer of gold in the world, offers the availability of a cheap and well-trained labour force. Moreover, the company’s mines are located near the active mines and that perhaps makes it far more likely for Colibri to literally strike gold.
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The company has a total of 4 projects in Mexico. The first one is a joint venture; known as Pitaya with Agnico Eagle Mining at Sonora and the commodity being mined is gold. The exploration is at an advanced staged and the company is hopeful about the project.
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The other project in Sonara is an artisanal placer mining project spread over 506 hectares and known as the Evelyn Project. There is another project in Pilar, which is a mineral-rich site and the company has stated that there are several untested areas with great potential within the project. Last but not least is the Mezquite Gold Project that is located in the Sonara Gold Belt and spread over an area of 180 hectares. There is a high potential of extracting low-grade deposits that have high tonnage and the potential of this project remains high in the company’s own estimations.
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As one can see, the Colibri Resource's interests in Mexico are significant and it is something that places the company among the few mining companies that have the potential to leverage that presence into big profits.
In this regard, it needs to be pointed out that the potential of Colibri remains untapped by the markets and the stock still seems largely undervalued. Considering the company’s highly impressive portfolio of projects, it could prove to be a big winner in the years to come and could well be poised for a big move when the projects in Mexico start showing results.
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-Grant Seibel
Bactech Environmental Corp
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Bioleaching is a technology that is particularly useful in the mining industry and Bactech Environmental Corp (CNSX:BAC) has developed its own processing circuit for the same that could see the company making major moves in the near future. The company set up its first plant back in 1994 and although the technology is already commercial, BacTech is now looking to commercialize its proprietary circuit in a big way over the coming months. The company believes that the best place to start the whole process will be in the South American country of Ecuador, considering the fact that the country is hugely involved in mining activities and bioleaching will prove to be a beneficial addition to their overall arsenal of technology.
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The mines in Ecuador have elevated levels of arsenic and while this has a negative impact on the overall economic viability of the mines, it also is a huge threat when it comes to environmental damage. However, if mine uses BacTech’s proprietary bioleaching processing circuit, then it can manage these problems far more effectively. Considering the fact that environmental concerns have become a particularly important aspect of mining, one can expect BacTech’s revolutionary technology to have wider use in the mining industry if it finds success in Ecuador.
Moreover, there is genuine optimism that deals could be done with a range of mines in Ecuador and it is critical to keep in mind that the company has been in negotiations with senior officials in the Ecuadorian government since December 2017. The government could be in agreement with the company in creating a more environmentally viable method of mining and if this deal does go through, then the BacTech stock could produce significant gains for investors.
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When a company makes a move of such proportions, it is important for it to ensure that its technology is in absolutely perfect working conditions and BacTech has done exactly that over the past year or so. The company has been conducting the first phase of testing at Laurentian University, located in Canada and the findings from the materials that were extracted from the mines in Ecuador show that the technology is on the right track. In other words, the results have been extremely promising. Upon testing, it was revealed that the company’s proprietary bioleaching technology has managed to show great success and as much as 99% of the arsenic found in the materials was stabilized. The second phase of the results which will look into the success of the bioleaching technology for gold extraction has also been done and the results will be available soon.
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Once the confirmation of the tests is in, the company will then get to the critical stage of the whole process and start with the purchase of concentrate for the mines in Ecuador. There is a belief that the company is going to build its own plant where the concentrated are going to be treated locally and it will not only be a significant development for the company but also lead to massive employment opportunities in Ecuador itself. Last but not least, it is also important to point out that the signs look extremely promising and the Minister of Environment for Ecuador has in fact provided BacTech with a definite letter of support. These are highly important developments and bodes well for the company’s future with bioleaching tech.
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-Grant Seibel