I have a number of posts on both companies.
So, on February 18 and many months after the closing date of the supposed bonds, the company releases a press release stating that the "Sphere Resources Group has achieved 51% interest in the Poker Flats property by incurring $500,000 in exploration expenditures". Which is odd, firstly, because one has to wonder where that money came from, as they had none, and secondly, if they did indeed spend that much money where are any of the exploration results? Lastly, and perhaps much more disconcerting, is that the money needed to be spent by December 20th and the press release was put out 2 months after the fact. Read press release here.
Mexivada, without even enough to put out a release, sends out a corporate update via their website stating that the agreement has expired due to Sphere Resources not meeting the terms of the contract. I would find the link, but the website drives me crazy with it poor navigability.
So..stalemate. Out of sheer curiousity I actually sent an email to Malcolm Stevens asking him exactly whats going on. The jolly Australian fellow, who in the past has warmly referred to me as mate, gave me this response
"Mexivada’s last gasp! Quite inappropriate as you will see from Spartan’s audited financials next month.
Mexivada has a detailed list of Exploration Expnenditure which met the 51% requirement as per the Agreement."
Well, on September 8th a Sphere News release reads that they have renegotiated the terms, giving them until Dec. 31 to incur 300k exploration expenses for 51%, then another 250k for a further 24% by Dec 31 2017. Here is the press release.
So...wait, on February 18th you came out saying that the company had spent half a million dollars on exploration on the Poker Flats and then on September 8th a news release comes out stating that the terms have been renegotiated; as if nothing had ever been said about the supposed and previously announced earn in. Seems highly dishonest, if not illegal, to lie in a publically disseminated news release. As well, I would imagine lying in financial statements, as Stevens told me I would see the breakdown of expeditures in Spartans financials, is something of an offence. But... With the SEC or the OSCs limited power and resources to go after these things, and with much bigger fish to fry (which they usually don't anyways) these type of small OTC pump deals will get little attention. Its for this reason I like to bring attention, because the investor himself must look out for him. Usuaully if someone does it again, he'll do it more.