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Written by
Jim Bloom
Published on
November 21, 2017
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ABACUS MINING & EX (OTCMKTS:ABCFF) has continued to keep increasing in value.Despite its lack of revenues which has led to consecutive net losses, investors are convinced the firm has enough potential to succeed when it begins generating revenue.Take a look at the price action below: ABCFF Daily ChartBrief HistoryAbacus Mining & Exploration was established in 1983, and has its head office located in Vancouver, Canada. It is an exploration stage company which engages in the acquisition, exploration and development of mineral properties in Canada. It holds a 20% interest in the Ajax copper-gold project located near the historic Ajax-Afton site southwest of Kamloops, British Columbia and has an option to acquire up to a 75% undivided interest in the Willow porphyry copper-gold property located in Nevada. The Ajax Project is a proposed copper-gold open-pit mine currently undergoing a provincial and federal environmental assessment process. Through KGHM Ajax Mining Inc., a joint venture company between Abacus (20%) and KGHM Polska Miedz S.A. (KGHM) (80%), the Ajax Mine is being funded in large part by KGHM and operated by its wholly-owned subsidiary, KGHM International Ltd.In May 2017, Abacus Mining & Exploration Corporation provided comments on the recent unusual trading activity in its shares on the TSX Venture Exchange. While it is not the Company's usual policy to comment on trading price, at the request of IIROC (the Investment Industry Regulatory Organization of Canada), Abacus confirmed that the company's management is unaware of any material change in the Company's operations that would account for the recent increase in market activity.Abacus explained that the recent unusual trading activity may have been related to the consolidation of its common shares announced in April 2017, which commenced trading on the basis of one post-consolidation share for every six pre-consolidation shares in May and to an article on the company that appeared in the Resource Stock Digest Premium website in the same month.Abacus Mining & Exploration also released an update on the Ajax Project's Environmental Assessment ("EA") review process within the context of a joint and coordinated federal and provincial review effort towards a streamlined process and timeline alignment.Resumption of Environmental Assessment (EA) Review ProcessIn March 2017, the operator of the Ajax Project, KGHM International, was notified by the British Columbia Environmental Assessment office that, as a result of the satisfactory completion of information and materials in response to issues raised by multiple stakeholders, and in fulfilment of the requirements related to Aboriginal and public consultation, it had lifted its suspension of the 180-day time limit for the application review. This suspension was originally requested by KGHMI to fulfill the requirements to the EAO's satisfaction.The resumption of the review process occurs at day 108 of the 180-day timeframe and is a positive development toward the feasibility of a final decision later this fall.EA Process next stepsThe EAO also informed that, going forward, the Canadian Environmental Assessment Agency and the EAO have agreed to seek a greater level of coordination and to prepare a joint assessment report. This coordinated approach is expected to streamline the process and provide greater certainty of process through the alignment of timelines, ensuring that both jurisdictions consider the same information and avoid duplication. Throughout the period, the Agency and the EAO have acted in coordination on the Ajax Project, co-chairing a technical working group, participating in consultation with Aboriginal groups and coordinating public comment periods.To provide the process certainty for the remainder of the EA and to ensure federal-provincial timeline alignment consistent with a coordinated process, the provincial review period will be extended by an additional 110 days. Inclusive of the extension will be a 30-day public comment period on the joint assessment report and any draft provincial EA Certificate conditions, as well as a 45-day period for provincial Ministers to make a decision as to whether to issue an EA Certificate for the Ajax Project. Hence the Application review phase is expected to conclude around late September 2017, and decisions from the provincial and federal governments are expected later in the fall.Community and First Nations ConsultationsThe goal of the Ajax Project is for the company to be an integral member of the community through an open-door policy of continuous consultation and providing solutions which will result in numerous technical enhancements and design changes. One such major change is the new mine plan which concentrates mining activities in a central footprint to reduce emissions and dust. This has necessitated the relocation of the tailings storage facility to more than 5 kms southeast and no longer within Kamloops City limits; the facility has been redesigned from a dry stack tailings to a thickened tailings storage facility; the north rock storage facility has been relocated, including the mine processing plant and ore stockpiles more than 2 kms south of their formerly proposed locations; and the primary crusher will also move south of the pit, and approximately 3.5 kms from the closest city neighbourhood.Financial performanceThe company still has a stable financial position as shown in its reports, with a current ratio of 13 showing that the company has adequate cash to explore investment opportunities and settle its short term liabilities.The company also has adequate long term investments to pay off its long term liabilities although the risk remains that the investments may lose some of its value.ConclusionAbacus Mining & Exploration Corporation has proven itself to be a winner and it is likely that it will keep rising as awareness of its potential increases.We will be updating our subscribers as soon as we know more. For the latest updates on ABCFF, sign up below!Disclosure: We have no position in ABCFF and have not been compensated for this article.

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