Elray Resources Inc (ELRA)

[sweet crude]

ELRA Update to Shareholders (Dec 01, 2011)

Elray Gaming (OTC:ELRA) Provides Update on Online Gaming Operations
Last Updated: December 01, 2011 - 10:25am EST

(NEW YORK) --Elray Gaming, Inc, an online gaming company which is traded under the name Elray Resources, Inc (OTC:ELRA), has provided us with an update to shareholders regarding current operations.

Below is a copy of the statement received by Brian Goodman, the CEO of ELRA on Dec. 01, 2011

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Dear Shareholders,

I would like to take this opportunity to provide you with an update on the company.

We have made good progress since you invested and we have overcome a number of short term obstacles which has now positioned us well as we lead up to the new fiscal year.

As we enter the new financial year, we have decided to review and update our strategic business plan and have decided that we will now acquire, develop, support and market software for the gaming industry. Owning intellectual property enables us to now deal with current online casinos as well as most US land based casinos that have not yet entered the market as it is currently not legal to operate in the US.

We believe that as US laws change we will be well positioned to offer product and services to them. This is really exciting and will add immense value and a strong foundation for the company to generate revenues and profitability in the long term.

I have summarized our accomplishments below:

During February of this year we concluded a reverse merger of the Splitrock Gaming assets into a fully reporting listed company by the name of Elray Resources Inc. ELRA.OB www.elraygaming.com

1. All shareholders of Splitrock received 30 shares in Elray Resources for every share that they held in Splitrock.

2. Elray Resources Inc. is a fully reporting company listed on the Bulletin Board. It is DTC eligible and has a broad base of supportive shareholders.

3. The total shares outstanding at the time of the Merger were approximately 37 Million.

4. The quantity of shares issued to the shareholders of Splitrock in consideration for the sale was 600,000,000 with further shares being issued to raise some additional capital.

5. Significant, positive and welcome changes have taken place in the online gaming industry over the last 18 months. Many countries have introduced legislation that permit online gaming within their jurisdictions. These changes will open opportunities for corporations that have traded legally in those jurisdictions to apply for online gaming licenses and for these corporations to provide intellectual property and services to land based casinos, state lotteries and third party online gaming sites that are seeking to enter the online gaming markets. As a result of these positive developments, Elray intends entering this market.

6. Elray plans to acquire, develop, service and support its own Gaming IP and to license this technology to both online gaming as well as land based operators. We intend becoming a leading technology provider to this lucrative market.

7. We will also provide managed services to clients and licensee’s, providing a turnkey environment offering a state of the art gaming platform, best of breed slot machines and table games. The domain knowledge that we have developed over the last 8 years augers well for our success in the market.”

8. In line with this strategy we have, as of last week commenced a due diligence investigation into a Gaming Technology company that owns licenses and operates its own gaming technology.

9. Elray is negotiating a term sheet with this Eastern European company and expects to have completion by year end.

10. Elray is also in negotiations to complete an agreement with a financial services company to offer a product that offers customers Financial Service speculative products in the form of Forex, CD’s, Options and Stock. This product will be targeted at the lucrative Social Networking and Fantasy market both in the USA and Globally. Via our JV partner we will have full financial licenses in 8 regulated countries.

11. The financial JV partner is one of the largest global Forex brokers, trading over 210 Billion Dollars monthly with 630 employees in 50 offices in 20 countries.


Most of you were “Early Stage” Investors and as such you have realized an excellent return on your investment.

We will shortly be making press announcements in line with the above and we expect these announcements to be adopted favorably by the market and to be reflected in the share price.

I would like to take this opportunity to thank you for all your support and patience over the last few years and look forward to growing the business in the coming New Year

Kind Regards,

Brian Goodman, CEO
Elray Resources, Inc
(OTC:ELRA)
Email: [e-mail]


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About Elray Gaming

Elray is an established Global Online Gaming entity which owns and licenses Gaming Intellectual Property, Gaming Domains, Trademarks and Player Databases. Operations are headquartered in Curacao, Netherland Antilles and maintain offices, representatives and support facilities in the United States, United Kingdom, Australia, South Africa, Mauritius, Israel and the Philippines. Elray's business model is to offer Internet Gaming Products to non-US players in jurisdictions where online gaming is permitted. www.elraygaming.com

Update Link -> http://www.wallstreetnewscast.com/news/2011/dec/elra-1684.html

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