Medinah Minerals Inc. (OTCMKTS:MDMN) Is Acting Out Again
Medinah Minerals Inc. (OTCMKTS:MDMN) added 19.62% to its market value yesterday, for no apparent reason whatsoever.
Investors keeping an eye on the bigger movers in the OTC Markets’ section lovingly dubbed “pennyland” have no doubt noticed MDMN. The ticker is mostly dormant, but has the tendency to rear its head once in a while, before fading into obscurity once more.
A bit of due diligence reveals why this is the case. The company’s financial reports are a sad, sad sight:
- Cash – $41 thousand
- Current assets – $787 thousand
- Total liabilities – $1.8 million
- Quarterly operating loss – $214 thousand
Further, during Q2 of 2015 MDMN somehow recorded a negative revenue of $35 thousand. How does that even happen?
Honestly, with financial as poor as these, it’s something of a miracle that any investors were convinced to commit to MDMN at all.
Still, as we all well know, hype can work miracles on the OTC Markets, and the company’s management has done quite a bit to keep investors appraised of the more exciting aspects of company’s affairs.
MDMN‘s last jump was made possible by the announcement that the company’s properties will produce an average of 26.9 grams of gold for every ton drilled, and that drilling is to begin during the second week of October. Only time will tell if that will really happen.
If it does and the yield is as good as anticipated, MDMN may actually turn out to be a profitable purchase. Otherwise it will remain just another dubious and unimpressive but boastful OTC Markets company with next to nothing to its name.
And, seeing as how MDMN has a sixteen year history of over-promising and under-delivering, it would probably be wise not to hold your breath waiting for the event.
