November Newsletter
December 5, 2005
To Our Shareholders:
I hope everybody had a great Thanksgiving… and I want to wish everybody a Happy Holiday Season.
What happened in November….I left for Bolivia in early November and am still in Bolivia. We have been having meetings
with the officials of YPFB in regards to gas projects and the future of YPFB and how we can possibly help. We are currently
working on a M.O.U. (memorandum of understanding) with them. I hope to have this MOU completed prior to my return to
the United States. We also have another opportunity in silver. We are in negotiations right now with a major silver mine in
Bolivia.
Anyway, here goes the quick summary for November.
Bolivia:
The Mayaya Project: We have hired accountants here in Bolivia to audit our operations here for 2nd half of 2004
and 2005. The accounting company we have hired is a local Branch of PKF accountants. They have started
working on the books for the Bolivian operations. This means that we can do a 2 year consolidated statement and
possibly have it accepted by the SEC and get back on the BB. We have decided to withdraw from the Mayaya
operation. The sporadic production coupled by the strained relations with the local cooperatives have made this
operation non-profitable. We have retained a well know law firm in La Paz to aide us with future contracts and
have hired a consulting company… which has bought us the silver opportunity mentioned above and to aide in local
management.
Colombia:
Due to opportunities that opening up to us in Bolivia management has decided to concentrate our company
resources on the opportunities in Bolivia. As of November 17th, 2005. Franklin Mining, Inc has notified the group
that we purchased 95% of Santa Catalina from, that we will not be converting the stock at a $1.00 per share and the
Compania Santa Catalina will be returned to them as they will return our stock.
Audits:
Our accountants have told me that since we started operations in Bolivia and we are no longer a stage development
corporation that we can probably do an consolidated audit for the years 2004 and 2005 and that should be
acceptable. Our goal is to get back on the bulletin board mid 1st quarter 2006.
United States:
We are in the process of negotiating a sale for the Franklin Consolidated Mines. We feel that these mines are way
beyond our scope to bring into operation. The sale will be able to free us from all liabilities from those mines
(E.P.A and all other).
I hope to back in the States in mid-December.
We have opportunities and we are following up on these opportunities so that we can move the company forward.
We are also facing challenges, however we do expect to eventually get over these challenges. We live in an uncertain world
and we operate in areas that are high- risk areas. However, these areas are rich in natural resources and adjustments are going
to have to be made as the circumstances of these areas change. We most likely will be doing a reverse after the New Year.
The board is considering a reverse in the range from 1 for every 20, to 1 for every 60 shares of common stock reverse.
I am out of the office so much that if an investor should have some questions they are probably best served to contact the
company thru e-mail at info@franklinmining.com. These e-mails are checked bi-weekly.
Sincerely,
Jaime Melgarejo, Jr.
C.E.O. Franklin Mining, Inc.
