US Precious Metals (fka USPR)

[gitreal]

USPR uses illegal terms to promote itself.

In this PR, http://www.otcmarkets.com/stock/USPR/news, and on their website, they state this:

The Report calculates Indicated Resources for the drilled acreage by zone and reports the following Total Indicated Resource:

Indicated Mineralized Material: 6,283,500 tonnes

Au (Gold) Indicated Resource: 954,957.91 troy ounces

Ag (Silver) Indicated Resource: 4,651,690.38 troy ounces

Cu (Copper) Indicated Resource: 68,680 tonnes

The above tonnage and resource amounts have been determined in accordance with NI 43-101 standards.

John Gildea, CEO of USPR stated; "We are thrilled to announce the results of this Technical Report. I want to thank all of our employees and loyal shareholders that have helped us reach this momentous milestone. Now that the Report is complete, I would expect further milestones of our business plan to occur at a more accelerated pace. We are currently in the planning stage to commence an additional 5,000 meter drilling campaign, along with other exploration efforts, early in 2016 to expand upon these results. I will keep our shareholders apprised of all developments as they occur."

Cautionary Note to Investors Regarding Estimates of Indicated Resources

This press release uses the term "Indicated Resources." We advise investors that this term is not recognized by the United States Securities and Exchange Commission (the "SEC"). The estimation of Indicated Resources involves greater uncertainty as to their existence and economic feasibility than the estimation of proven and probable reserves. Mineral resources are not mineral reserves, and investors are cautioned not to assume that indicated mineral resources will be converted into reserves. Investors are urged to consider closely the disclosures in our Form 10-K and other SEC filings.

SEC's Guide 7 in www.sec.gov/about/forms/industryguides.pdf states this:

3.
Estimates other than proved (measured) or probable (indicated) reserves, and any estimated values of such reserves shall not be disclosed unless such information is required to be disclosed by foreign or state law; provided, however, that where such estimates previously have been provided to a person (or any of its affiliates) that is offering to acquire, merge, or consolidate with, the registrant or otherwise to acquire the registrant’s securities, such estimates may be included.

So, even though USPR has a disclaimer saying that the SEC does not recognize the term of "indicated resources", they failed to mention that the SEC actually forbids their use entirely ("shall not disclose"). So, USPR is willfully ignoring SEC rules and regulations regarding use of 43-101 terminology. Just like they did in 2011 and got slapped with a series of SEC comment letters prohibiting them from use of 43-101 terminology.

This company is obviously desperate to promote itself, and willing to risk running afoul of the SEC. And nowhere has the company or their consultant issued a dollar valuation of in-ground minerals. Despite what some would like to think.