KAT Exploration Inc (KATX)

[Kadin]

mappo 'Regulation S' will gut investors...

Investors are going to need a lot of patience and hope regardless of what properties they have.

The Company clearly states throughout their Filings...

"The company isn't foreseeing any profitability in the near future"

Those are brutal facts investors should consider when weighing the risks.

They need to raise capital and will be spending money on targets that, even if successful, are not really valuable—most are too small and marginal at best as Lab results were disappointing.


"Regulation S"...
Companies do not have to register stock they sell outside the United States to foreign or "off-shore" investors.

When a company uses this Rule, it's a legal loophole which inturn causes a flood of unregistered stock into the U.S. and that eventually causes the price to plummet, leaving unsuspecting U.S. investors with enormous losses.


Read the SEC Filings...Thanks B402...
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=74812811


ITEM 3.02 UNREGISTERED SALES OF EQUITY SECURITIES

In connection with the Purchase Agreement, described below, the Company will issue to the Sellers one hundred sixty-one million (161,000,000) shares of Common Stock. These securities will be issued in reliance on Section 4(2) of the Securities Act of 1933, as amended (the “Securities Act”). The issuance will not involve any general solicitation or advertising by us. The Sellers acknowledged the existence of transfer restrictions applicable to the securities to be sold by us. Certificates representing the securities to be sold contain a legend stating the restrictions on transfer to which such securities are subject. Certain of the securities will also be issued to non-U.S residents and in reliance upon and pursuant to the exemptions from registration provided by Regulation S of the Securities Act.


In connection with the Kenneth Stead Agreement, the Company will issue to Mr. Stead as a sign-on bonus four million five hundred thousand (4,500,000) shares of Common Stock. These securities will be issued solely to a non-U.S resident and in reliance upon and pursuant to the exemptions from registration provided by Regulation S of the Securities Act.


In connection with the Kenneth Stead Employment Agreement, the Company will issue to Mr. Stead one million five hundred thousand (1,500,000) shares of Series A convertible preferred stock upon the closing of the Global Gold transaction. These securities will be issued solely to a non-U.S. resident and in reliance upon and pursuant to the exemptions from registration provided by Regulation S of the Securities Act.


In connection with the Timothy Stead Employment Agreement, described below, the Company will issue to Mr. Stead six hundred twenty thousand (620,000) shares of Series A convertible preferred stock upon the closing of the Global Gold transaction. These securities will be issued solely to a non-U.S. resident and in reliance upon and pursuant to the exemptions from registration provided by Regulation S of the Securities Act.





Only those at Corporate level will benefit...

Investors should be more concerned with the return "of" their money than the return "on" their money.

No amount of PR or maps will change what is inevitable in the foreseeable future.

Regulation S is barely regulated by the SEC which is why they will be heavily diluting.

Ken did not protect investors and no divi will make up for the losses incurred.