Financials and Promotion
When I read the financials it looked to me like Simona Ashley was given 5 million shares for her employment contract. Others who I know came to the same conclusion when they read it. I think it could have been written a little more clearly. But then again I could have looked at past public documents or looked at it more carefully to see that Mark’s employment contract gives him 10 million shares. However Mark wants his shares issued to him is between Mark and Simona. I think this is a non issue and I apologize to Simon and Mark Ashley if my comments created any difficulties for either of them.
I do have some legitimate concerns regarding the accounting. $346,062 was spent on wages. I understand Mark Ashley’s salary at $192,000 but that leaves $154,062 that was paid to two directors. I would like to know to whom and what exactly did TNGL got for this money? I am concerned that TNGL is a company currently with no income yet spending $346,062 annually on wages.
I am also very concerned that we have cut our promotion budget about in half to $6,615. In my view this should be increased dramatically.
When I pitch TNGL to my friends, the first thing they do is look at the charts. The chart alone looks like a typical penny stock pump and dump. As far as I can tell TNGL has never produced or mined anything.
Three huge differences between a penny stock pump and dump and a legitimate, producing mining company are:
1. FULL REPORTING. Pump and dump penny stocks do not go through the relatively big expense of complying with Full Reporting requirements.
2. PRODUCTION/MINING. Owning a producing asset. The iron ore mine in Mexico. Pump and dumps never intend to produce anything.
3. MANAGEMENT. Ashley took Lion Ore from a dormant company to the 8th largest nickel producing mining company in the world.
These are HUGE accomplishments that we should be shouting from the mountain tops. Our website is boring. We are featuring the Tonapah Divide property that is undervalued and a great asset, but currently to my knowledge we have no near term plans to develop or produce there. The web site should have photos and videos of trucks and equipment working at the iron ore mine in Mexico. We should be able to hear the noise of diesel engines and the rock being crushed. We should see huge piles of iron ore being loaded onto ships bound for China. This is truly exciting and totally separates TNGL from about every other junior mining company on the pink sheets. This puts TNGL at a whole other level, in another world that everyone else.
We should fully explain the benefits of going to Full Reporting Status on the web site. The fact that this will allow the big investors, pension funds and hedge funds to buy the stock should be explained. We should also be proud and boastful of our management with Mark Ashley. Ashley took LionOre from dormant to 8th largest nickel producer in the world; from a 20 million market cap to 6.26 Billion; from a 40 cent stock to $27.50. A $1,000 investment at 40 cents turned into $27.50, an amazing 6,875 % Return On Investment.
We are not running a secret covert operation here. When I tell my friends this stuff they have to put in some work and research to get the information. Let’s make it easy for people to find really great reasons to buy our stock and put this stuff all over our web site!
I have been investing in metals and mining companies for over a decade. All of my other mining company investments are promoting themselves. They all have twitter, U Tube, Face book and or Linked In pages. I get the feeds from both Fortescue Metals and Rio Tinto on my Linked page. I see other companies putting ads on Kitco.com. This is a social media era. Let’s get TNGL on board with the program. We either grow or we die.
Other mining companies have full time bloggers managing all of the social media outlets. I support hiring an agency that has a team of professionals to take photos and videos of our producing iron ore mine at work. I support having a professional web designer to make our web site dynamic, interesting and informative. I also support paying a professional to create and place ads on Kitco and in other places.
Why don’t we have a professionally produced short mini documentary done on TNGL hitting these important points; 1. Full Reporting. 2. Producing, the iron ore mine. 3. Management. 4. Future acquisition plans? If no one knows that we exist, all of the improvements in production, our efforts and expenses toward Full Reporting and our Management team’s history are going to be wasted.
Either Mark Ashley was a genius at LionOre, or he was just one lucky SOB who, at LionOre, road the Bull Run in nickel prices from the bottom to the top. Was Ashley just feeding at the metals bull run trough, or is he about to pull a rabbit out of his hat? Only time and our money will tell.
I think we should be boastful with our good news, spread the word, tell the world and give everyone some great reasons to buy our stock.
