In regard to Pintohoo's challenge, I am an ivestor in shares,...

In regard to Pintohoo's challenge, I am an ivestor in shares, and expect to make money from my investment, and not to give advice to management.

It is the management's duty to perform, and make the right decisions, and ensure the share price increases to repay its shareholders.

A number of posters keep on saying how great Focus management are, even considering the terrible decline in the share price. This is the same as saying "The operation was a great success but the patient died".


In my opinion, this management could improve in some areas such as proving up gold reserves. Based on the Dec'09 quarterly report, 4 drill rigs were on site to accelerate resources and reserves.

Extracting data from the past 4 quarterly reports, in my opinion the management could have done a better job with proving up gold reserves as shown below:

Section 1.2(a) "Payments for Exploration and Evaluation" of the cashflow reports and "Increase in Gold Reserves" section of the activies reports show the following -


Gold Reserves (Ozs)
Sept'09 93,000 ozs
Dec'09 157,000 ozs
Mar'10 186,600 ozs
June'10 207,900 ozs

Payment for Exploration & Evaluation
Sept'09 $714,000
Dec'09 $1,314,000
Mar'10 $2,356,000
June'10 $1,919,000

Increase Gold Reserves in Ounces
Sept'09 ------
Dec'09 64,000
Mar'10 29,600
June'10 21,300

Cost per ounce in Proving up Gold Reserves
Sept,09 -------
Dec'09 $20.53
Mar'10 $79.60
June'10 $90.09

I do appreciate that there are other factors involved in the cost of exploration and evaluation, however, with the number of drilling rigs available and the amount spent, gold reserves should be higher.

I stand to be corrected and taken to task if I am completed wrong. I am only looking at this situation from the accounting point of view.

I appreciate my substantial investment in Focus, and hope that the situation improves, and the share price starts to move upwards.