Martin Tsvetkov

The HSP Team Gets $2,000 to Make Investors Believe in Alaska Pacific Energy Corp. [PINK:ASKE]

by Martin Tsvetkov March 14, 2013
3ASKE_chart.pngWhen Dominick Falso took over as the new sole director and officer of Alaska Pacific Energy Corp. [PINK:ASKE] in January, increasing shareholder value appeared as a top priority on his "to-do" list. Little did he know that there might be other players aiming for the same goal, albeit applying a slightly different approach. Relying on paid promoters, that is.

Even though ASKE had been incorporated way back in 2005, it was not until its founder James King abruptly foresook the company last September because of the deep financial blackhole ASKE had fallen into. Thus, the control of ASKE passed into the hands of Diminick Falso, who is also a director in Hi Score Corp. (PINK:HSCO). As of today, both companies are occupying the godforsaken tripple-zero marketplace in pennyland.

In an attempt to shed some light on the current affairs going on in ASKE, Falso has just come up with a message for both current and prospective shareholders. As genuinely enthusiastic as he sounds on it, his efforts are somehow undermined by a full-blown paid promotion which commenced last night. In a nutshell, the pump job involves three initiators and four promoters including the HSP Team, Wall Street Buzz, the OTC Professor, Moving Pennies and Prime Time Stocks to name but a few. The total advertising budget allocated for the campaign amounts to $24,000.

ASKE_logo.pngIf you take a gander at how those touting emails present the company, you will be misled to believe that ASKE is the next big player in the mining industry which happens to be way undervalued at the moment. You would also read that ASKE had just went up a whopping 50% in the last session and had even traded at twice as high price levels as the current ones. other things being equal, all these claims are true in their own light. However, those other things are not equal at all. ASKE's 50% jump barely equals $0.0001 in absolute terms, while its double value resided at $0.0006 per share. What is more, following the change in management, ASKE's new strategic goal now goes down to building 'a comprehensive minerals portfolio' through the acquisition of high-potential projects in historically productive geographical regions.

While there is nothing wrong with such a vision, it does not take a rocket scientist to figure out that making a breakthrough in the mining industry does not happen overnight as it requires substantial capital reserves, which ASKE currently does not have. And at $0.0003 per share, few investors could be lured into acquiring a stake in the company. Combined with Falso's determination not to resort to a reverse split any time soon (as expressed in his letter to shareholders), the total list of positive scenarios for the future grows thin.

The moral of the story: there are a lot of people capable of painting a rosy picture of ASKE provided that they get a decent stimulus to do so.

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