I've spent some time pondering why brokerage firms are not buying into Copper Fox and have come up with a few explanations:

1. Low Volume

The volume is too low for big funds to accumulate shares. The only way a fund could buy a large chunk would be if we did a large offering. All of our recent offerings have been small and fully funded by Ernesto.

2. Insider Ownership

Our insider ownership is very high. Big funds like to buy into a company for some control. With 70% of the shares held by insiders, big funds won't ever get the control they desire.

3. Share Price

Our share price is quite low. It is my understanding that most big funds avoid playing with "penny" stocks.

4. Our Option Agreement

This is a complicated legal agreement that prevents them from knowing our ownership level in the project (until Teck makes a decision).

5. Market Conditions

Right now the markets are in a "risk-off" state. Copper projects are considered high risk because the price of copper relies heavily on the economy. Right now big funds are avoiding buying into copper projects. For proof, look at HudBuy Minerals who recently cancelled a $400M offering because conditions were not favourable.