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Monday, 07/02/2007 3:07:48 PM

Monday, July 02, 2007 3:07:48 PM

Post# of 35740
TRGD Conversation with the CEO

Not getting anywhere with the IR, I decided to call the CEO. I called because I was very concerned about the fact that they have not been able to catch up with their financial.
They sure are a low cost operation, he answered his own phone.

I shall pass on the details of the long explanation but bottom line I bought it. He thinks that 2006 will be out in 4 to 6 weeks and the 2Q's for 2007 should follow a month later. They spent a very large amount of money to perform the audit and the efforts should pay off. We'll see, I bought it but not for ever.

The company will show significant revenue for 2006 and the first 2 Q's of 2007. The revenue is coming from stock transactions that are booked as revenue. The expense against revenue are minimal so the reported margin will be quite high. The hint is that we will get a pleasant surprise. Cash balance for both companies is a total of $3.5M.

Revenue for Q2 production will not be booked in Q2. That revenue will be booked when they get paid.

He thinks that their best property is La millonaria.
The plan for San Miguel is to sell it end of 07 early 08. Their share of the deal (30% of the total) could be close to $100M at 2$ an oz of silver in the ground valuation.

IMO this is a very speculative stock but the potential rewards are very are very high. It is possible we may see a 5 to 10X as early as a year from now.

BW you can sure find them :)

BG

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