Update as of April 14, 2008
4-14-2008
From the desk of Russell Twiford, Vice President in charge of Research.
Since my last update we have been making great headway and we have reached a 2+ ounce per thousand gallons of gold recovery. I expect to see that plateau increased considerably in the next few weeks. As soon we have reached a recovery number that we are satisfied with we will begin constant production and the final numbers will be placed on your web site as a new update.
Compliance and audit: The president, Scott Gardner and our in house accountant visited the accountants in Salt Lake City, Utah to find out why our audit has not been forthcoming. They completed the audit through 2006 and most of the verification for 2007 to 2008. It was mutually agreed that the audit would be completed up to and through the fiscal year, which ends on May 31. 2008. The accountants in Salt Lake City will be coming to Phoenix in the beginning May to complete the audit. This audit will put us into full compliance when completed.
The reason, I have been told, that we have been unable to get our audit finished before now is that the auditors, approved by the SEC, have had serious internal problems and those problems have just been straightened out. The delays have been totally out of your management’s control until now.
As slow as things in our camp appear to be moving to the outside world, we have accomplished quite a bit in the past few weeks. Our recovery has doubled from one ounce to 2+ ounces per one thousand gallon of leach solution. Our concentrate from the runs are being fired into gold bars showing a purity of 99.73%. If need be, we have worked out a method to recover gold in the three 999’s purity which leaves us open to finding our own end buyers in the future.
As soon as we have more news to report the information will be placed on your web site.
This communication to shareholders and the public contain certain forward looking statements. Actual results may vary materially from those indicated by such statements. All statements, other than statements of historical fact, included herein, including, without limitation, statements regarding estimated reserves, estimated future production, and the value thereof, are forward looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.