UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT PURSUANT

TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported): April 30, 2015

        ALLIED NEVADA GOLD CORP.        

(Exact name of Registrant as Specified in Its Charter)

 

 

Delaware

 

1-33119

 

XX-XXXXXXX

(State or Other Jurisdiction of

Incorporation)

 

(Commission

File Number)

 

(IRS Employer

Identification No.)

 

9790 Gateway Drive, Suite 200

Reno, Nevada

 

89521

(Address of principal executive offices)   (Zip Code)

                (775) 358-4455                

(Registrant’s Telephone Number, Including Area Code)

                                 n/a                                

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))


Item 7.01. Regulation FD Disclosure.

As previously disclosed, on March 10, 2015, Allied Nevada Gold Corp. (the “Company” or “Allied Nevada”), a Delaware corporation, and certain of its domestic direct and indirect subsidiaries (together with the Company, the “Debtors”) filed voluntary petitions for relief (the “Chapter 11 Cases”) under Chapter 11 of the United States Bankruptcy Code (the “Bankruptcy Code”) with the United States Bankruptcy Court for the District of Delaware (the “Bankruptcy Court”). During the pendency of the Chapter 11 Cases, the Debtors are operating their businesses as debtors-in-possession under the jurisdiction of the Bankruptcy Court and in accordance with the applicable provisions of the Bankruptcy Code.

On April 30, 2015, the Debtors filed a monthly operating report (the “Monthly Operating Report”) with the Bankruptcy Court. The Monthly Operating Report is furnished as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference.

The Monthly Operating Report shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), is not otherwise subject to the liabilities of that section, and is not deemed incorporated by reference in any filing under the Securities Act of 1933, as amended (the “Securities Act”), or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing

Cautionary Statement Regarding Monthly Operating Report

The Company cautions investors and potential investors not to place undue reliance upon the information contained in the Monthly Operating Report, which was not prepared for the purpose of providing the basis for an investment decision relating to any of the securities of the Company. The Monthly Operating Report is limited in scope, covers a limited time period and has been prepared solely for the purpose of complying with the monthly reporting requirements applicable in the Chapter 11 Cases and is in a format acceptable to the U.S. Trustee. The forecasts contained in the Monthly Operating Report reflect estimates and assumptions made by management of the Company. Consequently, it is likely that actual results will differ from those reflected in the Monthly Operating Report and such differences may be significant. The Company has not made and does not make any representation to any person regarding the Company’s future results. Furthermore, the Company is not required to publicly update the Monthly Operating Report to reflect more current facts or estimates or the occurrence of future events, including if the facts, estimates and assumptions upon which the Monthly Operating Report is based are erroneous. The Monthly Operating Report was not audited or reviewed by independent accountants, was not prepared in accordance with generally accepted accounting principles in the United States, is in a format prescribed by applicable bankruptcy laws, and is subject to future adjustment (which may be material) and reconciliation. There can be no assurance that, from the perspective of an investor or potential investor in the Company’s securities, the Monthly Operating Report is complete. The Monthly Operating Report also contains information for periods which are shorter or otherwise different from those required in

 

2


the Company’s reports pursuant to the Exchange Act and such information might not be indicative of the Company’s financial condition or operating results for the period that would be reflected in the Company’s financial statements or in its reports pursuant to the Exchange Act. Results set forth in the Monthly Operating Report should not be viewed as indicative of future results.

Cautionary Statement Regarding Forward-Looking Statements

This report contains forward-looking statements within the meaning of Section 27A of the Securities Act, the Exchange Act (and the equivalent under Canadian securities laws) and the Private Securities Litigation Reform Act (the “PSLRA”) or in releases made by the U.S. Securities and Exchange Commission, all as may be amended from time to time. This cautionary statement is being made pursuant to the Securities Act, the Exchange Act and the PSLRA with the intention of obtaining the benefit of the “safe harbor” provisions of such laws. All statements, other than statements of historical fact, included herein or incorporated by reference, that address activities, events or developments that we expect or anticipate will or may occur in the future, are forward-looking statements. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as “estimate”, “plan”, “anticipate”, “expect”, “intend”, “believe”, “project”, “target”, “budget”, “may”, “can”, “will”, “would”, “could”, “should”, “seeks”, or “scheduled to”, or other similar words, or negatives of these terms or other variations of these terms or comparable language or any discussion of strategy or intentions. Forward-looking statements address activities, events or developments that Allied Nevada expects or anticipates will or may occur in the future, and are based on current expectations and assumptions. These statements involve known and unknown risks, uncertainties, assumptions and other factors which may cause our actual results, performance or achievements to be materially different from any results, performance or achievements expressed or implied by such forward-looking statements, and include, but are not limited to the potential adverse effect of the Chapter 11 Cases on the Debtors’ business, financial condition or results of operations, including the Debtors’ ability to maintain contracts and other business relationships that are critical to the Debtors’ business and the actions and decisions of the Debtors’ creditors and other third parties with interests in the Chapter 11 Cases; the Debtors’ ability to conduct the Chapter 11 Cases on the terms set forth herein; the Debtors’ ability to maintain adequate liquidity to fund the Debtors’ operations during the Chapter 11 Cases and to fund a plan of reorganization and thereafter, including obtaining sufficient debtor in possession financing and exit financing; whether the holders of the Debtors’ liabilities and/or securities receive any value for their interests; and the Debtors’ ability to obtain Bankruptcy Court approval with respect to motions in the Chapter 11 Cases prosecuted from time to time; and other factors discussed in Allied Nevada’s filings with the SEC including Allied Nevada’s latest Annual Report on Form 10-K, its Quarterly Reports on Form 10-Q and its other recent SEC filings (and Canadian filings). Although Allied Nevada has attempted to identify important factors that could cause actual results, performance or achievements to differ materially from those described in forward-looking statements, there may be other factors that cause results, performance or achievements not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results, performance and achievements and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Company does not intend to publicly update any forward-

 

3


looking statements, whether as a result of new information, future events, or otherwise, except as may be required under applicable securities laws.

 

Item 9.01. Financial Statements and Exhibits

 

(d) Exhibits

 

Exhibit No.

  

Exhibit

Exhibit 99.1    Monthly Operating Report

 

4


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

Allied Nevada Gold Corp.
Dated: May 1, 2015 By: /s/Stephen M. Jones

Stephen M. Jones

Executive Vice President and Chief Financial Officer

 

5


Exhibit Index

 

Exhibit No.

  

Exhibit

Exhibit 99.1    Monthly Operating Report

 

6



Exhibit 99.1

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

 

In Re:    Chapter 11
Allied Nevada Gold Corp., et al.    Case No. 15-10503
Debtors     

MONTHLY OPERATING REPORT

For the Period March 10, 2015 through March 31, 2015

 

REQUIRED DOCUMENTS

  

Form No.

  

Document

Attached

  

Explanation

Attached

  

Attestation Attached

Schedule of Cash Receipts and Disbursements

   MOR-1    X      

Bank Account Reconciliations

   MOR-1a          X

Bank Account Balances

   MOR-1a    X      

Schedule of Professional Fees Paid

   MOR-1b    X      

Statement of Operations

   MOR-2    X      

Balance Sheet

   MOR-3    X      

Status of Postpetition Taxes

   MOR-4          X

Summary of Unpaid Postpetition Debts

   MOR-4    X      

Accounts Receivable Reconciliation and Aging

   MOR-5    X      

Debtor Questionnaire

   MOR-5    X      

I declare under penalty of perjury (28 U.S.C. Section 1746) that this report and the attached documents are true and correct to the best of my knowledge and belief.

 

/s/ Stephen M. Jones

   

April 30, 2015

Signature of Authorized Individual*     Date

Stephen M. Jones

   

Executive VP, CFO, and Secretary

Printed Name of Authorized Individual     Title of Authorized Individual


UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

 

In. Re: Chapter 11
Allied Nevada Gold Corp., et al. Case No. 15-10503
Debtors  

General Notes

 

1. Introduction

On March 10, 2015 (the” Commencement Date”), Allied Nevada Gold Corp. (“Allied”) and certain affiliates (collectively with Allied, the “Debtors”), each filed a voluntary petition for relief commencing cases (the “Chapter 11 Cases”) under chapter 11 of title 11 of the United States Bankruptcy Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for the District of Delaware. The Debtors continue to operate their business and manage their properties as debtors in possession pursuant to Bankruptcy Code sections 1107 and 1108. On March 19, 2015, the United States Trustee for the District of Delaware appointed a statutory committee of creditors pursuant to Bankruptcy Code section 1102(a) and 1102(b). On April 10, 2015, the U.S. Trustee appointed a statutory committee of equity security holders pursuant to Bankruptcy Code section 1102. Information contained herein may differ from that contained in the pleadings filed by the Debtors on the Commencement Date due to more accurate information having become available since the Commencement Date.

 

2. GAAP

The financial statements and supplemental information contained herein are preliminary and unaudited, and may not comply with generally accepted accounting principles in the United States of America (“GAAP”) in all material respects. In addition, the financial statements and supplemental information contained herein represent information for the Debtors only and exclude all non-Debtor affiliates.

The unaudited financial statements have been derived from the Debtors’ books and records. This information, however, has not been subject to certain procedures that would typically be applied to financial information in accordance with GAAP. Upon application of such procedures, the Debtors believe that the financial information could be subject to change, which could be material. The information furnished in this report includes primarily normal recurring adjustments but does not include all adjustments that would typically be made for financial statements in accordance with GAAP.

 

3. General Methodology

The Debtors prepared this Monthly Operating Report (“MOR”) relying primarily upon the information set forth in their books and records. Consequently, certain transactions that are not identified in the normal course of business in the Debtors’ books and records may not be included in


this MOR. Nevertheless, in preparing this MOR, the Debtors made reasonable efforts to supplement the information set forth in their books and records with additional information concerning transactions that may not have been identified therein.

 

4. Past Performance

The results of operations contained herein are not necessarily indicative of results that may be expected for any other period or for the full year and may not necessarily reflect the consolidated results of operations and financial position of the Debtors in the future.

 

5. Prepetition vs. Postpetition Liabilities

The Debtors allocated liabilities between prepetition and postpetition periods based upon the information available at the time of, and research conducted in connection with, the preparation of this MOR. As additional information becomes available and further research is conducted, the Debtors’ allocation of liabilities between prepetition and postpetition periods may change. The liability information, except as otherwise noted, is listed as of the close of business as of the end of March 2015. Accordingly, the Debtors reserve all rights to amend, supplement or otherwise modify this MOR as necessary and appropriate.

 

6. Insurance

To the best of the Debtors’ knowledge, all premiums for insurance policies are current.

 

7. Book Value of Assets

Unless otherwise indicated, the values for the assets contained in this MOR are book values as of the end of March 2015. Amounts ultimately realized from the disposition of the Debtors’ assets may materially vary from the stated book value. Thus, unless otherwise noted, this MOR reflects the carrying values of the assets as recorded on the Debtors’ books and records as of the end of March 2015 and are not based upon any estimate of such assets’ current market values. The Debtors reserve the right to amend or adjust the value of each asset set forth herein.

 

8. Intercompany Receivables/Payables

In accordance with the Order Approving Debtors Motion for Authority to (A) Continue Using Their Existing Cash Management System, (B) Honor or Satisfy Certain Prepetition Obligations Related thereto, (C) Maintain Existing Bank Accounts and Business Forms and (D) Extend the Time to Comply with Bankruptcy Code Section 345(b) dated March 11, 2015 [Docket No. 9], Allied and other Debtors maintain intercompany (“I/C”) receivables and payables with certain subsidiaries. Allied and the other Debtors record I/C receivables for payments made on behalf of certain subsidiaries, who in turn record corresponding I/C payables.


9. Liabilities Subject to Compromise

As a result of commencing the Chapter 11 Cases, the payment of prepetition indebtedness is subject to compromise or other treatment under a chapter 11 reorganization plan. Generally, actions to enforce or otherwise effect payment of prepetition liabilities are stayed.

The filing of the Chapter 11 Cases constituted an event of default under, or otherwise triggered repayment obligations with respect to, a number of debt instruments and agreements relating to direct and indirect financial obligations of the Debtors (collectively, the “Prepetition Debt”). As a result, obligations under the Prepetition Debt became automatically and immediately due and payable. The Debtors believe that any efforts to enforce the payment obligations under the Prepetition Debt have been stayed as a result of the filing of the Chapter 11 Cases.

 

10. Liabilities Not Subject to Compromise

Although payment of prepetition claims is generally not permitted, the Bankruptcy Court has authorized the Debtors to pay certain prepetition claims in designated categories and subject to certain terms and conditions. This relief generally was designed to preserve the value of the Debtors’ business and assets. To the extent such claims have been categorized as “Liabilities Not Subject to Compromise,” the Debtors reserve the right to dispute their obligation to make such payments.

The Debtors have been paying and intend to continue to pay undisputed postpetition claims in the ordinary course of business.

 

11. Reservation of Rights

Given the complexity of the Debtors’ business, inadvertent errors, omissions or the over-inclusion of contracts or leases may have occurred in the preparation of this MOR. Accordingly, the Debtors reserve all of their rights to dispute the validity, status, enforceability or executory nature of any claim amount, representation or other statement in this MOR and reserve the right to amend or supplement this MOR, if necessary.

Nothing contained in this MOR shall constitute a waiver of the Debtors’ rights or an admission with respect to the Chapter 11 Cases, including with respect to any issues involving the Debtors’ ownership interests, defenses and/or causes of action arising under the provisions of chapter 5 of the Bankruptcy Code and any other relevant non-bankruptcy laws.


UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

 

In Re: Chapter 11
Allied Nevada Gold Corp., et al. Case No. 15-10503
Debtors  

MOR-1

SCHEDULE OF CASH RECEIPTS AND DISBURSEMENTS1

For the Period March 10, 2015 through March 31, 2015

 

     BANK ACCOUNTS      CURRENT MONTH     

CUMULATIVE

FILING TO DATE

 
     Hycroft Resources &
Development Inc.
     Allied Nevada Gold Corp.      ACTUAL      ACTUAL  

CASH BEGINNING OF PERIOD

     2,661,072.47         1,061,533.16         3,722,605.63         3,722,605.63   

RECEIPTS

                           

CASH SALES

     16,884,656.02            16,884,656.02         16,884,656.02   

ACCOUNTS RECEIVABLE

     1,815,935.75            1,815,935.75         1,815,935.75   

TRANSFERS BETWEEN ACCOUNTS

     -500,000.00         500,000.00         0.00         0.00   

SALE OF ASSETS

           0.00         0.00   

OTHER (ATTACH LIST)

     4,264.26         10,230.20         14,494.46         14,494.46   

TRANSFERS (FROM DIP ACCTS)

        35,000,000.00         35,000,000.00         35,000,000.00   
           0.00         0.00   
  

 

 

    

 

 

    

 

 

    

 

 

 

TOTAL RECEIPTS

  18,204,856.03      35,510,230.20      53,715,086.23      53,715,086.23   
  

 

 

    

 

 

    

 

 

    

 

 

 

DISBURSEMENTS

                           

NET PAYROLL

     1,093,725.20         225,398.93         1,319,124.13         1,319,124.13   

PAYROLL TAXES

     466,871.99         114,230.07         581,102.06         581,102.06   

BENEFITS (INS, 401K, FSA)

     112,085.78         718,126.55         830,212.33         830,212.33   

SALES, USE, & OTHER TAXES

        63,013.92         63,013.92         63,013.92   

SECURED/ RENTAL/ LEASES

     1,815,098.09            1,815,098.09         1,815,098.09   

BANK FEES (INCLUDING DIP FEES)

        832,169.80         832,169.80         832,169.80   

LOAN INTEREST

        110,833.34         110,833.34         110,833.34   

VENDOR DISBURSEMENTS

     7,853,606.50         1,264,328.49         9,117,934.99         9,117,934.99   

OTHER (ATTACH LIST)

        317,000.00         317,000.00         317,000.00   

TRANSFERS (TO DIP ACCTS)

           0.00         0.00   

PROFESSIONAL FEES

        1,277,801.05         1,277,801.05         1,277,801.05   

U.S. TRUSTEE QUARTERLY FEES

           0.00         0.00   

COURT COSTS

           0.00         0.00   
  

 

 

    

 

 

    

 

 

    

 

 

 

TOTAL DISBURSEMENTS

  11,341,387.56      4,922,902.15      16,264,289.71      16,264,289.71   
  

 

 

    

 

 

    

 

 

    

 

 

 

NET CASH FLOW

  6,863,468.47      30,587,328.05      37,450,796.52      37,450,796.52   

(RECEIPTS LESS DISBURSEMENTS)

  0.00      0.00   

CASH - END OF PERIOD

  9,524,540.94      31,648,861.21      41,173,402.15      41,173,402.15   

 

1 There was no activity in the reporting period for the following Debtors: Victory Exploration Inc., Victory Gold Inc., Allied Nevada Gold Holdings LLC, Allied VGH Inc., Allied VNC Inc., Hasbrouck Production Company LLC, ANG Pony LLC, ANG Northeast LLC, ANG North LLC, ANG Eureka LLC, ANG Cortex LLC, and ANG Central LLC.

THE FOLLOWING SECTION MUST BE COMPLETED

Allied Nevada Gold Corp.

 

DISBURSEMENTS FOR CALCULATING U.S. TRUSTEE QUARTERLY FEES: (FROM
CURRENT MONTH ACTUAL COLUMN)

      

TOTAL DISBURSEMENTS

     4,922,902.15   
  

 

 

 

LESS: TRANSFERS TO DEBTOR IN POSSESSION ACCOUNTS

  0   

PLUS: ESTATE DISBURSEMENTS MADE BY OUTSIDE SOURCES (i.e. from escrow accounts)

  0   
  

 

 

 

TOTAL DISBURSEMENTS FOR CALCULATING U.S. TRUSTEE QUARTERLY FEES

  4,922,902.15   
  

 

 

 

Hycroft Resources & Development, Inc.

 

DISBURSEMENTS FOR CALCULATING U.S. TRUSTEE QUARTERLY FEES:
(FROM CURRENT MONTH ACTUAL COLUMN)

      

TOTAL DISBURSEMENTS

     11,341,387.56   
  

 

 

 

LESS: TRANSFERS TO DEBTOR IN POSSESSION ACCOUNTS

  0   

PLUS: ESTATE DISBURSEMENTS MADE BY OUTSIDE SOURCES (i.e. from escrow accounts)

  0   
  

 

 

 

TOTAL DISBURSEMENTS FOR CALCULATING U.S. TRUSTEE QUARTERLY FEES

  11,341,387.56   
  

 

 

 


UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

 

In Re:    Chapter 11
Allied Nevada Gold Corp., et al.    Case No. 15-10503
Debtors     

MOR-1

Schedule of Cash Receipts & Disbursements - Other Explanations

For the Period March 10, 2015 through March 31, 2015

 

BREAKDOWN OF “OTHER” CATEGORY

   Month      Cumulative
Filing to Date
 

Hycroft Resources & Development, Inc. Other Deposits

     

United States Treasury

     1,161.47         1,161.47   

Napa Rebate

     1,900.50         1,900.50   

Southwest Gas Refund

     169.13         169.13   

ADP Payroll Refund

     1,033.16         1,033.16   
  

 

 

    

 

 

 
  4,264.26      4,264.26   
  

 

 

    

 

 

 

Allied Nevada Gold Corp. Other Deposits

             

United States Treasury

     5,470.55         5,470.55   

Discovery Benefits Cobra Reimbursements

     1,594.60         1,594.60   

Advanced Mineral Royalty Receipt

     3,000.00         3,000.00   

National Bank of Canada Interest

     165.05         165.05   
  

 

 

    

 

 

 
  10,230.20      10,230.20   
  

 

 

    

 

 

 

Allied Nevada Gold Corp. Other Disbursements

             

Transfer to Adequate Insurance Account

     317,000.00         317,000.00   


April 30, 2015

Office of the United States Trustee

Subject: Attestation Regarding Bank Account Reconciliations

The Debtors hereby submit this attestation regarding bank account reconciliations in lieu of providing copies of bank statements and copies of all reconciliations.

The Debtors have, on a timely basis, performed all bank account reconciliations in the ordinary course of its business. Copies of the bank account statements and reconciliations are available for inspection upon request by the office of the United States Trustee.

 

/s/ Stephen M. Jones

Name: Stephen M. Jones
Position: Executive Vice President, Chief Financial Officer and Secretary

 

Sworn to and Subscribed
Before me on this 30
Day of April, 2015

/s/ Brandy King

Notary Public
My Commission Expires: 4/29/19


UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

 

In Re: Chapter 11
Allied Nevada Gold Corp., et al. Case No. 15-10503
Debtors  

MOR-1a

Schedule of Bank Accounts and March 31, 2015 Balances

 

Case #

  

Related Entity

  

Bank Name

   Bank Account
Ending In:
     Balance1  

15-10503        

   Allied Nevada Gold Corp.    Wells Fargo Bank              6528         0.00   

15-10503

   Allied Nevada Gold Corp.    Wells Fargo Bank      6536         31,648,861.21   

15-10503

   Allied Nevada Gold Corp.    Wells Fargo Bank      9536         317,000.00   

15-10503

   Allied Nevada Gold Corp.    Scotiabank      1210         130,925.00   

15-10514

   Hycroft Resources & Development, Inc.    Wells Fargo Bank      6544         0.00   

15-10514

   Hycroft Resources & Development, Inc.    Wells Fargo Bank      6551         9,524,540.94   
           

 

 

 
  Total      41,621,327.15   

 

1 Book balance per the Debtors’ general ledger.


UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

 

In Re: Chapter 11
Allied Nevada Gold Corp., et al. Case No. 15-10503
Debtors  

MOR-1b

Schedule of Professional Fees and Expenses Paid

For the Period March 10, 2015 through March 31, 2015

 

Payee

  Period Covered   Amount
Approved
    Payor   Check     Amount Paid     Year-To-Date  
        Number   Date     Fees     Expenses     Fees     Expenses  

Stroock & Stroock & Lavan

  3/1/2015 - 3/11/2015     672,266.54      Allied Nevada   Wire     3/27/2015        670,655.50        1,611.04        670,655.50        1,611.04   
           

 

 

   

 

 

   

 

 

   

 

 

 
  670,655.50      1,611.04      670,655.50      1,611.04   
           

 

 

   

 

 

   

 

 

   

 

 

 


UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

 

In Re: Chapter 11
Allied Nevada Gold Corp., et al. Case No. 15-10503
Debtors  

MOR-2

STATEMENTS OF OPERATIONS1

For the Period March 10, 2015 through March 31, 2015

(Unaudited)

 

    Allied Nevada
Gold Holdings
LLC
    Allied Nevada Gold
Corp.
    Hycroft
Resources &
Development,
Inc.
    Allied VNC,
Inc.
    Victory Gold,
Inc.
    Elimination     Debtors
Consolidated
 

Revenue

  $ —        $ —        $ 14,944,039      $ —        $ —        $ —        $ 14,944,039   

Operating expenses:

             

Production costs

    —          —          11,416,218        —          —          —          11,416,218   

Depreciation and amortization

    —          55,685        3,035,264        —          —          —          3,090,949   

Write-down of production inventories

    —          —          37,019,636        —          —          —          37,019,636   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total cost of sales

  —        55,685      51,471,119      —        —        —        51,526,804   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Exploration, development, and land holding

  35,678      29,069      27,137      31,083      —        —        122,968   

Accretion

  —        —        59,987      —        —        —        59,987   

General and administrative

  —        1,251,731      180,469      —        —        —        1,432,200   

Loss on assets classified as held for sale and asset dispositions, net

  16,871,432      —        22,209      —        —        —        16,893,641   

Reorganization items, net:

Currency swap valuation adjustment

  —        82,174,701      —        —        —        —        82,174,701   

Notes carrying value adjustment

  —        8,041,282      —        —        —        —        8,041,282   

Legal and professional fees

  —        2,255,133      —        —        —        —        2,255,133   

Diesel swaps valuation adjustment

  —        (415,000   —        —        —        —        (415,000

Warrant liability adjustment

  —        (4,643,625   —        —        —        —        (4,643,625
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Loss from operations

  (16,907,110   (88,748,976   (36,816,881   (31,083   —        —        (142,504,051
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Other income (expense):

Interest income

  —        209      —        —        —        —        209   

Interest expense

  —        (777,284   (439,149   —        —        —        (1,216,433

Other, net

  —        —        —        —        —        —        —     
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Loss before income taxes

  (16,907,110   (89,526,051   (37,256,030   (31,083   —        —        (143,720,275

Income taxes

  —        —        —        —        —        —        —     
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net loss

$ (16,907,110 $ (89,526,051 $ (37,256,030 $ (31,083 $ —      $ —      $ (143,720,275
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

1 There was no activity in the reporting period for the following Debtors: Victory Exploration Inc., Allied VGH Inc., Hasbrouck Production Company LLC, ANG Pony LLC, ANG Northeast LLC, ANG North LLC, ANG Eureka LLC, ANG Cortex LLC, and ANG Central LLC.


UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

 

In Re: Chapter 11
Allied Nevada Gold Corp., et al. Case No. 15-10503
Debtors  

MOR-3

BALANCE SHEETS1

As of March 31, 2015

(Unaudited)

 

    Allied Nevada
Gold Holdings
LLC
    Allied Nevada
Gold Corp.
    Hycroft
Resources &
Development,
Inc.
    Allied VNC,
Inc.
    Victory Gold,
Inc.
    Elimination     Debtors
Consolidated
 

Assets:

             

Cash and cash equivalents

  $ —        $ 32,096,786      $ 9,524,541      $ —        $ —        $ —        $ 41,621,327   

Accounts receivable

    —          —          901,582        —          —          —          901,582   

Inventories

    —          —          16,867,610        —          —          —          16,867,610   

Ore on leachpads, current

    —          —          206,067,768        —          —          —          206,067,768   

Prepaids and other

    449,471        2,489,041        4,234,698        54,063        —          —          7,227,273   

Assets held for sale

    16,378,355        —          44,358,303        1,121,644        —          —          61,858,302   

Deferred tax assets, current

    —          —          —          —          —          —          —     
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Current assets

    16,827,826        34,585,827        281,954,503        1,175,707        —          —          334,543,863   

Restricted cash

    —          6,518        38,147,218        —          —          —          38,153,736   

Ore on leachpads, non-current

    —          —          88,314,760        —          —          —          88,314,760   

Other assets, non-current

    —          1,727,861        325,858        —          —          —          2,053,719   

Plant, equipment, and mine development, net

    —          427,381        427,950,763        —          —          —          428,378,145   

Mineral properties, net

    —          —          13,844,586        —          —          —          13,844,586   

Investment in subsidiary

    66,549,819        25,000        (9,071,738     (3,807,909     (2,860,022     (50,835,150     —     

Deferred tax assets, non-current

    —          24,913        —          —          —          —          24,913   

Intercompany receivable

    —          994,851,153        —          —          3,501,338        (998,352,491     —     
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total assets

    83,377,645        1,031,648,653        841,465,950        (2,632,201     641,316        (1,049,187,641     905,313,722   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Liabilities not subject to compromise:

             

Accounts payable

    —          4,038,077        7,376,622        —          —          —          11,414,699   

Interest payable

    —          461,000        —          —          —          —          461,000   

Other liabilities, current

    —          86,985,752        1,096,154        —          —          —          88,081,907   

Debt, current

    —          100,060,833        136,504,379        —          —          —          236,565,212   

Deferred tax liabilities, current

    —          24,912        —          —          —          —          24,912   

Asset retirement obligation, current

    —          —          —          —          —          —          —     
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Current liabilities not subject to compromise

    —          191,570,575        144,977,155        —          —          —          336,547,730   

Other liabilities, non-current

    559,011        55,596        5,188,329        —          557,645        —          6,360,580   

Debt, non-current

    —          —          276        —          —          —          276   

Asset retirement obligation, non-current

    —          —          20,187,022        —          —          —          20,187,022   

Deferred tax liabilities, non-current

    —          —          —          —          —          —          —     

Intercompany payable

    84,884,872        —          913,204,885        262,734        —          (998,352,491     —     
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total liabilities not subject to compromise

    85,443,883        191,626,170        1,083,557,667        262,734        557,645        (998,352,491     363,095,608   

Liabilities subject to compromise:

             

Senior notes

    —          316,640,001        —          —          —          —          316,640,001   

Accounts payable

    —          1,831,000        23,819,000        —          —          —          25,650,000   

Term and security deposit loan

    —          —          17,974,000        —          —          —          17,974,000   

Interest payable

    —          7,515,000        1,621,000        —          —          —          9,136,000   

Accrued compensation and benefits

    —          35,000        1,035,000        —          —          —          1,070,000   

Currency swap derivative instrument

    —          891,000        —          —          —          —          891,000   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total liabilities subject to compromise

    —          326,912,001        44,449,000        —          —          —          371,361,001   

Total Liabilities

    85,443,883        518,538,171        1,128,006,667        262,734        557,645        (998,352,491     734,456,609   

Stockholders’ Equity:

             

Common stock

    —          125,990        —          —          —          —          125,990   

Additional paid-in capital

    77,328,475        749,285,233        62,037,260        —          309,583        (116,008,140     772,952,411   

Accumulated other comprehensive income

    —          —          —          —          —          —          —     

(Accumulated deficit) retained earnings

    (79,394,713     (236,300,741     (348,577,977     (2,894,935     (225,912     65,172,990        (602,221,289
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total stockholders’ equity

    (2,066,238     513,110,482        (286,540,717     (2,894,935     83,671        (50,835,150     170,857,113   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total liabilities and stockholders’ equity

  $ 83,377,645      $ 1,031,648,653      $ 841,465,950      $ (2,632,201   $ 641,316      $ (1,049,187,641   $ 905,313,722   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

1 There was no activity in the reporting period for the following Debtors: Victory Exploration Inc., Allied VGH Inc., Hasbrouck Production Company LLC, ANG Pony LLC, ANG Northeast LLC, ANG North LLC, ANG Eureka LLC, ANG Cortex LLC, and ANG Central LLC.


April 30, 2015

Office of the United States Trustee

Subject: Attestation Regarding Postpetition Taxes

The Debtors hereby submit this attestation regarding postpetition taxes.

The Debtors are current on all of their postpetition tax obligations to the extent that the taxes are not in dispute or subject to reconciliation. To the best of my knowledge, there are no material tax disputes or reconciliations.

 

/s/ Stephen M. Jones

Name: Stephen M. Jones
Position: Executive Vice President, Chief Financial Officer and Secretary

 

Sworn to and Subscribed
Before me on this 30
Day of April, 2015

/s/ Brandy King

Notary Public
My Commission Expires: 4/29/19


UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

 

In Re: Chapter 11
Allied Nevada Gold Corp., et al. Case No. 15-10503
Debtors  

MOR-4

Unpaid Postpetition Payables1

As March 31, 2015

 

     Number of Days Past Due  
     Current      0-30      31-60      61-90      Over 90      Total  

Allied Nevada Gold Corp. Accounts Payable

   $ 4,038,077         0         0         0         0       $ 4,038,077   

Hycroft Resources & Development, Inc. Accounts Payable

   $ 7,376,622         0         0         0         0       $ 7,376,622   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Postpetition Debts

$ 11,414,699      0      0      0      0    $ 11,414,699   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

1 Other than the Debtors referenced above, no Debtors had unpaid postpetition accounts payable balances as of March 31, 2015.


UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

 

In Re:    Chapter 11
Allied Nevada Gold Corp., et al.    Case No. 15-10503
Debtors     

MOR-5

Accounts Receivable Reconciliation and Aging1

 

Hycroft Resources & Development, Inc. Accounts Receivable Reconciliation

   Amount  

Total Accounts Receivable at the beginning of the reporting period

     3,799,000   

+ Amounts billed during the period

     21,057,510   

- Amounts collected during the period

     -23,954,928   

Total Accounts Receivable at the end of the reporting period

     901,582   

Hycroft Resources & Development, Inc. Accounts Receivable Aging

   Amount  

0 - 30 days old

     274,881   

31 - 60 days old

     211,493   

61 - 90 days old

     110,073   

91+ days old

     305,135   

Total Accounts Receivable

     901,582   

Amount considered uncollectible (Bad Debt)

     0   

Accounts Receivable (Net)

     901,582   

Accounts Receivable are routinely collected from 60 to 180 days after sales due to significant time to agree on the final assays.

 

1  Hycroft Resources & Development, Inc. is the only Debtor with revenues and related accounts receivable.

Debtor Questionnaire

 

Must be completed each month

 

Yes

 

No

1.      

  Have any assets been sold or transferred outside the normal course of business this reporting period? If yes, provide an explanation below.     X

2.      

  Have any funds been disbursed from any account other than a debtor in possession account this reporting period? If yes, provide an explanation below.   X  
Explanation - On March 18, 2015, as a result of the bankruptcy filing, the lenders under that certain Third Amended and Restated Credit Agreement (the “Revolver”) redeemed the $10.0 million in restricted deposits which reduced the outstanding borrowings under the Revolver by the same amount    

3.      

  Have all postpetition tax returns been timely filed? If no, provide an explanation below.   X  

4.      

  Are workers compensation, general liability and other necessary insurance coverages in effect? If no, provide an explanation below.   X  

5.      

  Has any bank account been opened during the reporting period? If yes, provide documentation identifying the opened account(s). If an investment account has been opened provide the required documentation pursuant to the Delaware Local Rule 4001-3.   X  
Explanation - On March 25, 2015, pursuant to the order determining adequate assurance of payment for future utility services and approving adequate assurance procedures, the Debtors opened an account to hold the adequate assurance deposit for the benefit of certain utility providers. See the attachment which identifies such account.    


LOGO

Commercial Account Signature Card

I. Account Title(s)

 

Add more accounts   Remove
Account #1

 

CoiD  

182

        (internal Use Only)  
Account Type:       x  Checking (Non-interest)  
        ¨  Checking with Interest  
        ¨  Money Market Account  
        ¨  Other                                                                        

 

 
Title Line 1  

Allied Nevada Gold Corp.

 

(Customer’s Legal Name. Should match Federal income tax return. 40 characters max.)

 
Optional Account Title Lines (40 characters max per line.)  
Title Line 2  

Debtor in Posession Case 15-10503-MFW

 
Title Line 3  

Adequate Assurance Deposit Account

 
Title Line 4  

 

 
(Enter DBA Name in last available title line, if applicable.)  

 

II. Regulation GG Certification

 

Customer or any entity for which account(s) will be maintained (f/b/o) engaged in business of internet gambling?           ¨ Yes    x No

 

III. Authorized Account Signers

 

Add more signatures                 Remove               
#1    LOGO    Stephen M. Jones    EVP & CFO
  

 

  

 

  

 

Signature Printed Name Position/Title
#2 LOGO Joseph B. Doherty Treasurer
  

 

  

 

  

 

Signature Printed Name Position/Title
#3
  

 

  

 

  

 

Signature Printed Name Position/Title
#4
  

 

  

 

  

 

Signature Printed Name Position/Title

 

IV. Customer Acknowledgement & Agreement

On behalf of the Customer, I hereby certify, by my signature below, that each of the individuals designated in Section III above as an “Authorized Signer” is authorized, acting alone, to (a) sign checks drawn on and make cash withdrawals from the Account(s), (b) request stop payment orders for checks drawn on the Account(s), and (c) initiate funds transfers by ACH, wire or other means from the Account(s) in accordance with the Customer’s contractual arrangements with Wells Fargo regarding these services. Wells Fargo may obtain credit reports or other information about the Customer. Wells Fargo may disclose information about each account to its affiliates, to credit reporting agencies, and to other persons or agencies that, in Wells Fargo’s judgment, have a legitimate purpose for obtaining the information.

I acknowledge that the Customer has received Wells Fargo Bank’s Commercial Account Agreement and agree that its terms and conditions, as amended from time to time, will govern the Account(s).

 

Commercial Account Signature Card Page 1 of 2
(Rev 03/14)


Joseph B. Doherty

Corporate Treasurer

Printed Name Position/Title
LOGO 03/25/2015

 

    

 

Authorized Signature Date

 

V. Substitute Form W-9

¨  W-8 provided for Foreign Entity (Substitute W-9 Does Not Apply)

 

Allied Nevada Gold Corp.

Customer’s Legal Name (as shown on Customer’s Federal income tax return)

 

 

Business Name/Disregarded Entity Name (if different from above)

 

¨  individual/Sole Proprietor x  C Corporation         ¨  S Corporation         ¨  Partnership         ¨  Trust Estate        
¨  Limited Liability Company Enter the tax classification (C=C Corporation, S=S Corporation, P=Partnership)             
¨  Other

 

 

9790 Gateway Dr., Suite 200

Address (number, street, and apartment or suite number)

 

Reno

NV

89521

City State ZIP Code

Part I. Taxpayer Identification Number (TIN)

Enter your TIN on the appropriate line below. The TIN provided must match the Customer’s legal name on the first line of this Section V to avoid backup withholding. For individuals, this is your social security number (SSN). However, for a resident alien, sole proprietor, or disregarded entity, see the Form W-9 Part I instructions at www.irs.gov for additional information. For other entities, it is your employer identification number (EIN).

 

 

XX-XXXXXXX

Social Security Number (SSN) Employer Identification Number

Part II. Certification

Under penalties of perjury, I certify that:

 

1. The number shown on this form is my correct taxpayer identification number (or I am waiting for a number to be issued to me), and

 

2. I am not subject to backup withholding because: (a) I am exempt from backup withholding, or (b) I have not been notified by the Internal Revenue Service (IRS) that I am subject to backup withholding as a result of a failure to report all interest or dividends, or (c) the IRS has notified me that I am no longer subject to backup withholding, and

 

¨ You must check this box if you have been notified by the IRS that you are currently subject to backup withholding because you have failed to report all interest and dividends on your tax return.

 

3. I am a U.S. citizen or other U.S. person, and (See the Form W-9 Part II instructions at www.irs.gov for additional information.

 

4. I am exempt from Foreign Account Tax Compliance Act (FATCA) reporting.

 

Joseph B. Doherty

Treasurer

Printed Name Position / Title
LOGO 03/25/2015

 

   

 

Authorized Signature Date

 

 

Bank Use Only

 

© 2013 Wells Fargo Bank, N.A., All rights reserved.

 

Commercial Account Signature Card Page 2 of 2
(Rev 03/14)