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July 15, 2011
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Just an update on my post from 2/25/11. As I stated then, this is a high risk penny stock and could turn out to be a total bust. However, it should be looked at as a long term investment. Current price is between .0005 and .0006/share (can't go much lower). However, they have a plan to become profitable in the next 18 months and have been making consistent progress on their plan. Last year, they purchased a modern milling facility and are very close to completing the required permits to allow it to go back into production. They've purchased several mining properties with proven reserves of minerals worth over $250 million. They also have contracts with several other mining companies to process their ore. They are currently classified as an exploration stage company and have not had any revenue. I like their prospects for producing a profit within the next year. I'm betting when this happens we'll see some significant upward movement on the stock price. You can currently buy one million share for between $500 and $600. If the price reaches a penny your investment would be worth $10,000. On the downside, up until now they've been using their stock to pay their vendors and employees and this has produced downward pressure due to dilution and shares being converted to cash. At some point I would not be surprised to see a reverse stock split. In any event, don't invest anything you can't afford to loose but if you're patient, my bet is that you'll make some money on this one.
