Cree intervention against Strateco, Cree moratorium against uranium, Interim judgement against Strateco, Majescor, Majescor Haiti, Majescor Uranium Quebec, Otish mountains, Quebec uranium moratorium, Strateco Uranium Quebec, uranium mining Otish mountains
Majescor now claims that they will turn in their delinquent Annual Financial and other documents by August 12, 2013. If they fail again, they will likely be slapped with a total Cease Trade Order. The precondition for a (partial) Management Cease Trade Order, which they were granted in lieu of a total Cease Trade Order, is generally that “The outstanding filings will be filed as soon as they are available and within a reasonable period. In most cases, we expect this to be within two months.” http://www.lautorite.qc.ca/files//pdf/reglementation/valeurs-mobilieres/12-203/2011-07-29/2011juil29-12-203-ig-cons-en.pdf (in English) See also our post: https://miningawareness.wordpress.com/2013/07/06/majescor-mischief-audit-committee-chairman-overthrown-or-jumped-ship/
“The Company is now also in default for not completing the filing of its interim financial statements, accompanying management’s discussion and analysis and related CEO and CFO certifications for the three-month period ended May 31, 2013 (collectively, the ‘Interim Financial Statements’), on the prescribed deadline set by the Canadian securities legislation, being July 30, 2013. The Company intends to file its Interim Financial Statements concurrently to the filing of its 2013 Annual Financial Statements, which is expected to be on or before August 12, 2013.” http://www.marketwire.com/press-release/majescor-provides-second-default-status-report-announces-delay-filing-interim-financial-tsx-venture-mjx-1816484.htm Don’t hold your breath for August 12th, you might turn blue!
Majescor is now worth one cent again. The only surprising thing here is that they are still worth that much, considering the last two announcements. Why don’t these jokers just hurry up and declare bankruptcy and put themselves out of our (and everyone else’s) misery, so we would not have to continue wasting our time watching them? Probably because the CEO and CFO are still collecting fat salaries. Now, if only Lamothe and his government would resign too… One can but dream.
Already the June 28th date the outstanding filings were “due” was late, as the end of the financial year was February 28th. But, the companies are allowed that leeway, for some reason, which we cannot fathom: “On June 28 and July 4, 2013, the Company announced (the ‘Default Announcement’) that …. the filing of the Company’s annual financial statements, accompanying management’s discussion and analysis and related CEO and CFO certifications for the financial year ended February 28, 2013 (collectively, the ‘2013 Annual Financial Statements’) would not be completed by the prescribed deadline”. http://finance.yahoo.com/news/majescor-provides-default-status-report-195412793.html
This is the new announcement from Wednesday afternoon:
“July 31, 2013 12:56 ET
Majescor Provides Second Default Status Report and Announces Delay in Filing of Interim Financial Statements
Montreal, Quebec–(Marketwired – July 31, 2013) – Majescor Resources Inc. (‘Majescor’ or the ‘Company’) (TSX Venture: MJX), is providing this second bi-weekly default status report (the ‘Default Status Report’) in accordance with Policy Statement 12-203 respecting Cease Trade Orders for Continuous Disclosure Defaults (‘Policy Statement 12 203’). On June 28 and July 4, 2013, the Company announced (the ‘Default Announcement’) that, for the reasons disclosed in the Default Announcement the filing of the Company’s annual financial statements, accompanying management’s discussion and analysis and related CEO and CFO certifications for the financial year ended February 28, 2013 (collectively, the ‘2013 Annual Financial Statements’) would not be completed by the prescribed deadline set by the Canadian securities legislation, being June 28, 2013.” http://www.marketwire.com/press-release/majescor-provides-second-default-status-report-announces-delay-filing-interim-financial-tsx-venture-mjx-1816484.htm
Note that they have repeatedly said “for the reasons disclosed in the Default Announcement” but no reasons were ever disclosed in the previous Default Announcements! The closest to a disclosure occurred only yesterday and it is abundantly vague.
They specialize in blah, blah.
They continue: “As a result of this delay in filing the 2013 Annual Financial statements, the Company’s principal regulator, the Autorité des Marchés Financiers (the ‘AMF’), granted a Management Cease Trade Order (the ‘MCTO’) to the Company….The audit of the annual financial statements is still on-going and the Company now expects to file its 2013 Annual Financial Statements on or before August 12, 2013. The Company’s board of directors and its management have been working expeditiously with its auditors, during the last four weeks, to address all of the issues and matters pending, most of which were cleared as of today, except for one matter which the Company needs some time to address, being the assurance it can support its core administrative functions over the next months (‘Going Concern Statement’) while it proceeds with the restructuring of its business development strategy.” http://www.marketwire.com/press-release/majescor-provides-second-default-status-report-announces-delay-filing-interim-financial-tsx-venture-mjx-1816484.htm
Does anyone really believe that they are anywhere other than on vacation? In the words of Beau Dommage: “Tous les palmiers, tous les bananiers…”. The palm and banana trees will still grow if they return (to work) in Montreal (if they are on vacation). The above paragraph of their Press Release seems a fancy way of saying that, unless they find new ones, they really have no properties left except for Haiti. And the Haiti properties, which are mostly ultra low grade copper, do not appear promising for mining either. If the Haitian properties were good, then one would think that the Haitian elites, or others, would be willing to give Majescor all of the money they needed. Majescor’s Besakoa in Madagascar is being sold; their Mistassini partner, Strateco, is in trouble in a nearby property, Matoush, which has been very justifiably blocked by the Province of Quebec. Strateco almost certainly cannot move forward with either their Matoush uranium project or with the Strateco-Majescor uranium joint venture of Mistassini. Majescor appears to be just dragging their feet. They probably chose the August 12 date, because if they said they would take longer, they would almost certainly have a total Cease Trade Order slapped immediately upon them. Besides, Mañana, Mañana. Why do now what they can put off until tomorrow, or rather for two more weeks, while they most likely are on holiday? “Tomorrow and tomorrow and tomorrow, creeps in this petty pace from day to day….”
Regarding Strateco, who is joint-venture partner and the operator for Majescor’s Mistassini Property:
“Strateco and Majescor Execute Joint Venture Agreement on the Mistassini Property
Boucherville, Quebec–(Marketwire – June 2, 2011) – Strateco Resources Inc. (‘Strateco’)(TSX:RSC)(Frankfurt: RF9) and Majescor Resources Inc. (‘Majescor’)(TSX Venture: MJX) are pleased to report that on February 14, 2011, Strateco has fulfilled its obligations pursuant to the Option Agreement, by incurring more than $1,300,000 in exploration expenses for the three year option period. Consequently, Strateco has acquired its 60% interest in the uranium rights on the Mistassini property. On May 16, 2011, Strateco and Majescor executed the formal Joint Venture Agreement having an effective date as of February 14, 2011. The Mistassini property, on which Strateco acquired its interest, is comprised of 171 map-designated claims located on NTS map sheet 32P, for a total area of 9,115 hectares (91.15 km2). The property is located in the Otish Mountains, 50 km southwest of Strateco’s Matoush property. Under the terms of the Joint Venture Agreement, as long as Strateco will retain a 50% interest on uranium rights, Strateco will be the Operator of the Joint Venture and will lead the management committee for exploration of uranium on the Mistassini property and will have full and exclusive access to the property. Northern Superior Resources Inc., which holds 100% of the diamond rights and 50.5% of all other mineral rights to the exception of diamonds and uranium rights, renounced to conduct exploration and exploitation works for diamonds on the property during the duration of the Joint Venture Agreement and is entitled to a 2.0% Yellow Cake Royalty on the Mistassini property.” http://www.marketwire.com/press-release/strateco-and-majescor-execute-joint-venture-agreement-on-the-mistassini-property-tsx-rsc-1521889.htm
On Strateco’s Matoush Uranium Property, which is in the same area (Otish Mountains) as the Mistassini Uranium Property:
“Strateco Resources Inc.: The Minister Will No Longer Wait for the Conclusions of the BAPE Report on the Uranium Industry
Boucherville, Quebec–(Marketwired – June 25, 2013) – Quebec’s Minister of Sustainable Development, Environment, Wildlife and Parks (the ‘Minister’), Yves-François Blanchet, has served Strateco (TSX:RSC)(Frankfurt: RF9) with a notice indicating that he plans to ‘refuse to issue the permit for the Matoush underground exploration project’ due to ‘a lack of sufficient social acceptability’. The notice also grants Strateco 60 days to present its observations to the Minister regarding his intended refusal to issue the requested permit. Strateco’s legal advisors are presently examining the impact and reach of this new development on the legal proceedings currently underway. Legal Steps: On March 28, 2013, two months after Strateco filed a petition for mandamus, the Minister announced that no permits would be issued for uranium exploration and mining projects in Quebec until the Bureau d’audiences publiques sur l’environnement (the ‘BAPE’) had submitted its report on Quebec’s uranium industry. The Minister specified at the time that the temporary moratorium, which could last for as long as 18 months or more, was applicable to Strateco. Strateco reacted promptly to this … decision taken by the Minister on March 28, 2013, by asking the Superior Court to order the issuance of the permit. In addition, on June 13 and 14, 2013, Strateco appeared before Superior Court to request the issuance of a safeguard order as of the end of June 2013, to assure the viability of the project until the proceeding scheduled for next fall can be heard. [NB: UPDATE ON THIS POINT AT BOTTOM OF THIS POST] Guy Hébert, President and CEO of Strateco, said that: ‘This is utterly incredible! While Quebec Superior Court has been deliberating since June 14 on representations made following the Minister’s decision to impose a temporary moratorium, the Minister now does an about-face and takes an entirely different decision by announcing that he now intends to refuse the permit required by Strateco. The facts as presented by the Minister in his notice entirely disregard his earlier decision. It is deplorable that the Minister is taking this stance after the end of the parliamentary session.’ Strateco has already obtained its federal authorisations and Canadian Nuclear Safety Commission permit for the Matoush advanced exploration program. Since the beginning of the Matoush project, Quebec’s Minister of Sustainable Development, Environment, Wildlife and Parks has issued 22 different permits to Strateco to advance the project, in which $123,000,000 has already been invested.” http://www.marketwire.com/press-release/strateco-resources-inc-the-minister-will-no-longer-wait-conclusions-bape-report-on-uranium-tsx-rsc-1805772.htm
We must underline that a big problem seems to be that Quebec can issue exploration permits, though not exploitation permits, without social acceptability approval. Insanely, Strateco’s so-called underground Advanced Exploration project request is apparently a “request for a license to construct a test mine”, and which would include pilot uranium production! This is no exploration permit, but one which apparently would allow Strateco to start building their mine underground and do test production, if we understand correctly! http://www.miningwatch.ca/categories/company-country-issue/company/strateco http://sanurezo.org/spip.php?article146 (video) And, Strateco chose and is choosing to move forward despite public opposition. The social acceptability approval should occur before any permitting occurs and save everyone time and money. This is especially true if advanced exploration really involves exploitation!
Strateco will not get the “social acceptability” approval because the project is not wanted! Unless, of course, they decide to poison the Minister of the Environment! And, even that will not stop the rest of the opposition. If they do not stop Strateco and others, then Quebec will indeed be poisoned by uranium. The Cree, on whose territory the properties lie, are opposed to uranium projects, whether Matoush, Mistassini or others: “The Grand Council of the Crees is opposed to all uranium development in Eeyou Istchee (Cree territory), saying the promise of short-term jobs is not worth the potential impacts on Cree health and the environment. The Grand Council passed its own moratorium on uranium development in the territory at its annual general assembly last summer.” http://www.cbc.ca/news/canada/north/story/2013/04/02/north-quebec-cree-uranium-moratorium. Additionally, over 325 Quebec municipalities, and most of the other First Nations groups, are opposed to the uranium mining. http://sanurezo.org/spip.php?article146
Furthermore, on February 5, 2013, the Cree moved to intervene in the legal proceedings commenced by Strateco against the Quebec Minister of the Environment. As reported by Waskaganish News:
“Crees move to intervene in legal proceedings commenced by Strateco Resources’
Nemaska, Eeyou Istchee: The Grand Council of the Crees (Eeyou Istchee), the Cree Regional Authority and the Cree Nation of Mistissini today filed an intervention in the legal proceedings recently commenced by Strateco Resources against the Quebec Minister of the Environment.
Strateco’s legal action seeks to force the Minister to issue a decision concerning the authorization of the Matoush advanced uranium exploration project. Strateco has also asked the Court to declare void one of the conditions recommended by COMEX, the environmental review panel established by the James Bay and Northern Quebec Agreement (JBNQA), that Strateco demonstrate the social acceptability of its project by concluding a written agreement with the Cree Nation of Mistissini.
In their intervention, the Crees seek full rights of participation in the proceedings, and urge the Court to dismiss Strateco’s request in its entirety.
‘The importance of social acceptability of proposed development projects in Eeyou Istchee is an essential aspect of the nation-to-nation relationship between the Cree Nation and Quebec,’ said Grand Chief Dr. Matthew Coon Come. ‘Strateco’s legal action represents a fundamental challenge to this principle, and to our treaty rights, particularly the JBNQA. We are committed to protecting our environment and our treaty rights, for current and future generations.’
‘The position of the Cree Nation of Mistissini, and the Cree Nation as a whole, is clear: we are opposed to uranium mining in all its forms in the Eeyou Istchee James Bay territory,’ Mistissini Chief Richard Shecapio stated. ‘We are not prepared to assume the grave risks that uranium mining presents, for thousands of future generations.’
The first court appearance in the proceedings is scheduled for Friday February 8, 2013 in Quebec City.” http://www.waskaganish.ca/news/5-crees-move-to-intervene-in-legal-proceedings-commenced-by-strateco-resources
The Otish Mountains, where both properties (Matoush and Mistassini) are located, are the hydrological center of Quebec. Hence, the uranium mining would poison the waterways of most or all of the Province of Quebec. The uranium mines last only for 20 or 30 years, but the wastes last for billions of years. http://sanurezo.org/spip.php?article146 See also: http://www.ceaa-acee.gc.ca/6DE5D7BF-docs/04_MemoireMatoushRQGE191110Final.pdf (p.21 map of Quebec hydrology) and http://sisur.org/
Critically important video with Marc Faford, spokesperson for Sept Iles Without Uranium (SISUR); this is a lovely Quebecois pure laine, so, unfortunately, not all French speakers will understand; Marc Faford and Majescor CEO Daniel Hachey show the dichotomy of lovely vs. irksome Quebec. The video is also at http://sanurezo.org/spip.php?article146 For those who wonder why the Eiffel Tower is there, Marc Faford was in Paris to tell the French government that Quebec doesn’t want uranium mining (e.g Areva who was set up to piggy-back on Strateco).
In the context of the above facts, one now sees the Wednesday, July 31, Majescor Default update in a different light: “Majescor has also been trying to raise funds for its general working capital and to ensure the continuity of its going concern. Given the current difficult markets for raising capital, potential equity transactions are taking more time to materialize. However, in an effort to expeditiously remediate this situation, the Company announced its intent to complete a non-brokered private placement (see Majescor press release dated July 30, 2013) to raise up to $150,000, subject to regulatory approvals including approval of the TSX Venture Exchange (the ‘Exchange’) under the Temporary Relief Measures set out in the Exchange’s bulletin of April 12, 2013. Proceeds from the offering will be used toward payment of existing accounts payable and for working capital purposes, while waiting for other transactions to conclude in the next months and provide more funds to the Company. Pursuant to the provisions of the alternative information guidelines specified by Policy Statement 12-203, the Company reports that since the Default Announcement and its first default status report of July 18, 2013, except as stated in this Default Status Report, there have not been any other material changes to the information contained therein; nor any failure by the Company to fulfil its intentions as stated therein with respect to satisfying the provisions of the alternative information guidelines. However, considering the on-going audit of the 2013 Annual Financial Statements and the new expected filing deadline of August 12, 2013, the Company is now also in default for not completing the filing of its interim financial statements, accompanying management’s discussion and analysis and related CEO and CFO certifications for the three-month period ended May 31, 2013 (collectively, the ‘Interim Financial Statements’), on the prescribed deadline set by the Canadian securities legislation, being July 30, 2013. The Company intends to file its Interim Financial Statements concurrently to the filing of its 2013 Annual Financial Statements, which is expected to be on or before August 12, 2013. Further, there are no additional material information respecting the Company and its affairs that have not been generally disclosed and there are no insolvency proceedings against the Company as of the date of this Default Status Report. Until the 2013 Annual Financial Statements and the Interim Financial Statements have been filed, the Company intends to continue to satisfy the provisions of the alternative information guidelines under Policy Statement 12-203 by issuing bi-weekly default status reports in the form of further press releases, which will also be filed on SEDAR……On April 30 2013, Majescor entered into a non-binding Letter Agreement with Olympic Resources Ltd. (‘Olympic’) and Sunridge Gold Corp. (‘Sunridge’) whereby the Company and Sunridge agree to sell their respective 50% interest in Daraina Exploration S.A.R.L. to Olympic)…. http://www.marketwire.com/press-release/majescor-provides-second-default-status-report-announces-delay-filing-interim-financial-tsx-venture-mjx-1816484.htm [NB: we have opted not to correct grammatical and other errors in the press releases.]
Now the “no additional material information respecting the Company and its affairs that have not been generally disclosed and there are no insolvency proceedings against the Company as of the date of this Default Status Report” may be technically true but we see that it’s not really totally true. The uranium moratorium and the stopping of Strateco at Matoush do CONSTITUTE “material information” which is not being discussed. We are firmly convinced that this is why Majescor is delaying publishing its reports, although we cannot exclude additional reasons unknown to us.
Majescor has a history of disappearing mining prospects and dropping stock prices. For further information you can read all of their news releases, their web site in the Wayback Machine, historic analyses online and/or read our post: https://miningawareness.wordpress.com/2013/07/06/majescor-mischief-audit-committee-chairman-overthrown-or-jumped-ship/
We have other posts dealing with Majescor such as: https://miningawareness.wordpress.com/2012/10/17/haitian-highland-clearances-and-mining-coming-the-removals-of-trees-agriculture-people-and-animals-part-i-majescor-and-somine-sa/
Almost one year on, we have a word for Daniel Hachey and Majescor — Nous sommes tannés de vous autres! You are an embarrassment to Quebec. Unfortunately, je me souviens d’autres comme vous. Irksome, chiant. Quebec: Je me souviens. Marc Faford (good guy from Quebec with lovely voice) vs. Daniel Hachey (chiant, irksome bad guy from Quebec with irksome, chiant voice).
Irksome and chiant is also a good way to describe Lamothe, Martelly and those other MREs who stand in stark contrast to wonderful, lovely Haiti. Lamothe and Martelly are an embarrassment to Haiti, as Majescor and Hachey et. al. are to Quebec. We can think of plenty of other adjectives to describe Hachey, Majescor, Lamothe and Martelly, but not without the language of this post dropping to the depths to which Majescor’s stock may soon sink (well actually lower than that because at one cent it can’t drop much more), or to the depths where these very unfunny “Comedians” will arrive, in the hereafter.
Still, and yea because of these irksome people, we remain vigilant:
Here we stand, we can do no other, may God continue to help us. Hier stehe ich, ich kann nicht anders. Gott helfe mir.
UPDATE BELOW XXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXX
UPDATE BELOW posted August 2, 2013 15.14 UTC re Majescor Partner, Strateco:
James Bay Cree Nation Welcomes Superior Court’s Refusal To Order The Quebec Government To Fund Strateco’s Uranium Project During Court Proceedings
The James Bay Cree Nation welcomes the interim judgement of the Superior Court of Quebec denying the request of Strateco Resources Inc. for a safeguard order in relation to the Matoush uranium project. Strateco had requested that the Court order the Quebec Environment Minister to pay its monthly operating costs until the conclusion of the legal proceedings in which Strateco seeks to force the Minister to issue a permit for its Matoush advanced uranium exploration project.
Strateco claimed that it was unable to pay the expenses necessary to maintain the viability of its Matoush project. It asserted that the Minister should be held responsible for these difficulties, as a result of the Minister’s March 28 announcement of province-wide public hearings on the uranium industry in Quebec.
In her interim judgement, Madam Justice Danielle Blondin concluded that Strateco’s legal claim in the proceeding was “doubtful”, and that Strateco had failed to demonstrate that it would suffer irreparable harm if the requested safeguard order was not granted.
The Grand Council of the Crees (Eeyou Istchee), the Cree Regional Authority and the Cree Nation of Mistissini are interveners in the proceedings, and opposed Strateco’s request for a safeguard order.
“Strateco’s demand that the government fund the Matoush project during the court proceedings was presumptuous,” said Grand Chief Dr. Matthew Coon Come. “We are pleased with the Court’s decision. The Cree Nation will continue its active participation in this case, to ensure that our position concerning uranium and our treaty rights are properly respected.”
In August 2012, the Cree Nation declared a permanent moratorium on all uranium activities in its traditional territory of Eeyou Istchee. On June 21, 2013, the Quebec Environment Minister advised Strateco that he intended to refuse the permit for the Matoush project, because there was not sufficient social acceptability for the project, particularly amongst the Crees.
The Grand Council of the Crees (Eeyou Istchee) is the political entity that represents the James Bay Cree people. The Cree Nation of Mistissini is one of the larger communities within the James Bay Cree Nation, and is located at the southeast end of Mistassini Lake.
Source: Grand Council of the Crees (Eeyou Istchee) and Cree Nation of Mistissini
Strateco News Release regarding judgement:
Strateco Resources Inc.
TSX : RSC
FRANKFURT : RF9
August 01, 2013 17:07 ET
The Court Rules on the Safeguard Order Sought by Strateco
BOUCHERVILLE, QUEBEC–(Marketwired – Aug. 1, 2013) – On July 31, 2013, the Hon. Justice Danielle Blondin, S.C.J., of Quebec Superior Court issued a ruling rejecting the motion from Strateco Resources Inc. (“Strateco”) (TSX:RSC)(FRANKFURT:RF9) for a safeguard measure that would have ordered the government to pay Strateco an amount varying between $420,000 and $800,000 on the last day of each month from June 30, 2013, to September 30, 2013. One reason for the ruling is that the Court cannot, at this stage in the proceedings, assume what the final ruling will be on the main application for mandamus.
In addition, the Hon. Justice Blondin stated that a quantifiable prejudice can be compensated by damages and does not, in principle, cause the irreparable prejudice required for a safeguard order to be issued. She added, citing a Supreme Court of Canada ruling, that financial prejudice may be irreparable in nature only in a case where a court ruling has the effect of causing the loss of part of a business or where one party may suffer permanent commercial loss.
In response, Guy Hébert, President and CEO of Strateco, stated: “Clearly, we are disappointed by this ruling.” He added that, following the hearings on the application for a safeguard order, held on June 13 and 14, 2013, the minister of sustainable development, the environment, wildlife and parks (“MDDEFP”) reacted by sending a notice to Strateco on June 21 stating an intention not to issue a certificate of authorization to Strateco. Since November 2012, the minister had been aware of the position taken by deputy minister Diane Jean against following the provincial review panel (“COMEX”) recommendation to approve the Matoush project. This notice from the minister was one of the factors taken into consideration by the Hon. Justice Blondin.
Strateco will continue the legal proceedings under way and reiterates that it has already served notice to the MDDEFP minister informing him of its intention to claim damages for the prejudice it has suffered, including a $16-million loss in market capitalization.
Strateco intends to keep pursuing a vigorous defence of the interests of its shareholders, who have invested more than $120 million in the Matoush uranium project.
This news release contains “forward-looking statements” subject to certain risks and uncertainties. There can be no assurance that these statements will prove to be correct. Actual results and future events could differ significantly from those implied by such statements. These risks and uncertainties are discussed in the annual report filed with the securities commissions of British Colombia, Alberta, Ontario and Quebec.
STRATECO RESOURCES INC.
President and CEO
450.641.0775 or 1.866.774.7722
Executive & Exploration Vice President