OTCQB:GTAGF - Post by User
Post by
99921on Nov 16, 2007 6:31pm
169 Views
Post# 13822608
ECU/GOG
ECU/GOGThe arrangement between them was announced Nov. 2/07 and explained that ECU was farming out to GOG so that work on San Diego could be accelerated rather than waiting in line for ECU to finance it. GOG pays $1.5 million within three years to earn 50% of ECU's interest in the property. My understanding has always been that ECU's statement about having mining rights and being able to buy the whole property within a given time related to an arrangement between ECU and some third party, whether another company or a government agency but that that had nothing to do with the deal between ECU and GOG. It would be highly unusual for GOG to spend the money to prove up the property and then give ECU some written opportunity to buy back the farmed out interest if things turned out well. And, of course, if they didn't turn out well ECU wouldn't exercise and GOG would be stuck with the bills and little to show for their expenditure.