Financials & MDA out on a FridayHi EVERYONE at Morro Bay Resources Ltd bull board blog!!! I hope EVERYONE is having the BEST day!!!
What do they say about releasin newz and stuff on a Friday??
Anyway the financials and MD&A wuz posted late today. I dunno if thingz look to good here. At least drilling is done but no word about if and when results and stuff will be released or ANYTHING. Kinda WIERD huh?? They STILL have not spent enough to even earn the interist in the property!!! EWE!!!
MD&A
Overall Performance
On January 22, 2014, the Company and Sierra Madre Developments Inc. (“Sierra Madre”) closed an asset purchase agreement to which the Company acquired an option agreement (the “Option Agreement”) between Sierra Madre and Riverside Resources Inc. (“Riverside”) (the “Assets”). The Option Agreement includes an option granted to Sierra Madre by Riverside wherein Sierra Madre can earn an initial 51% (up to 65%) interest in the Peñoles project, which include concessions staked by Riverside located in the Peñoles Mining District in Durango Mexico. The Company acquired all the
Assets in exchange for 16 million of the Company’s common shares at a value of $0.10 per common share and share purchase warrants entitling the holders thereof to acquire up to 8 million of the Company’s common shares. The warrants are exercisable into common shares of the Company at $0.15 per warrant prior to June 15, 2014 and $0.25 per warrant after June 15, 2014. The warrants will expire one year after issuance or January 22, 2015.
To earn the 51% interest in the Peñoles project, the Company will be required to spend $750,000 of exploration expenditures and pay Riverside US$1,250,000 and CDN$100,000 cash and give Riverside $1,500,000 worth of common shares of the Company by June 30, 2014 (or the cash at the Company’s option provided that if the market value of the Company’s shares
is less than $0.05 based on a 30 day volume-weighted average price, such payment must be made in cash). As at March 31, 2014, the Company has incurred approximately $350,000 of the $750,000 qualified exploration expenditures.
As of May 30, 2014, the Company has completed substantially all of its planned drilling program.
Trend Analysis
The Company’s ability to continue operations is uncertain and is dependent upon the ability of the Company to obtain necessary financing to meet the Company’s liabilities and commitments as they become payable, the successful acquisition of an interest in assets or a business, and the ability to generate future profitable production or operations or sufficient proceeds from the disposition thereof. The outcome of these matters cannot be predicted at this time. The consolidated financial statements do not include adjustments to amounts and classifications of assets and liabilities that might be necessary should the Company be unable to continue operations. Management believes that the Company has sufficient working capital to maintain its operations and activities for the next fiscal year.
and this
Liquidity and Capital Resources
As at March 31, 2014, the Company had a deficit totaling $763,920 (September 30, 2013 - $115,895). The Company had working capital of $1,930,479 at March 31, 2014 (September 30, 2013 - $2,491,327). The continuation of the Company is dependent upon the continued financial support of shareholders, its ability to raise capital through the issuance of its securities, as well as obtaining long-term financing. As at March 31, 2014 the Company had cash and cash equivalents of $2,218,882 (September 30, 2013 - $2,509,271).
So they still have SOME cash and stuff. Kinda funny only one line about finishing drilling and NOTHING else about where the results are at or what. Probabily NOTHING to worry about huh??? Just doesnt seem to upbeat tho huh?? I dunno.
Linkity link link to the sedar stuff
Have the BEST day EVERYONE!!!! YEAH!!!! ^_^