Sierra Resource Group Inc (OTCMKTS:SIRG) Deflates Rapidly

It was a fun thing to watch but the pop in Sierra Resource Group Inc (OTCMKTS:SIRG)’s share price is now gone and the price is dropping like a stone. Yesterday SIRG closed 30% down, dashing back to the bottom end of double zeroes, at $0.002 per share.

The reason why the stock generated such large volume and the price hopped up was a bunch of unconfirmed, unoffocial rumors floating around web discussion boards. According to the rumors, an Ecuadorian mining company called Orotecno is going to merge SIRG into it and acquire its mining claims. Orotecno is said to generate sales of $80 million for the stretch of six months.

This all sounds very nice but there is no official word from SIRG mentioning any of this and Orotecno’s website, a free Blogspot page featuring a stylish gold-letter animation and many photos of gold bars and gold ores, does not provide any substantial information on the Ecuadorian company. A new site for Orotecno is allegedly in development, with the domain registered on Aug 2 this year, but there is nothing to see on it except an error message.

SIRG has been a Pink No Info company for a good while now, stamped with the red Stop sign on OTC Market. This is because SIRT last submitted a company filing for pubic viewing back in 2013, nearly two full years ago. The company filed for bankruptcy in early 2015, without putting up an official filing or press release about it because it’s the pink sheets after all, so almost anything goes.

Anyone who tried chasing SIRG up the charts during and after its Friday run, despite the flagrant lack of transparency and information surrounding the company and its current state, may be in for a couple of new nasty surprises down the road, if SIRG returns to the triple-zero price levels it was stuck at for months before the spike.