Randall J. Newsome: Rise Gold, show me the money
Based on Rise Gold's latest quarterly SEC filing in June 2021 and the status of their outstanding loan, former U.S. Bankruptcy judge Randall J. Newsome believes it is unlikely the company will be able to follow through with reopening the mine.
Mr. Newsome states: "A lot of print has been devoted to the pros and cons of Rise Gold Corp.’s reopening of the Idaho-Maryland Mine. The opponents have focused on various environmental impacts of the mine. Proponents point to the potential for as many as 300 new jobs, and urge that the company and its CEO, Benjamin Mossman, be given a chance to prove themselves.
Putting aside whether reopening the mine is a good or bad idea, there has been little discussion of whether Rise Gold has, or ever will have, the financial wherewithal to carry out its business plan. My experience as a U.S. bankruptcy judge for 28 years leads me to believe that this company is destined for financial failure."
To find out why, read the rest in The Union.
Randall J. Newsome lives in Nevada City.