Ekaterina Zelenkova

El Capitan Precious Metals, Inc. (OTC:ECPN) Stock Torn Between Resurrection and Metamorphosis

by Ekaterina Zelenkova April 1, 2010
ElCapitanMineralizedMaterial-1.jpgYesterday, the stock of El Capitan Precious Metals, Inc. (OTC:ECPN, ECPN message board) noted a price peak for the last two years. The record was achieved as a result of the price climbing up one day before the press release of company's CEO this Tuesday.

Yesterday, during the victorious for ECPN trade session the shares jumped by $0.06, or 22%, to $0.33. Since this Monday's rousing, ECPN stock price increased 73.68%.

Volume traded was also good enough. More than six hundred thousand shares changed hands.

The chart here presents ECPN stock presentation for the last two years. As opposed to the notable 4-th of February, last year, with a volume of more than 4,5 millions of shares, yesterday's session of ECPN presents investors price appreciation.

The big ECPN stock stir started on Monday, one day before the announcement in a press release of the CEO's letter to the shareholders of ECPN, related with company's plans.

ECPN_price_chart.jpgIn this letter, parallel to the statement about the end of the metallurgical problems, the CEO of El Capitan Precious Metals makes desperate appeal for engaging investment banks and/or potential buyers due to emerging needs of funds for the company.

The company's financial report at December 31, 2009 show that ECPN had $ 736 - cash and aggregated losses during the exploration stage for more than $18 millions.

The lack of cash was may be one of the reasons, ECPN to issue 66,667 shares of the Company's common stock last year in order to pay a consulting services valued at only $6,000.

The letter to ECPN investors starts with a reference to the virtual bankruptcy of ECPN and its stock prices for pennies. The development stage company has no revenues and owns assets of symbolic amount. Yesterday, ECPN stock met the appreciation of investors.

These days ECPN stock movement shows, that after last year changes done in the management body of the company, may be it's a time for new changes, this time not managerial.

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