Electra Stone Ltd ELCGF

RE:RE:17,000,000 Accumulative deficit

[Charmingkind]

Nice one JM!

Further to his response: The TSXV threshold for financing has been reduced to $0.05 from $0.10. Granting of incentive options, etc.  So, if you bought at $0.005, the consolidation would "break even". At $0.01 you double and the consolidation goes to $0.10. Which the company would prefer of course.

Most juniour minors are caught in this trap and can't make a move. The juniour market has been "Horrific"  for new financings at the very least. The advantage of ELT is that it does have a revenue stream through the silica-alumina (Chalky-Geyserite). Which allows Mr. Shearer a little room to make future negotiations on some deals: Staking, recent extension on the Golden Ridge property, etc. It has a little life blood, that the majority of plays don't.

The problem was with the collapse of the U.S. housing market, cement demand went into the toilet and so did the demand for Geyserite. The 'uptick' in demand last year actually brought a profit.

The million dollar question: If demand increases even more or one of the mining plays hit, does the company go forward and consolidate?

Again, haven't met or spoken to the man, but Mr. Shearer has done and excellent job dealing with the downturn in both the cement and juniour market.

IMHO