# ArcPacific Resources Corp V.ACP



## CDNstockwatcher (Jun 1, 2021)

Hello All, I am new to the Forum. I have read the rules for posting, but please advice on any improvements I can make. I just discovered this forum, and I am excited to gain knowledge from poster, and share different stocks, I have taken an interest in. 

I would like to introduce the forum to stock that I think has big potential and tremendous upside and, also ask for advice, comments or analysis from geologists or engineers or people familiar with core sample results. . 

ACP. - ACP is a small exploration gold miner. They have been releasing core drilling results every week or 2 weeks. They is much more news to come. I think ACP has big potential and tremendous upside because of the very positive reaction to the news to date, and there is only 50M shares outstanding, so even with the stock's run up the market cap is still only $10M.

My questions are, I have read all there core drilling results, but some of it I don't understand. They results seem extremely positive, but this is not my expertise. Would anybody that is familiar with the technical side of these samples be able to read them and give an overview?


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## Spudd (Oct 11, 2011)

In general, microcap miners on the Venture exchange are just pump & dump opportunities. They set up a shell company, put out some optimistic sounding press releases, hire people to go on message boards and say their stock is great. Then the executives cash out once the stock has run up. 

This one is 20c/share and 10M market cap so those are warning signs for sure. 

According to Morningstar, this company has existed since 2012, and has lost money every single year since then. You mentioned there are "only" 50M shares outstanding, but in 2012 they had 0.89 million shares outstanding. In 2020 on average they had 10.8M shares outstanding. So they are diluting the stock a LOT. Morningstar says they are 6% overvalued at the moment. 

In addition to losing money consistently, their revenue every single year has been zero. They have never made a single dollar. 

In their MD&A document (look on SEDAR.com for their documents), they say "The Company has not yet determined whether any of the properties it owns may contain a mineral resource that may eventually be economically recoverable.". So basically they own a bunch of mines that they don't even know if they have gold in them. 

Their management turnover is high. Adrian Smith, the current CEO, joined as a director on the board in July 2020 and was appointed CEO in August 2020. They do not mention why the old CEO left. In October 2020, the CFO resigned and was replaced. This could be fine, or it could be a bad sign. CFO's resigning is always a warning sign that something might be amiss with the financials. 

I'm not at all qualified to tell you anything about the technical sides of the samples, but there are enough warning signs with this company that I would never touch it with a 10-foot pole. Maybe once they actually are pulling gold out of the ground and making money. Not before.


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