APRIL BUSINESS UPDATE
from ECPN Board Chairman Doug Sanders
Well… we are sitting on a gold mine. Many of us have believed that for a long time. And today I am pleased to announce that — after several decades of unsuccessful efforts at profitability — we are finally making serious progress on getting into business.
The terms of a new joint venture agreement give us access to the technology we need to recover our PMs (Precious Metals). We are also in conversation with several possible sources of funds. The amount of the funding will determine size, scope, and scale of initial operations. Our highest priorities are securing the funds needed to get equipment ordered and using that lag time to focus on SEC compliance.
Earlier this month I spent a week at the mine site in New Mexico and in Phoenix for meetings with our attorney, accountants, bankers, and multiple finance brokers — one of whom traveled to Phoenix from Colorado to meet with me and, together with our JV partner, we visited the mine site and met with both our mine operator and our corporate attorney.
I know (and many of you probably feel) that this seems to have taken a very long time. And, in the big picture, it certainly has. Decades. And what has been accomplished in the past year, relative to previous years, is nothing short of incredible. It’s taken a tremendous amount of time, focus, and personal money — which I have been happy to contribute, since I, too, am a major ECPN stockholder and vested in its success. Our progress is also the result of pursuing many opportunities concurrently. We’ve gone down several paths and some have turned up only dry holes. My goal from day one has been to have multiple roads to profitability — gold, PMs, iron, iron oxides, rare earth elements (REEs) — and play the odds that one or two would pan out. And that’s exactly what is happening. And while I’m the kind of guy who will only report what we’ve actually accomplished (vs pie-in-the-sky plans) that doesn’t mean that there hasn’t been a plan. There has. And it’s coming together…
I expect to have more news to report in the weeks to come and, today, I am pleased to give you some of these updates:
1 — The new JV agreement will deliver the structure and processes to produce a revenue stream, help us clean up the past, and fund the work needed to get our stock trading again. Our next step is to lock up the funding that will get us into production.
2 — The Air Quality Bureau of the New Mexico Environment Department notified us on April 19 that the El Capitan Air Quality Permit (that was cancelled by Danny Martinez) has been reinstated.
3 — Our offer to settle with the mortgage holder on the Capitan house and acreage has been accepted and that settlement has saved the company $26,500. In addition, we have a court date scheduled to move forward with the eviction of the current occupant for non-payment of rent.
I’ll continue to report news and updates as I have them. Until then: Keep thinking gold!
Forward-Looking Safe Harbor Statement:
The statements included in this business update concerning predictions of economic performance and management’s plans and objectives constitute forward-looking statements made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. Forward-looking statements are statements that are not historical facts. Words such as “expect(s),” “feel(s),” “believe(s),” “will,” “may,” “anticipate(s)” and similar expressions are intended to identify forward-looking statements. These statements include, but are not limited to, statements regarding the expected completion, timing and results of metallurgical testing, interpretation of drill results, the geology, grade and continuity of mineral deposits, results of initial feasibility, pre-feasibility and feasibility studies and expectations with respect to the engaging in strategic transactions. All of such statements are subject to risks and uncertainties, many of which are difficult to predict and generally beyond the control of the Company, that could cause actual results to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. Specifically, there can be no assurance regarding the timing and terms of any transaction involving the Company or its El Capitan property, or that such a transaction will be completed at all. In addition, there can be no assurance that periodic updates to the Company’s geological technical reports will support the Company’s prior claims regarding the metallurgical value and make-up of the ore on the New Mexico property. Additional risks and uncertainties affecting the Company include, but are not limited to, the possibility that future exploration, development, testing or mining results will not be consistent with past results and/or the Company’s expectations; discrepancies between different types of testing methods, some or all of which may not be industry standard; the ability to mine precious and other minerals on a cost effective basis; the Company’s ability to successfully complete contracts for the sale of its products; fluctuations in world market prices for the Company’s products; the Company’s ability to obtain and maintain regulatory approvals; the Company’s ability to obtain financing for continued operations and/or the commencement of mining activities on satisfactory terms; the Company’s ability to enter into and meet all the conditions to consummate contracts to sell its mining properties that it chooses to list for sale; and other risks and uncertainties described in the Company’s filings from time to time with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date hereof, and we do not undertake any obligation to revise and disseminate forward-looking statements to reflect events or circumstances after the date hereof, or to reflect the occurrence of or non-occurrence of any events.