LA JOLLA, Calif., Feb. 22, 2012 (GLOBE NEWSWIRE) -- Tonogold Resources, Inc. (Pink Sheets:TNGL) announced financial results for the year ended December 31, 2011.
The Company earned a profit of $664,666 on net revenues of $1,331,483 for the year ending December 31, 2011 versus a loss of $629,844 on net revenues of $89,589 for 2010. The Company earned $0.007 per share in 2011 compared to a loss of $0.009 per share in 2010.
As previously announced, on December 28, 2011 Tonogold closed the merger with its former subsidiary, Prospect Uranium, Inc. Most of the Company's net revenue in 2011 was due to Prospect's sale of its primary asset, the Connors Uranium project, to Continental Resources Group, Inc.
Tonogold operates as a prospect generator and is primarily in the business of acquiring and developing mineral exploration properties for sale to other mining and exploration companies.
Tonogold's President, Jeff Janda, commented, "Our prospect generation efforts in uranium and lithium both paid off in 2011. There is strong demand for advanced exploration properties in the junior mining industry and we have an excellent portfolio which should attract qualified partners or buyers. Our ideal clients are small public companies that need professionally vetted and financeable exploration properties in the right commodities. Although gold and silver is our primary focus, there are many exciting opportunities in industrial minerals which we plan to pursue in the near future."
Additional details of our 2011 financial results are as follows:
- Mineral property costs were $137,319 in 2011 versus $217,259 in 2010. The decrease in costs was due to a reduction in field work and claim staking activities.
- General and administrative expenses increased slightly in 2011 to $527,998 from $494,252 in 2010. The increase was mostly due to professional fees incurred in the merger with Prospect Uranium, Inc.
- Total operating expenses decreased to $665,317 in 2011 from $711,511 in 2010.
Tonogold's 2011 Annual Report containing detailed information on its properties and business operations is available on our website here: http://www.tonogold.com/s/AnnualReports.asp
The Company's 2011 annual financial statements (unaudited) are available here: http://www.tonogold.com/s/FinancialStatements.asp
Tonogold's primary properties include the Mineral Mountain gold project in the Goldstrike District, Utah, the Tonopah Divide gold project currently in a mining venture with Centerra (U.S.), Inc., and the King Tonopah silver-gold project, a former producing underground mine located one mile north of Tonopah, Nevada.
Tonogold Resources, Inc. is a minerals exploration company based in La Jolla, California. For more information on the company visit their website www.tonogold.com.
Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995
This press release contains certain forward-looking information about Tonogold Resources, Inc. ("Tonogold") which is intended to be covered by the safe harbor for "forward-looking statements" provided by the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that are not historical facts. Words such as "expect(s)," "feel(s)," "believe(s)," "will," "may," "anticipate(s)," and similar expressions are intended to identify forward-looking statements. These statements include, but are not limited to, financial projections and estimates and their underlying assumptions; statements regarding plans, objectives and expectations with respect to future operations, products and services; and statements regarding future performance. Such statements are subject to certain risks and uncertainties, many of which are difficult to predict and generally beyond the control of Tonogold Resources, Inc. that could cause actual results to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. These risks and uncertainties include: our need for additional capital to pursue our business strategy, some of our managers lack formal training in the mining business, the grade and quantity of minerals in our projects may not be economic, we do not have fee title to our properties, but derive our rights through leases and the Mining Law, changes to the Mining Law may increase the cost of doing business, we are a non-reporting company and as such do not make periodic filings with the Securities and Exchange Commission, our financial statements are unaudited and prepared by management, we trade on the Pink Sheets and there can be no assurances that a liquid market will develop in our securities, mining is subject to extensive environmental regulations and can create substantial environmental liabilities, gold and silver are commodities which have substantial price fluctuations, a drop in gold and/or silver prices could adversely affect future profitability and/or capital raising efforts, and mining can be dangerous and present operational hazards for employees and contractors. Readers are cautioned not to place undue reliance on these forward-looking statements. Tonogold does not undertake any obligation to republish revised forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.