Tonogold Resources Inc (TNGL)

[massher]

can assure you that I am Mark Ashley and am happy to take a poly gram (but over the internet if that is ever possible in the future). Joking aside I am happy to entertain dialogs with shareholders on questions relating to matters in the public domain to provide clarity and transparency where needed. I appreciate that announcements and presentations lodged are somewhat impersonal and rarely portray the importance of the underlying message. However we do try our best!

Re your question on our Nevada properties although you have clearly grasped the concept of regional consolidation benefits, I am sure that you will appreciate that I cannot comment publicly on commercially sensible issues that may or may not be under consideration and/or discussions with third parties. However as I said you understand the commercial opportunities. We are a small group of individuals at Tonogold at this time and our time management it limited and has to be very focused.

With regard to your comments on the past capital raising and in particular the pricing I would like to remind you that for months prior to announcing the management changes and the small capital raising the share price had been hovering around the one cent mark. To convince new shareholders to invest new funds in a vehicle they know little about and that those funds would be largely directed to repaying past debt wasn't an easy task. Clearly the minimal amount being raised didn't justify any significant due diligence by those new investors. They were really putting up new money on high risk and speculation. The fact that the share price started to appreciate toward the end of our discussions it was apparent that the market had got wind that something was afoot. The price appreciation was not fundamentally based and any short term and unexplained change in the price cannot be the basis for renegotiating the placement pricing. Also at that time the market regulations prohibited from marketing the capital raising to current shareholders (without expensive formal documentation (eg prospectus) which would have eaten away at more of the small cash being generated.

This proposed raising is different in so many ways. First that fact that's we have an option means that we can (and have been able to appraise the market of the transaction prior to setting the pricing terms and that the regs have changed recently to enable accredited shareholders can consider participation). The share price will be able to settle and find its right level based on the facts of the transaction (not on pure speculation as in the past) and the pricing of the raising which is based on the real "informed" market price can be appropriately determined. At the end of the day the basic economic principle if supply and demand will prevail.

I prefer shareholders poise geniune questions that management can try and respond to via means other than BLOGING. My email address is mjashley@tonogold but please appreciate I have limited time and I would have hoped that our announcement are adequately detailed and appropriately transparent that would limit any confusion.