Los Angeles, California--(Newsfile Corp. - July 27, 2020) - Brookmount Explorations, Inc. (OTC PINK: BMXI) ("Brookmount"), a Nevada incorporated company is pleased to provide this update to shareholders on recent developments, including a reverse stock split.
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On July 22, FINRA announced that a reverse split of The Company's shares would be made effective the following day. On July 23, the reverse stock split of 100:1 was affected with the result that the number of The Company's outstanding shares was reduced from 314,141,800 to 3,141,418. This consolidation of The Company's outstanding shares was done with a number of objectives in mind, firstly to increase the trading price in anticipation of uplisting to a major exchange and also to position The Company's capital structure to provide for future issuance(s) of shares anticipated for acquisition of significant gold resource assets in Australia, an initiative which has been referenced in recent releases. It is anticipated that a further announcement will be made shortly on the acquisition by The Company for stock of a high value gold resource in North Queensland which has now been under discussion for several weeks.
The Company can now also confirm that the audit of the 2018/19 financial years, together with a "stub period" for 2020, which has been delayed by the lockdown restrictions of the Covid 19 global pandemic, is now close to completion, with all financial diligence records for the period uploaded to the Xero accounting system and compilation of consolidated financial statements now underway. The final, important step in the audit process, the "wrap up" onsite visit by the auditors, is contingent on lifting of travel restrictions for Indonesia, anticipated in early September.
The Company's existing operations at Talawaan continue to perform well as a result of both continuing increases in the gold price and further excavation and processing of ore from the high-grade area which was identified in our last shareholder update and will be reflected in subsequent quarter results to be announced in October.
"We are pleased to be able to announce that the reverse stock split, which has been planned by The Company for some time, has now taken place." commented Brett Morley CEO. "Completion of this share consolidation will, inter alia, enable us to move forward more aggressively with our acquisition strategy in Australia and position us well for uplisting to a major exchange in the future. With respect to our financial audit, the last remaining major item being the "wrap up" site visit by our auditor is waiting on lifting of travel restrictions in Indonesia. I am also encouraged that our full year results should be supported by a strong third quarter as both operations and the gold price continue to strengthen."
Brookmount currently conducts its gold mining and processing operations through its Indonesian subsidiary incorporated in Sulawesi Province, Republic of Indonesia, one of Asia most dynamic and rapidly expanding economies with extensive reserves of natural resources and minerals including timber, coal, gold and hydrocarbons. The Company has also established an office in Melbourne, Australia and is actively seeking opportunities in what is one of the worlds leading gold producers.
Safe Harbor Statements:
Except for the historical information contained herein, certain of the matters discussed in this communication constitute "forward-looking statements" within the meaning of the Securities Litigation Reform Act of 1995. Words such as "may," "might," "will," "should," "could," "anticipate," "estimate," "expect," "predict," "project," "future," "potential," "intend," "seek to," "plan," "assume," "believe," "target," "forecast," "goal," "objective," "continue" or the negative of such terms or other variations thereof and words and terms of similar substance used in connection with any discussion of future plans, actions, or events identify forward-looking statements. These forward-looking statements include, but are not limited to, statements regarding benefits of the proposed license, expected synergies, anticipated future financial and operating performance and results, including estimates of growth. There are a number of risks and uncertainties that could cause actual results to differ materially from the forward-looking statements included in this communication. For example, the expected timing and likelihood of completion of the pending transaction, including the timing, receipt and terms and conditions of any required governmental and regulatory approvals of the pending transaction that could reduce anticipated benefits or cause the parties to abandon the transaction, the ability to successfully integrate the businesses, the occurrence of any event, change or other circumstance that could give rise to the termination of the negotiations, the risk that the parties may not be able to satisfy the conditions to the proposed transaction in a timely manner or at all, risks related to disruption of management time from ongoing business operations due to the proposed transaction, the risk that any announcements relating to the proposed transaction could have adverse effects on the market price of Brookmount's common stock. All such factors are difficult to predict and are beyond our control. We disclaim and do not undertake any obligation to update or revise any forward-looking statement in this report, except as required by applicable law or regulations.
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