Franklin Mining, Inc. (FMNJ)

[sps50]

From the old HeeHaw TV Show:

Gloom, dispair and agony on me
Deep dark depression, excessive misery,
If it wern't for bad luck I'd have not luck at all
Gloom, dispair and agony on me

I was able to talk with Bill Petty in Bolivia (he called me) after my bugging his office. So, here goes what I was told...

1. Escala: They purchased successively two process plants (well used). Unfortunately, one was returned for legal reasons related to the former owner's bankruptcy. The second one blew a vital machine (motor?) and was returned in parts. They got their money back on both. However, in the second deal a smaller 10-20 ton/day process plant and is processing. Bill is somewhat embarassed about the small $ it generates with slowness/high cost of transportion and thus has withheld its formal PR. I encouraged him to get out a PR with production figures anyways. Maybe....
2. Since the above is not going, he is meeting tomorrow with rep's from China/Korea in Bolivia about 4 - 6 new portable plants and crushers to ramp up to Escala's potential to 500 ton/day as PR'd before. Financing seems available.
3. To truly develop Escala, he is courting up to 4 different investor groups currently to make Escala world class. We are talking tens of millions of $ just for this site. As one would expect, this will push us into 2009 to get, setup and start.
4. Financials for 2Q08 are about done and 3Q are 90% done. My guess is 10 days for the former and 3 weeks for the latter. They are necessary to support financing arrangements so the incentive is there.
5. Argentina GTL is close and the contract is in the hands of top government to complete/sign their side.
6. Texas oil sales will PR (SEC) when the sales are paid.
7. Mr Dunn's valuation report is progressing and (I hope) should be done by early December. Mr. Dunn has been kept busy with Escala plans and GTL so this was delayed. I have already cried over this one too to spare you the tears.
8. I pushed back where I could. Bash if you will. Instead, let's go fishing!