This may be the last year of being so strapped for money that all shareholder mail-outs except the annual reports were suspended. It is dreary news again. In December of 2007, the mine operation shifted into maintenance mode. It was necessary to protect the company's main assets, the underground workings, the surface roads and buildings, and the equipment. We continued throughout 2008 and to the present. The water level is held at the 1500-foot level, the roads resurfaced and graded in the fall and survived the heavy spring downpours over the past weeks, and most of the equipment remains in operable condition. Nevertheless, it was a disappointing year.
The directors chose to place our world-class gold collection on the market at an all or nothing price of $3.5 million. Thanks to those of you who helped us expose the collection to prospective buyers; however, it never received serious attention. We now have the pieces individually priced and are considering ways to market them. It is fair to report the financial collapse in September affected my ability to raise working capital through investors. The phone stopped ringing and four potential individuals or groups disappeared from sight. But in March and out of this financial tragedy, a lender appeared with a willingness to jump-start our operation. Our application is moving forward. No details or prognostications, but I will send each of you an announcement when the papers are signed and the funds are in the bank.
I truly hope many or you have found out how to find our website (www.origsix.com). It continues to be the most affordable way for us to share information. Please give it a try, especially the FORUM topics. I miss sending you quarterly newsletters and look forward to their return.
A topic that people are especially interested in discussing on the website is the fluctuating share price and how to buy or sell stock. There really is no liquidity right now. In 2008, seller and buyers agreed to prices ranging from $0.75 to $0.89 on transactions from the website. Volume was 12,690 shares. The crazy 'gray marker' continues to mystify even professional stockbrokers. There is no methodology to the trades, which are reported to range between a penny to fifty-five cents. Orders are randomly filled. I look forward to the day when our stock value will be determined in a regular market.
The Company is under immense financial pressure right now. The biggest stress points are the loan with the mine as collateral (delinquent) and Sierra County property taxes (due June 29, 2009). Other creditors have shown the company great patience. I could run a bunch of 'only ifs' by you, but what for? The asset value is here, the gold market is fantastic, and enough of the crew remains to break rock again. We own some of the best mines in the world.
"Intelligence consists in recognizing opportunity." Chinese Proverb
Michael Miller, President
May 14, 2009