On Friday, the stock of Sauer Energy, Inc. (OTC:SENY) entered the market with a gap up and attempted to break its volume record. No news initiated the active trading and it may continue in today’s session as well as SENY was promoted yesterday evening. 
SENY closed at $0.689 on Friday, reporting a 6% increase in its closing price. The trading volume exceeded 706,000 shares. The stock price rose for a second time to the $0.69 resistance and some technical indicators suggest that the new promotion that should influence the market today could raise it even higher. Though, if history repeats the outcome might not be that good for some investors.
For example, the follow-up of the last promotion for SENY was quite disastrous. It took place in the beginning of March and a third party had paid $15,000 to the promoters. At that time SENY share price was well above $1, before it dropped below 50 cents in just two days. The new promotion from yesterday evening contains yet no disclosure or compensation, but the “full profile” that the promoters give on the company implies that a compensation disclosure might follow.
Sauer Energy has issued on updates or press releases, while the date of the filing of its latest quarter report, April 14th, coincided with the huge drop off SENY stock price. The 10-Q reports no progress whatsoever on SENY intended business in the wind energy sector. Though, it becomes clear that the company is in the phase of raising capital and paying with shares of common stock to its consultants and investor relations providers.
Between July 2010 and November 2010, Sauer Energy, Inc. sold 938,000 units, each consisting of one share of common stock and one stock warrant, for total proceeds of $234,500. The price per unit was $0.25. Then, since January this year SENY has entered into new private placement agreements and up to date around 1.3 million units have been issued for proceeds of $442,600, unite price being $0.30.
the value of SENY stock is quite different for the company’s consultants and IRs. During the six months ended February 28, 2011 the company issued 287,500 shares of its common stock to consultants as compensation for services at a share price ranging from $1.20 to $1.55. Also in that period of time, the company issued 150,000 shares to an investor relations firm for “services to be provided” and the stock was then valued at $1.20 per share.
