Commodities Investment Holdings, LLC
Limestone – $60 Million Equity
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John Haltmaier | Managing Director
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(973) 699-7995
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Overview
Commodities Investment Holdings (CIH) is seeking $60 million of equity to scale operations at two limestone quarries, acquire a third limestone quarry and repay debt.
CIH has significant assets, valued at well over $200 million based on management estimates applied to proven limestone reserves.
Mariana, FL limestone: 1.2 billion tons of high-quality reserves near Tallahassee, FL
Batesville, AR limestone: 640 million tons of industrial and agricultural grade reserves
Thornhill, TN: agreement to acquire 50 acre operating limestone quarry for $4.25 million
Limestone Operations
Marianna reserves include some of the highest quality limestone reserves available in terms of purity and “brightness” where some mining seams having up to 99.5%+ pure calcium carbonate with no contaminates
- multiple end uses in industry, construction, and agriculture
- purity level is high enough to pursue high-value opportunities in paint, paper, food and pharmaceuticals
Batesville and Thornhill limestone is industrial grade with uses in animal feed, concrete, road base materials and agricultural lime
Thornhill has been in operation for over two years, selling as much as 13,700 tons per month
Management and Advisors
Robert Stout | Chief Executive Officer
- Responsible for overall corporate governance and financial oversight
- Over 45 years of management experience, including managing teams in multiple global offices designing, implementing and managing world-class corporate data and communications services. Has served on the board of directors and as an officer for various companies and entities
- Six-year veteran of the US Air Force
Charles Rouse | Chief Operating Officer
- Over 40 years in the materials business and a seasoned operations manager having worked for several well-known quarry and materials companies, including Taylor Construction, Vulcan Materials, Florida Rock and Columbus Quarry
- As COO, will be responsible for managing every facet of the operation, including work-flow planning, budgeting, quarry design, equipment acquisition and maintenance, and customer relationships
Timothy Howard | Professional Independent Engineer
- Provides independent reserve evaluations and consulting services on all phases of mine layout, design, equipment selection, preparation materials handling and disposal, reserve evaluation, property management, reclamation permitting and regulatory agency consulting
- Currently with Howard Engineering & Geology, Inc. – co-founded in 1988. Professional Engineer in KY, TN, and VA. Member of the American institute of Mining Engineers and the National Society of Professional Engineers
- BS, Mining Engineering, University of Kentucky
Clifford Ellery | Chief Technology Officer
- Responsible for technology products for design, development, and delivery, as well as the technical design and operational responsibilities for the day-to-day network, computing, and communication of all of the companies within the Kingdom Logistics Mining family of companies, including CIH.
- Over 20 years of experience in data management, data transport and system security. Previously, VP of Research and Development for CommProve Ltd., Italy, which provided network monitoring and business solutions for wireless operators and CEO of CommProve IT Corp, its US subsidiary.
- Earlier was CTO for DRM Security, a leader in the development of solutions designed to improve the way companies can protect their digital assets while enabling controlled sharing. Nine-year veteran of the United States Navy and a graduate of Purdue University.
Thomas Duszynski | Chief Financial Officer
- Serves as CFO of Kingdom Logistics, the parent company of a group of integrated natural resource companies, including Commodities Investment Holdings. Previously was CFO of Augustine Capital Management, which invested in public and private companies.
- Responsible for due diligence on target companies with emphasis on valuations, accounting, systems and internal controls.
- Has also consulted privately with natural resources companies on valuation and accounting controls. Earlier conducted audits for a CPA firm in Chicago and for the IRS. CPA, Illinois. BA, Accounting with Honors, University of Illinois at Chicago.
Specific Risks
- The company may not be able to scale operations for limestone as expected
- Forecasted results may not occur due to any number of factors, such as adequate staffing, availability of equipment, proper equipment maintenance and availability of spare parts, among other things
- Limestone demand and prices are tied to various macroeconomic factors, such as infrastructure and construction spending, which can vary from year-to-year
- Fuel prices and other operating expenses may be higher than expected
- Private securities are speculative, illiquid, and carry a high degree of risk – including the loss of the entire investment