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Hi $oldier... hope you are doing well... good days are coming.
if there are cheapies....I will be waiting! LOL
Good evening MTRE'ers....
...quite a turmoil in the markets today, but MTRE is sitting steady, waiting for news.... maybe tomorrow?
I am on the cheapie plan, so can't PM. Please use email: lion@ldj.net
FBS,
Yes, as the US dollar falters, the Cdn dollar is worth more comparatively, so yes, "more bang for our buck". A few years ago, when the exchange rate was .63, it cost us approximately $1.58 Cdn to buy something worth $1.00 US when visiting down there. Likewise, Americans visiting Canada could buy something priced at $1.00 Cdn for only 63 cents US. That made it very attractive for American kids to come to school up here at that time.
Things are pretty even right now, but if the US dollar continues to lose ground, we could have a stronger Cdn $$ again like we did for awhile this spring.
Lion
No, I am serious about $2.50 to $3.00. Once the acquisitions close (which is coming soon after the uplist is done), we will have a company with huge revenues and profits, but with a very tightly held float. I think we will see a relatively quick jump to the $1.00 area and after that it will take a few quarters of reporting financial results to get the rest of the way. I am expecting it to be over $2.00 in 2009...
Lion
..once MTRE hits $2.50 or $3.00 (which I expect will be within a year or so), the relative value of the Cdn$ won't be a problem, one way or the other!
I am on the cheapie plan, so can't PM. Please use email: lion@ldj.net
Nice summer weather - should be 75F today - 82F tomorrow....
birds are singing, grass is green.... feeling great, thanks!
Enjoy Branson, FBS... wish I could join you.... maybe next year.
Yes, indeed, FBS!
MTRE on sale again....thanks for the .34 shares today.
We are establishing a new base here as those who bought low sell at a profit and new people come in with a .004 entry point, IMO. Nice volume today!
NorthLion
Doesn't like there were any cheapies available today.... maybe we are done with that???
Lion
Hi Bee....
He lives up near Anarchist Mtn (west of Bridesville a bit) - not sure where he is fighting right now. He isn't on the computer much - likes his horses on the ranch better than this stuff, LOL.
Roosterdoo...my brother-in-law is into firefighting heavily on the Canadian side near Osoyoos....I think you are also in the same neck of the woods below the 49th?
...agreed, Chevy... maybe the CEO will be a bit more cautious in his time projections.... but it is hard to be mad when he comes back with the news and it is better than what he said it would be, and better than anyone would have expected!! Gotta love it!
The company does need new investors, and I can also understand why many have hesitated to get in - at least till now. Afterall, it was only a shell; they had plans and deals, but they were all in limbo, waiting for restructuring, waiting for filings, waiting for uplisting, etc. etc. How many other companies have been there and then not come through?
But we are just about past that now -- MTRE IS coming through, and once the fireworks begin and people realize that this is the real deal, I think we will be on our way to new levels. For those who can grasp that now - like this week - bonus for them, because the train is about to leave the station, IMHO of course.
Lion
I am on the cheapie plan, so can't PM. Please use email: lion@ldj.net
I think that it is very understandable that timelines were not met. What they are building here, with two companies being set-up and multiple acquisitions happening all at once is no simple task. Throw in regulatory bodies that want every "i" dotted and "t" crossed just right, and it makes for an immense task. Of course, it would be better if the company had allowed for some delays when setting out their timelines, but in their enthusiasm they didn't. But, when I consider what is being put together here, of which we will be the beneficiaries, I am not holding anything against the company at all, and am excited about what I expect is coming next.
Lion
I am on the cheapie plan, so can't PM. Please use email: lion@ldj.net
Starnes....these guys have always done what they said - often they have EXCEEDED what they said. They have not always met their own suggested timelines, but that is not unusual in this industry and is usually due to factors outside of anyone's control or ability to foresee.
Chevy, I like the words you are using: "explosion" and "storm" about to break loose... it sounds pretty exciting, and reflects how I am feeling as well.
We have been waiting, anticipating, adding a few more shares here and there.... and now I think we are just about ready to launch.
I liked last Friday's NR - very comprehensive; it was all there!
Lion
I think the .25's are gone, $oldier.....anyone selling at that now is out of their mind (IMO only, of course, LOL)! But, there was a little today at .30 and they didn't go to me....oh well. I suspect the momentum will pick up strongly from here. We shall see...
I am on the cheapie plan, so can't PM. Please use email: lion@ldj.net
yes, actually it was 9900 to me and I guess the MM kept the other 100 for inventory
Hi $oldier and Starnes...
I picked up some at the ask today. I was wanting to fill in a bit more to get to my target number, and I have been waiting for several days to get filled at .30 and .35 and .45 -- but now it was "no dice". Time's a wasting as this baby is about to start walking on its own two feet.... today I could hit the ask at .55 and know I would get filled. By tomorrow or the next day, who knows...the ask might be a lot different. Plus, after picking up some .25's last week, the average is still good.... I think I am done now (I have said that before a few times, LOL).
As we have seen, the pieces of the puzzle are falling into place one by one.... and the picture that is forming is beautiful, IMO.
NL
I am on the cheapie plan, so can't PM. Please use email: lion@ldj.net
Second of July, FBS? LOL July 1st is Canada Day up here.
That's already history, but Happy 4th of July to all of you Yankees (I hope it's alright to call "you'all" Yankees, even if some of you are from the South). Enjoy the fireworks and such.... hopefully we'll see some "fireworks" with MTRE soon as well.
Cheers!
NorthLion
FBS...did you snag those 12000 at .25??
yup...am anticipating great things.... cannot imagine who dumped a bunch today. I guess there are holders in various places, who may not follow this board... I think most who do would not be wanting to sell off like that...
hey $oldier...how's tricks?
LOL.... yeah, crazy stuff... I have more than one account (different brokers) and depending on what day it is, sometimes an order in one account gets processed and the other doesn't, but then it could flip the other way on another day... hope it works out for you to get some more also...
NLion
Berge...Lion indeed did have a hand in there.... crazy business though... my .25 orders got filled while my .28 order in an different account was bypassed all day.
I can't believe I could get so many shares for so cheap... I feel a little guilty for it, actually... but not for too long, LOL.
Lion
Anyone selling at this point is making a big mistake, IMO....
Anyone buying at these levels is getting themselves absolute steals....
NorthLion
I added 300,000 also between .0023 and .0025
Lion
I think that with some of us picking up any of the shares that came loose over the past few weeks, that the % of the float held by longs is just larger than ever, meaning there are yet fewer shares available to buy.... the results could be amazing!
Hi gang... all it is going to take is some news and I think we will blow all the chart patterns apart.... this one has been percolating for awhile and soon will "pop". Could be any day.
I took the opportunity to pick up some more this past week. Still am fully divisible by three everywhere.
Lion
Hey Berge....
Not too much happening with AZTC lately...anything in the wind?
NLIon
I am on the cheapie plan, so can't PM. Please use email: lion@ldj.net
Yup...the details as they have emerged have satisfied me that we are on track, and I am looking forward to great results from this stock. I was very reserved and skeptical about EXPH for a long time (well before the action of the past 2 weeks), but I am now positive and glad to have had the buying opportunity. I am sitting on a fairly good chunk (but will not give numbers).
Lion
Lion is holding strong, Taki.....added some more today.
It sure is neat to hear how these shares are falling into the right hands....
Lion
Good job, Starnes!
.25 = .0017 presplit -- that's a bargain in my opinion, so I participated in the action today as well.
It will good to get news, but once the news comes, we won't be buying at these levels....
NorthLion
Yes, yes, yes! Go, Suikoden!
A little bit of pain and this board will clean up in a hurry and become a decent place to hang out.
NorthLion
A 10Q for the first quarter of 2008 was filed on May 15th:
http://www.pinksheets.com/edgar/GetFilingHtml?FilingID=5938561
CYID is showing good profit from the outset. There have been a lot of new shares issued to specific parties, but the company has "make-good" clauses to help protect the value of its shares. This one seems to have little exposure, is below the radar screen and it will be interesting to see where it goes over the next year.
NorthLion
SGR AGM June 23, 2008 – Part 3
Question and Answer Time
1. How many ounces will you produce per year by 2102? Projection is for 150,000 ounces per year, based on .23 ozs per ton.
2. Is anything more being planned for promotion? The most effective thing right now has been one-on-one meetings with heads of mutual funds. Whereas up to a year ago we could not get an audience with them, now we are being asked to come in and present to them. (We have an advantage now since we are not asking for any financing).
3. Someone noted that we should include a chart in the presentation showing that our share price is undervalued when considering all we have, when compared to other juniors.
4. Are we valued as a typical junior on the basis of $250 per ounce as a gold price or more like a senior using $500 or more as a gold price? Dale said these valuations are all over the map.
5. Is SGR planning to seek any more financing to expand exploration? No plans for that at this time, but if they did, it would definitely go toward developing the hinge zone.
6. Someone suggested that SGR should join with other juniors in the new initiative aimed at thwarting the shorting of junior gold companies by bankers. Dale agreed that it sounded logical, and he will give the matter some review to see whether it would really be beneficial, keeping in mind that SGR needs to keep good relationships with its bankers too.
7. How is employee retention now as compared to a year ago when they had difficulties in this area? Things have stabilized a lot now. Adding contractors has introduced a higher standard and adding Mr. Ian Berzins, the new COO, will also help.
8. Has the company considered other alternative financing such as convertible debentures or royalty-connected financing? Nothing else is being considered at this time.
9. When does SGR expect to be cash flow positive? Later this year, likely around the end of the third quarter.
10. What level of production does SGR now have? SGR processed 450 tons of ore per day in May and is hoping for better in June. Since January 1st, SGR has produced approx. 3000 ounces of gold in Q1, and it will be between 6000 and 7000 ounces in Q2. The target now is for 40,000 ounces for 2008.
At this point, the new Chief Operating Officer, Ian Berzins, was introduced. He mentioned that SGR is developing a world-class ore body, and that we now need to step-up the production. The grade has still been low on account of a fair bit of developmental ore still being processed. They will be working at getting some of their best former people back on the workforce and ramping up production.
11. When do they expect to get D Zone production to the mill? SGR has been shrinkage mining in 3 veins for about 6 months, so the ore is not coming out from there yet, but it will be in the 2nd half of 2008. There should be between 100 and 150 tons per day coming out from there. That will increase the production going through the mill from the current 400 ozs from RLGM and 200 ozs from SGR1, upping the amount from RLGM. The stockpile of broken ore has grown bigger from the 30,000 tons they had before; they expect to have an ongoing stockpile going forward as some ore gets taken to the mill and other new ore is added to the stockpile.
12. Will they need to expand the workforce further? Not much now; the work crews have more experience all the time and adding the contractors has also helped.
13. Is SGR able to meet its estimates for production since last year you had projected 40,000 ounces production in 2007? Dale admitted that the company is way behind on achieving previous estimates, partly due to financing delays when CIBC financing fell apart last year, and partly due to some workforce issues. But SGR can now produce at a cost of $350/ton based on a steady rate of 800 tons of production/day.
14. Is SGR pursuing any joint-ventures with others? SGR is fulfilling its current JV commitments, but is more focused on developing the new zones on its own property.
15. How many drills are operating? There are currently 4 surface drills (2 on the recent Hinge zones, 1 on the “fringe of the hinge”, and 1 exploring the newer hinge areas. The are 2 to 4 drills underground and more underground drills are expected. The underground drills are working in the relatively untouched deep east zones and at 26 level.
16. What will be the cut-off point for the next 43-101? That is a difficult question as we were adding ounces so quickly. It doesn’t make sense to issue a 43-101 when you have 2+ million ounces when you know that you would have another 1 million to add if you wait just a little longer. But, they are going to cut it off shortly, including what they now have from the recent Hinge Zones.
17. There were previously plans to build a ramp from 26 level; is that still happening? They need to split the high grade zones into manageable blocks. They now have an area where there is 1000 feet without access, so this must be split up. By putting a ramp down into this zone they can develop manageable blocks to create shrinkage stopes. Although the ramp is started, it is not far along yet as they are concentrating on first drilling off this zone from the 26th level to better define the veins for actual mining in order to justify the capital expense of the complete decline. Therefore, they need to get more ore per vertical foot which they may be able to do going laterally more than vertically right now. The drilling is required to determine the best way forward. Ian B. added that there has been a tendency to spread out and work in diverse areas before, and they want to try concentrating efforts more in one area now to help keep cost of production lower.
18. Are you “forward selling” inventory? No.
19. If you do any further financing, would it be practical to go to your existing shareholders first through a rights offering? It was agreed that this made sense.
20. In SGR1, is the method of mining still long-holing or shrinkage mining now? Some of both, but we now need to do more drilling ahead to make it bigger.
21. What should our share price be? The market has not been friendly to our sector in general, but the SGR story and plan has made this company more attractive than others and helped our share price. The new discoveries have helped drive the share price up recently. Dale said: “Nobody else is finding high grade near surface, near a mill, on permitted land ….there is no question that this is driving what is going on now.”
22. Will the new 43-101 also help drive up the share price? When will it be out? It is expected that the 43-101 will help the share price, but Dale would give no guidance on a date; it is being worked on right now, and since dates have been missed too often in the past, that it is better to not give a date.
23. Is the mill running on and off still? Yes, running 4 to 6 days and then shutting down for maintenance. Then they build up inventory and run it again.
24. How long does it take to get drilling results? It usually takes between 6 to 8 weeks to get results; sometimes you have to get after the labs for them. Then they have to get all our checks back before they can confirm the numbers and release them.
25. Does SGR have any issues with acid drainage from its tailing ponds? No, they are actually an acid consumer because there is carbonate in the rock that actually works against acidity so there has not been an acid issue.
26. Comments on recent mine issues by delegations? There have been about 10 visits in the last year, and in exponentially increasing numbers.
Hugh Wynne then took the floor and introduced the new Director, Michael Power. Hugh then made some closing remarks, thanking everyone for their patience: seldom does everything go according to plan, but hopefully there will be much more progress to report by the next meeting.
SGR AGM June 23, 2008 – Part 2
Following a short break, Dale Ginn led the meeting as he showed a Powerpoint presentation. Some of the points made during the presentation (taken from slides or from what Dale said include):
There are approximately 215,000,000 shares of SGR outstanding, and valued at $2 that gives the company a Market Cap of $430,000,000. Management holds about 12% of the shares and institutions now hold about 60%. The average daily volume over the past 3 months is 1.2 million shares traded daily.
SGR is on the Manitoba side of the Greenstone rock formation and Red Lake is on the Ontario side. Manitoba has seen less than 1% of the exploration dollars spent on the Greenstone belt, and most that which has been spent has been by SGR. Dale said “We are truly a leader in the Rice Lake Belt and in Manitoba Gold.” SGR will continue to be aggressive explorers and are encouraging their neighbours in the greenbelt to “pick up the pace as well”
San Gold’s objective was to have a large central position within the Manitoba Greenstone belt and then have other peripheral companies come to SGR for development and/or production.
The new high-grade discoveries (e.g. Hinge Zones) are in volcanic formations that are different from the main rock formation where gold was previously thought to be concentrated. The new geological model sees the gold deposit as structural implying that all the volcanic rock previously unexplored is prospective for gold mineralization.
Dale said “We’ve broken the old model. We’ve looked at the geology differently”
All the benefits of SGR’s location were highlighted including stability, permits and energy costs.
The main Rice Lake Gold Mine goes down to over 5500 feet. Cartwright has been drilled down to the 1200 foot level; the same is true of SGR#1 and SGR#3 as well as the new Hinge Zones.
Dumas has contractors working in the lower zone of the main Rice Lake mine, whereas SGR employees are working the upward trending zones from the 4500 foot level in the main mine. Dumas has already developed about 6 months ahead of requirements.
Cartwright is believed to be a twin to the main Rice Lake Gold Mine. There are plans to construct an incline from a new portal to access both the Cartwright and new Hinge Zones.
There are amazing parallels between Goldcorp’s Red Lake experience and SGR. In both cases, there were known gold trends going in a certain direction, but then new higher grade areas were found going off in a different direction at 5000 feet.
The advantage of the new Hinge Zones is that they are near the surface so much easier and less costly to access.
SGR#1 is accessible down to the 600 foot level. They have drilled past that to the 1200 ft. level but have more work to do there. They will now mine the available ore and drill to “stretch it out at depth”.
The mill is working regularly. They are able to recover about 50% of the gold in the mill by gravity and this will probably increase with the Hinge deposit as there is a lot of visible gold in that ore (gravity is the quickest and lowest cost method – the rest is recovered through leaching and electrolytic methods).
Dale showed a production projection chart going to 2012. It showed projections for 200,000 tons or ore and approx. 50,000 ozs of gold for 2008, and showed approx. 300,000 tons of ore and approx. 80,000 ozs of gold for 2009. [This was not a detailed chart and was mainly intended to display a growing production, IMO] It projected over 150,000 ounces per year from about 600,000 tons of ore in 2012. [That indicates that the plan to expand mill capacity is still ahead].
Dale commented that anything above their regular average grade (as per the last 43-101) can be considered the upside to this chart. The new 43-101 will be compiled soon and will include the high grade in the main Rice Lake Mine and the Hinge zone, and with that a revised mining plan that will give them “a different looking production profile”.
Manitoba has the cheapest power in the world – 2.5 cents per kilowatt hour versus 9 cents per kilowatt hour just across the border in Ontario. In addition, Manitoba is a stable, pro-mining jurisdiction, SGR is fully permitted and has infrastructure already in place. There are currently about 250 employees plus 35 contractors working for the company.
We then looked at an overhead diagram showing the locations of several axes (plural of axis?) – the first one holds the main Rice Lake mine structure, the second axis is where the lower Rice Lake mine zones are found (over about 1 kilometer to the east). Now we have the rich new Hinge zones in another (third) axis yet further to the east. It is supposed that there may be as many as 6 more axes to drill – and there are old mine workings in some of them where they have previously found gold at surface!
In addition to the Hinge the implication of the new geological model is that the entire SAM unit should be prospective for gold veining so they started drilling off into the footwall side that had not been actively explored since the 30’s and found ore very close to the existing infrastructure. This area holds a lot of potential.
Dale described the Vein #4 in this Hinge #3 zone this way: “Dipping to the North at about 60 degrees and we’ve now found that this Hinge #4 is at least from surface to 1200 feet deep and the average width is about 14 feet… and the average grade is about 1 oz per ton… at least 4 times the grade we are normally dealing with.”
The next slide showed a cross-section of the mine showing the same angular trends of the various gold-bearing formations, including the new hinge zones east of the main mine. It was noted that there is also a vein off to the east of the main mine unit at the 5000 foot level with all the characteristics of the Hinge veins
(from drilling done in 1994 that penetrated beyond the SAM unit into the volcanic rocks) . It is believed that the gold-bearing veins may extend throughout…… [implying: in which case there is one huge amount of gold in that rock!!]
The sum of this all is, as Dale said, that we have discovered a new system, not just another individual gold-bearing location.
SGR has been aggressive in exploration and will stay aggressive in exploration. The previous cost for exploration was about $20 per ounce; in these new near-surface zones, the cost has dropped to about $2.00/ounce.
There is still 20 km of favourable ground for exploration they have yet to get to.
We then looked at a map showing the new Dalton property on the SW corner of Timmins, ON. There has been 60 million ounces of gold produced in the main gold camp on the east side of Timmins over the years. The Dalton property that SGR got is in a volcanic sediment formation and meets the criteria SGR looks for in any potential property – favourable geology near existing production. It was acquired at a favourable price.
There was a second property shown on the map also believed to be SGR’s but it was not discussed.
Looking at charts of SGR’s share price as compared to other gold companies, both junior and senior, SGR has outperformed, especially with the recent upward movement in share price. In general, the markets recently have not been kind to gold companies, especially juniors. SGR is the only one that has gone up after doing a recent financing.
That concluded the presentation and we then moved on to a question and answer time (to follow).
Summary of the San Gold AGM – June 23, 2008
Part 1 – the Business Session
The San Gold AGM was held at the Victoria Inn in Winnipeg. CIBC Mellon had two scrutineers at the door who recorded the names of all as they arrived and the room was quite full, some standing on the side or at the back (near the coffee pot!).
Hugh Wynne started the meeting at 10:07 by saying “It’s a pleasure to me to see so many happy faces!” He then outlined the agenda, noting that CFO Gestur Kristjansson was acting as Secretary for the meeting.
The CIBC Mellon scrutineers reported that there were 139 shareholders in attendance representing 63,552,865 common shares either in person or by proxy. This worked out to 29.56% of the outstanding shares, was a quorum and the meeting was officially constituted.
The first item of business was a review of the auditted financial statements for the fiscal year ended December 31, 2007. Given the opportunity to ask questions, someone wondered why we had to pay out $250,000 to cancel the CIBC financing agreement in 2007, and why it was not noted as an extraordinary item in the financial statements. Gestur K. explained that this was paid out in order to cancel the right of first refusal that CIBC had from the financing agreement that had been made with them. In other words, it cleared the deck so that SGR could then go out and secure its own, non-brokered financing. which it did later in the year, raising $40 million. The payment to CIBC was part of the cost of being able to obtain financing, and does not require a special note in the statements. Hugh Wynne explained further that the CIBC deal was cancelled when the share price had dropped from $1.29 to $.90 during the time the financing was being sought, so it was not at an acceptable level. Another question was why we had not set a fixed price in the CIBC agreement? The answer was that this was not a “bought deal” or private placement – it was on a “best efforts” basis and was the first “brokered deal” for the company. The deal they replaced it with was a PP and was completed at a better price with less dilution. The latest deal that brought in the $40 million was a “bought deal”.
A second question related to the royalty agreement we have with Red Mile. The $4 million payment to them seems high relative to the revenue we have generated. It was explained that these payments are based on an estimate of future revenues, and they are deposited to a Trust account that then pays interest back to SGR. Thus the transaction is going forward pretty much cash flow neutral; it uses up credits in our tax pools and replaces them with a prepaid interest expense and indemnity fee. (This is a complex financial item, but the benefit was to initially give us $11,000,000 with which to develop the mine, and saved us from having to go out and sell 25 – 30 million shares to raise the same amount of money. The interest earned on the asset (which is loaned to a bank) is used to pay for the royalty so overall it is a cash flow wash. After 11 years there is a put option that allows the company to buy out Red Mile using the funds remaining invested in the loan to the bank from the original investment).
We then had the election of the six nominated directors: Hugh Wynne, Dale Ginn, Richard Boulay, Michael Power, Courtney Shearer and Ben Hubert.
At that point Hugh Wynne made recognition of the service of former director David Filmon. Asked why David resigned, Hugh answered that he was spending too much time on SGR work to the detriment of his own legal practice. However, David and his legal firm are still doing the legal work for SGR.
Asked whether San Gold is still searching for more independent directors, Hugh answered that they are – Michael Power is one, Courtney Shearer will become independent later this year, and they are needing one additional independent director in order to have the right mix to qualify for a TSX listing. [Later in the meeting it was clarified that they are intending to seek approval to list on the TSX once they have the right mix of directors in place, but Dale would make no estimates on time frame for such to be completed (rather than attempting to give a time and miss it on account of uncontrollable factors, as has happened in the past].
The meeting then approved the appointment of Scarrow & Donald as auditors for another year.
The Company’s stock-option plan for management and board members was then re-approved for another year.
We then moved on to the Amended Shareholder Rights Plan. The previous plan was written right after the merger with Gold City. The wording in the new plan is better suited to today’s norms, especially in terms of what the TSX is used. The plan is intended to protect existing shareholders in case there would be a hostile take-over bid by giving the company more time to explore alternatives and to receive competing bids, thereby attempting to get maximum value for the shareholders.
That was followed by proposed the Employee Share Ownership Plan. This plan allows all employees of SGR to buy shares of the company up to 5% of their gross salary. The company can sell the shares to them at a discount. The amount of discount is regulated by the Venture Exchange (maximum 20%), but the company directors will set the discount rate, if any. Shares bought at a discount lose the 50% capital gain advantage, so it was suggested that it might be preferable for the company to sell them at full market value depending on the tax implications to the employee and a shareholder suggested it would make more sense to offer a matching contribution instead. As it stands the company will guarantee a loan from a financial institution to the employee for the purchase of shares from Treasury. The company will administer the loan payments through payroll deductions and the shares will not vest into the employees name until the loan is re-paid in full. The plan was approved.
In the discussion on this proposal, Hugh Wynne emphasized that they would like all of their employees to be buying shares, and that such plans in other industries have had great success, e.g. Westjet. Therefore, they are encouraging employees to take part through a payroll deduction plan. It was noted that it builds employee morale and retention with minimal dilution and actually brings money back into the company treasury.
We then dealt with ratification of the New General By-Law No. 1 which governs the conduct of the company, and it was approved as well.
That concluded the items brought to the meeting by the company. Under new business, someone brought up the matter of many folks not receiving their materials regarding the AGM till last week, leaving them little or no time to plan or to respond to the invitation. Rick Boulay commented on this, noting that those who have shares in their own name did receive their information from the 1st mail out that was done in mid-May as required. The rest of the materials, going to those who own their shares through brokerage houses, was sent to the distribution center in good time and they processed it, but that things then seemed to get delayed by Canada Post. The Company was rather concerned when they had only received responses representing 3% of the shares by last Wednesday, but then it poured in until it was nearly 30% by end of the week.
Suggestions were to mail earlier, and to also place the information on the San Gold website. Those suggestions were duly noted by the Company.
Someone then asked whether the Company would consider buying back shares in order to help boost the share price. The answer to that was “no” – Hugh stated that the Company believes the best use of their financial resources is to use them to find gold and to produce gold. Dale noted that companies doing buybacks are those with large profits and excess cash, a position SGR is not yet in.
This concluded the business portion, and we adjourned the official meeting at 10:58 a.m. After a short break, there was a Powerpoint presentation and a question and answer time (to follow).