Yesterday, the shares of Sungro Minerals Inc. (OTC:SUGO) flew like a meteor, which as opposed to the tales of old people, brought investors the fulfillment of a lucky 61.07% price gain.SUGO exploded for the first time this year, to close at $0.0902 per share. During the trading session, almost six million shares changed hands. This was more than ten times the average daily trading volume for the company.
The main reason for the stock stir was the released yesterday technical report on the company’s Conglomerate Mesa property in California.
The so called by Sungro Minerals Inc. “February Report” got its vernacular name pretty fast, opposed to the company’s delayed reaction to file it with the SEC or SEDAR.
By the way, Sungro Minerals Inc. had the same unofficial and informal approach towards investors and supervision institutions last December. Then, SUGO released only the completion of the funding, needed for the preparation of the long expected NI-43101 report.
In the press release then, there was no information about the amount of funds raised. There was also no information about its form and what the potential source of funds is. For sure, this was one of the critical factors, as the chart here shows, for the price of the shares to explode in a day and immediately to roll down afterward.
Following some smart and competent PR strategy, and not this of the real company development, Sungro Minerals Inc. has been able to make some “follow up” announcements related to the aforementioned issue.
As of yesterday, the company not only has no “follow ups”. The material change matter and the long expected NI-43101 report are filed neither to the SEC nor to SEDAR. The last formal disclosure of the company is the reported with a delay quarterly report as of August 31, 2010. There, Sungro Minerals Inc. reports impressive and”solid” cash position of $12 and accumulated deficit of $5.8 million.
Most impressive and of high importance for the investor is the presented there information about the worth $2.8 million mineral rights of SUGO. This appraisal was made based on 2.6 million shares of the company’s common stock valued at $1.00 per share and cash consideration of $124K.[BANNER]
What a valuable property and what a blue-chip stock!
Is there some close relation between the one dollar value of SUGO and the temporarily suspended in British Columbia, Canada (BCSC) trading of the company’s stock?This happened in August, 2009. This was also the month, in which SUGO acquired a 100% interest in 341 unpatented lode mining claims known as the Conglomerate Mesa.
As stated by the company: “The temporary suspension was the result of what the BCSC termed “suspicious trading activity” due to a significant increase in the share price of the Company’s stock price”.
