Uranium Hunter Corporation (OTCMKTS:URHN) With a New Pump

Looking at the name Uranium Hunter Corporation (OTCMKTS:URHN), you might be thinking that the company is actually dealing with extracting uranium out of the ground. Indeed they claim to have some mining rights for this particular resource, however, if the pumpers’ emails are anything to go by, URHN seem to be more focused on gold mining right now.

When we read that URHN‘s claims are located in Guyana, the memory of Guyana Gold Corp (OTCMKTS:GYGC) immediately sprang to mind. GYGC are a publicly traded company whose shares are currently quoted on the Grey Market tier on the OTC Markets and the reason for this is a complaint that the SEC filed against them. According to it, GYGC‘s management team took part in a market manipulation scam back in 2008. As GYGC‘s name would suggest, back when they were actively traded, they claimed that they own some gold mines in Guyana, but that’s not the only similarity between them and URHN.

If you read through the whole litigation document against GYGC, you will find that some stock promoters were also involved and the stock promoters have been all over URHN during the last couple of months. The first email that we received is dated February 4 and it was sent in by Mining Stock Alerts (MSA). The disclaimer said that they have received a total of $200 thousand for the promotion and the email, itself claimed that URHN have already started digging gold out of the ground. We scoured through months worth of press releases and we checked their latest as well as the previous financial reports, but we couldn’t find any evidence of URHN actually performing mining operations. Nevertheless, the hype managed to nudge the price in the upward direction and the ticker reached $0.06… briefly.

Now, less than three months later, URHN‘s shares are 70% down compared to the pump high despite the numerous attempts by paid newsletters to get the ticker off the ground. You’re probably wondering why is that.

There could be a couple of reasons, actually. For one, as we mentioned, despite the fact that MSA said in their email that URHN are digging out around an ounce of gold per day, there is nothing to confirm their claims. URHN‘s latest financial statement shows that they have generated no revenues since inception and the net loss for the last quarter is just $5 thousand which would suggest that they are not doing all that much to get the ball rolling.

Some investors might have done a bit more research and they might have found out that promoted stocks don’t usually fare well in the long run and a quick look through the track record of Mining Stock Alerts reveals that they were keen on promising great gains from US Tungsten Corp (OTCMKTS:USTU), a ticker that has fallen by as much as 62% since MSA’s promotion back on February 20.

If the said investors have put in a bit more effort in their research, they would have even found out that URHN‘s corporate headquarters is located in a residential house in Las Vegas as can be seen from the picture on the right. And if they have dug even further, they would have found out that the same house serves as the principal office of another publicly traded company – WGI Holdings, Inc. (OTCMKTS:WGIH). Not surprisingly, Mr. Gregory Ellis, who is the CEO of URHN is also at the helm of WGIH and as you can see from our database WGIH are also quite familiar with stock promotions which means that the ticker is currently stuck to the bottom of the chart.

When you check out the two companies’ profiles on Yahoo Finance, you will also see that the announcements that they have made during the last couple of weeks are pretty much the same. While the promises of fresh financing and share restructuring could give URHN a little boost, we reckon that it will be just as short-lived as the February one and the ticker will soon start to get closer in value to WGIH. Which is probably where it belongs.