Most companies like Calais Resources Inc.(PINK:CAAUF) rely on positive news about their properties in order to push the stock price higher. Not this development-stage enterprise, though. For Calais, there is the financial statements issue at hand, which had to be solved prior to anything else. Looking at the latest results on the stock market, it seems that they have achieved this crucial milestone.Since the beginning of the month, there has been almost 250% increase in the stock price. The volume of traded shares is increasing on a daily basis, as yesterday`s session accounted for 2.3 million shares exchanging hands and a closing at $0.39 per share. For the company, this is a stock price level that has long been forgotten, as similar trade sessions lastly took place in 2006. 
As mentioned already, all of the above is due to positive announcements, but not about huge ore deposits in Calais properties. Recent announcements do include news on a related subject, though. Yet, as Mr. R. David Russell, the company new CEO, stated recently, “it has been a monumental and long-overdue task” that auditors have managed to complete, namely releasing the financial statements for the fiscal years from 2005 to 2010.
Now, completing the audits is positive news, yet the financial statements of the company don`t inspire much optimism. This paradox appears because transparency has been an issue for Calais for quite some time now. As a development-stage company, it is only natural that net losses appear on an annual basis. The end of last fiscal year, however, was a turning point in the history of Calais. [BANNER]
Apart form the millions of accumulated deficits and the mounting liabilities, back then a situation occurred that challenged the future existence of Calais. At that point, it had a bit more than $27 thousand in cash, an amount that did not allow for its operations to continue. Through private placements, Calais managed to secure financing, even though the number of outstanding shares increased by more than 60%.
This might be one of the reasons why traders are flocking around the stock these days. While there are still no revenues and the potential for any future ones is still in question, it seems that Calais is indeed struggling to become a decent mining company. And unlike other pure speculative enterprises, this one might actually prove to be a good investment in a few years.
