OTCQB:FGPHF - Post by User
Comment by
foodforxon Jun 05, 2015 9:00am
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Post# 23799973
RE:Strange
RE:Strange I too expected a bump on the news. Perhaps it's the level of working capital that's preoccupying the market?
The MD&A released on Monday contains the following statements:
"Working capital as at March 31, 2015 was $611,172 compared to $3,218,446 as at September 30, 2014, due to cash used in operating activities." (p. 11)
"The Company presently does not have adequate resources to maintain its core activities for the next fiscal year or sufficient working capital to fund all of its planned activities. The Company will continue to rely on successfully completing additional equity financing to maintain its core activities and further exploration of its existing and new properties in Brazil. There can be no assurance that the Company will be successful in obtaining the required financing. The Company will reduce the requirement of equity financing to the extent of revenue receive in 2015." (p. 12)
"Financial Markets: The Company is dependent on the equity markets as its sole source of operating working capital and the Company’s capital resources are largely determined by the strength of the junior resource markets and by the status of the Company’s projects in relation to these markets, and its ability to compete for the investor support of its projects." (p. 24)