Fool's Gold

[jstorm]

Coyote Resources (COYR)

RED FLAGS-

- CEO Guy Martin experience is in residential remodeling (?) and tourism. The one executive who actually did have experience, Howard Lahti, resigned in August (http://www.sec.gov/Archives/edgar/data/1392121/000146929913000164/coyoteform8k082513.htm). Funny the website has not been updated to reflect this.

- Business model wise, COYR has plans to process dump (tailings) material, which is always questionable as grade can very significantly.

- No work has been done to test metallurgical recovery levels, they are relying on historic reports

- Existing shafts will need to be de-watered before the company can access them. This is a huge cost outlay and almost always comes with delays from my experience. This simply means actual ore ever being processed from the historic mine is a pipe dream.

- Last news release put out by the company was in May during when promo was running (http://www.coyoteresourcesinc.com/news/news_releases/2013/05/coyote-resources-announces-development-plan-for-tonopah). The announcement was that COYR has prepared a “development plan” for he Tonopah mine, which obviously never began.

- The company has $6,500 in cash and nearly $2 million in liabilities (http://www.sec.gov/Archives/edgar/data/1392121/000146929913000169/coyoteform10q063013.htm). $1.1 million is convertible debt, which could set the stage for another promo in 2014.

$COYR